LHX vs CAT vs RTX vs DE vs JPM

For growth investors, RTX Corporation (RTX) is the stronger pick with 9.

7% revenue growth year-over-year, versus -11. 6% for Deere & Company (DE). JPMorgan Chase & Co. (JPM) offers the better valuation at 16. 2x trailing P/E (14. 6x forward), making it the more compelling value choice. Analysts rate L3Harris Technologies, Inc. (LHX) a "Buy" — based on 32 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, JPMorgan Chase & Co.

(JPM) is the cheapest at 16. 2x versus Caterpillar Inc. at 52. 4x. On forward P/E, JPMorgan Chase & Co. is actually cheaper at 14. 6x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: JPMorgan Chase & Co. wins at 0. 83x versus L3Harris Technologies, Inc. 's 2. 42x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Caterpillar Inc.

(CAT) delivered a total return of +384. 5%, compared to +45. 2% for L3Harris Technologies, Inc. (LHX). Over 10 years, the gap is even starker: CAT returned +1247% versus RTX's +244. 6%. 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), L3Harris Technologies, Inc.

(LHX) is the lower-risk stock at 0. 38β versus Caterpillar Inc. 's 1. 64β — meaning CAT is approximately 326% more volatile than LHX relative to the S&P 500. On balance sheet safety, L3Harris Technologies, Inc. (LHX) carries a lower debt/equity ratio of 53% versus 3% for JPMorgan Chase & Co. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), RTX Corporation (RTX) is pulling ahead at 9.

7% versus -11. 6% for Deere & Company (DE). On earnings-per-share growth, the picture is similar: RTX Corporation grew EPS 39. 7% year-over-year, compared to -27. 8% for Deere & Company. Over a 3-year CAGR, RTX leads at 9. 7% 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.

JPMorgan Chase & Co.

(JPM) is the more profitable company, earning 20. 4% net margin versus 7. 3% for L3Harris Technologies, Inc. — meaning it keeps 20. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: JPM leads at 26. 0% versus 10. 0% for RTX. At the gross margin level — before operating expenses — JPM leads at 59. 9%, 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, JPMorgan Chase & Co. (JPM) is the more undervalued stock at a PEG of 0. 83x versus L3Harris Technologies, Inc. 's 2. 42x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, JPMorgan Chase & Co. (JPM) trades at 14. 6x forward P/E versus 40. 0x for Caterpillar Inc. — 25. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for RTX: 20. 9% to $224. 33.

All stocks in this comparison pay dividends.

JPMorgan Chase & Co. (JPM) offers the highest yield at 1. 8%, versus 0. 6% for Caterpillar Inc. (CAT).

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

54), 1. 1% yield, +636. 2% 10Y return). Caterpillar Inc. (CAT) carries a higher beta of 1. 64 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (DE: +636. 2%, CAT: +1247%), 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.

These companies operate in different sectors (LHX (Industrials) and CAT (Industrials) and RTX (Industrials) and DE (Industrials) and JPM (Financial Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: LHX is a mid-cap quality compounder stock; CAT is a large-cap quality compounder stock; RTX is a large-cap quality compounder stock; DE is a mid-cap quality compounder stock; JPM is a large-cap deep-value stock. 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.