TATT vs GE vs RTX vs HWM vs TDG

For growth investors, GE Aerospace (GE) is the stronger pick with 18.

5% revenue growth year-over-year, versus 9. 7% for RTX Corporation (RTX). TAT Technologies Ltd. (TATT) offers the better valuation at 26. 6x trailing P/E (24. 8x forward), making it the more compelling value choice. Analysts rate TAT Technologies Ltd. (TATT) a "Buy" — based on 5 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, TAT Technologies Ltd.

(TATT) is the cheapest at 26. 6x versus Howmet Aerospace Inc. at 72. 9x. On forward P/E, TAT Technologies Ltd. is actually cheaper at 24. 8x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: TransDigm Group Incorporated wins at 0. 98x versus GE Aerospace's 3. 33x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Howmet Aerospace Inc.

(HWM) delivered a total return of +734. 3%, compared to +121. 0% for RTX Corporation (RTX). Over 10 years, the gap is even starker: HWM returned +1231% versus GE's +117. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), RTX Corporation (RTX) is the lower-risk stock at 0.

50β versus TAT Technologies Ltd. 's 1. 74β — meaning TATT is approximately 247% more volatile than RTX relative to the S&P 500. On balance sheet safety, TAT Technologies Ltd. (TATT) carries a lower debt/equity ratio of 10% versus 108% for GE Aerospace — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), GE Aerospace (GE) is pulling ahead at 18.

5% versus 9. 7% for RTX Corporation (RTX). On earnings-per-share growth, the picture is similar: RTX Corporation grew EPS 39. 7% year-over-year, compared to 25. 2% for TransDigm Group Incorporated. Over a 3-year CAGR, TATT leads at 28. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

TransDigm Group Incorporated (TDG) is the more profitable company, earning 23.

5% net margin versus 7. 6% for RTX Corporation — meaning it keeps 23. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: TDG leads at 47. 2% versus 10. 0% for RTX. At the gross margin level — before operating expenses — TDG leads at 60. 1%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, TransDigm Group Incorporated (TDG) is the more undervalued stock at a PEG of 0. 98x versus GE Aerospace's 3. 33x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, TAT Technologies Ltd. (TATT) trades at 24. 8x forward P/E versus 57. 0x for Howmet Aerospace Inc. — 32. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TATT: 45. 5% to $53. 00.

In this comparison, TDG (13.

6% yield), RTX (1. 5% yield), GE (0. 5% yield), HWM (0. 2% yield) pay a dividend. TATT does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, RTX Corporation (RTX) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

50), 1. 5% yield, +233. 5% 10Y return). TAT Technologies Ltd. (TATT) carries a higher beta of 1. 74 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (RTX: +233. 5%, TATT: +436. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: TATT is a small-cap high-growth stock; GE is a large-cap high-growth stock; RTX is a large-cap quality compounder stock; HWM is a mid-cap quality compounder stock; TDG is a mid-cap income-oriented stock. RTX, TDG pay a dividend while TATT, GE, HWM do not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.