RTX Corporation, an aerospace and defense company, provides systems and services for the commercial, military, and government customers in the United States and internationally. It operates through three segments: Collins Aerospace, Pratt & Whitney, and Raytheon. The Collins Aerospace Systems segment offers aerospace and defense products, and aftermarket service solutions for civil and military aircraft manufacturers and commercial airlines, as well as regional, business, and general aviation, defense, and commercial space operations. This segment also designs, produces, and supports cabin interior, including oxygen systems, food and beverage preparation, storage and galley systems, and lavatory and wastewater management systems; battlespace, test and training range systems, crew escape systems, and simulation and training solutions; information management services; and aftermarket services that include spare parts, overhaul and repair, engineering and technical support, training and fleet management solutions, and asset and information management services. Its Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation customers; and produces, sells, and services military and commercial auxiliary power units. The Raytheon segment provides defensive and offensive threat detection, tracking, and mitigation capabilities for U.S., foreign government, and commercial customers. The company was formerly known as Raytheon Technologies Corporation and changed its name to RTX Corporation in July 2023. RTX Corporation was incorporated in 1934 and is headquartered in Arlington, Virginia.

BUILD UP FREE CASH	2022-12-31 (A)	2023-12-31 (A)	2024-12-31 (A)	2025-12-31 (E)	2026-12-31 (E)	2027-12-31 (E)	2028-12-31 (E)	2029-12-31 (E)
Revenue	67,074	68,920	80,738	86,969.9	92,329.9	98,096.7	98,096.7	98,096.7
Revenue % Chg.	4.2%	2.8%	17.1%
EBIT	7,347	5,489	8,465	11,184.5	12,165.5	13,512.5	13,512.5	13,512.5
EBIT Margin	11%	8%	10.5%
Tax Rate	12.9%	11.9%	19.1%
NOPAT	6,398.1	4,836.5	6,851	9,023.6	9,815.2	10,874.1	10,874.1	10,874.1
NOPAT Margin	9.5%	7%	8.5%	10.4%	10.6%	11.1%	11.1%	11.1%
D&A	4,108	4,211	4,364	4,440.6	4,473.9	4,561.3	4,561.3	4,561.3
D&A / Revenue	6.1%	6.1%	5.4%
Capex	-2,288	-2,415	-2,625	-2,597.4	-2,716.1	-2,799	-2,799	-2,799
Capex / Revenue	-3.4%	-3.5%	-3.3%
Chg. NWC	522	1,515	-1,085	473.3	502.5	533.8	533.8	533.8
Chg. NWC / Revenue	0.8%	2.2%	-1.3%
Unlevered FCF (UFCF)	8,740.1	8,147.5	7,505	11,340.1	12,075.3	13,170.2	13,170.2	13,170.2
UFCF % Chg.	16.1%	-6.8%	-7.9%	51.1%	6.5%	9.1%	-0%	—
PV of UFCF	—	—	—	10,512.1	10,376.4	10,490.9	9,724.9	9,014.9
Sum of PV of UFCF	—	—	—	10,512.1	20,888.5	31,379.4	41,104.3	50,119.2

Cost of Debt
Tax Rate
After Tax Cost of Debt	3.8%
Risk Free Rate
Market Risk Premium
Beta	1
Cost of Equity	8.7%
Total Debt	43,260
Market Cap	225,853
Total Capital	269,113
Debt Weighting	16.1%
Equity Weighting	83.9%
WACC	7.9%

Exit Multiple EV/FCF
Terminal Value	262,475
PV of Terminal Value	166,543
Cumulative PV of UFCF	50,119.2
Net Debt	34,743
Equity Value	181,919.1
Shares Outstanding	1,340.8
Implied Share Price	135.7
Current Share Price	168.5
Implied Upside / (Downside)	-19.5%