Howmet Aerospace Inc (HWM) is overvalued and RTX Corp (RTX) is overvalued.
Both trade above our estimate of their intrinsic value. RTX is the closer of the two: -24%, against -190% for HWM.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 10.5% (average of 3 methods) values the shares at $77.60; the price of $225.36 is 190% above that value, and 72% of that value comes from beyond year five.
Leak Score 67/100 on 10 of 12 signals
Discounting its cash flows at 7.3% (average of 3 methods) values the shares at $154.18; the price of $190.99 is 24% above that value, and 82% of that value comes from beyond year five.
Leak Score 55/100 on 10 of 12 signals
| Metric | HWM | RTX |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $225.36 | $190.99 |
| Intrinsic value | $77.60 | $154.18 |
| Margin of safety | -190% | -24% |
| Leak Score | 67/100 (10/12) | 55/100 (10/12) |
| Market cap | $89.9B | $257.4B |
| Revenue growth, 5 years | 9.4% | 9.3% |
| Operating margin | 27.3% | 10.7% |
| Net margin | 20.5% | 8.3% |
| Return on equity | 34.7% | 12.0% |
| Debt to equity | 0.81 | 0.59 |
| P/E | 48.6x | 33.6x |
| Forward P/E | 34.6x | 24.2x |
| P/B | 15.7x | 3.9x |
| Dividend yield | 0.2% | 1.5% |