RTX (NYSE:RTX) versus Intuitive Machines (NASDAQ:LUNR) Financial Contrast

RTX (NYSE:RTX) and Intuitive Machines (NASDAQ:LUNR) are both aerospace companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, profitability, risk, analyst recommendations and institutional ownership.

Profitability

This table compares RTX and Intuitive Machines’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RTX	7.67%	13.28%	5.12%
Intuitive Machines	-87.58%	N/A	-7.67%

Valuation and Earnings

This table compares RTX and Intuitive Machines”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RTX	$85.99 billion	2.74	$4.77 billion	$4.87	36.07
Intuitive Machines	$228.00 million	6.84	-$283.41 million	($3.24)	-2.69

RTX has higher revenue and earnings than Intuitive Machines. Intuitive Machines is trading at a lower price-to-earnings ratio than RTX, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

86.5% of RTX shares are held by institutional investors. Comparatively, 72.2% of Intuitive Machines shares are held by institutional investors. 0.2% of RTX shares are held by company insiders. Comparatively, 39.8% of Intuitive Machines shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and target prices for RTX and Intuitive Machines, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RTX	0	5	14	2	2.86
Intuitive Machines	3	1	10	0	2.50

RTX currently has a consensus price target of $178.47, indicating a potential upside of 1.61%. Intuitive Machines has a consensus price target of $15.40, indicating a potential upside of 76.40%. Given Intuitive Machines’ higher possible upside, analysts plainly believe Intuitive Machines is more favorable than RTX.

Risk and Volatility

RTX has a beta of 0.64, meaning that its stock price is 36% less volatile than the S&P 500. Comparatively, Intuitive Machines has a beta of 1.42, meaning that its stock price is 42% more volatile than the S&P 500.

Summary

RTX beats Intuitive Machines on 11 of the 15 factors compared between the two stocks.

About RTX

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.

About Intuitive Machines

Intuitive Machines, Inc. designs, manufactures, and operates space products and services in the United States. Its space systems and space infrastructure enable scientific and human exploration and utilization of lunar resources to support sustainable human presence on the moon. The company offers lunar access services, such µNova, lunar surface rover services, fixed lunar surface services, lunar orbit delivery services, rideshare delivery services to lunar orbit, as well as content sales and marketing sponsorships; and orbital services, including satellite delivery and rideshare, satellite servicing and refueling, space station servicing, satellite repositioning, and orbital debris removal. It also provides lunar data services, comprising Lunar data network, lunar south pole and far-side coverage, lunar positioning services, data relay, and data storage/caching. In addition, the company offers propulsion systems and navigation systems; engineering services contracts; lunar mobility vehicles, such as rovers and drones; power infrastructure that includes fission surface power; and human habitation systems. It serves its products to the U.S. government, commercial, and international customers. Intuitive Machines, Inc. was founded in 2013 and is headquartered in Houston, Texas.