BAE Systems vs Rolls-Royce
BAE Systems plc (BA.L) and Rolls-Royce Holdings plc (RR.L) · Industrials
As of 24 October 2026, BAE Systems has a StockDecks Fundamental Score of +8 (grade B−) and Rolls-Royce +1 (grade B−), on a −100 to +100 scale. BAE Systems rates higher on Growth and Valuation; Rolls-Royce rates higher on Financial Health and Profitability.
| Rating | BA.L | RR.L |
|---|---|---|
| Fundamental Score | +8Grade B− | +1Grade B− |
| Financial Health | +19 | +22 |
| Profitability | +5 | +35 |
| Growth | +9 | -34 |
| Valuation | -2 | -19 |
Both companies are measured against the same Industrials benchmarks, so their scores compare directly. Scores describe each company as it stands; they are not forecasts or recommendations.
The measures side by side
Each figure is the latest reported value; the number beneath is how it scores on the −100 to +100 scale. A dash means no genuine figure is available. Tap a measure’s name for a plain-English explanation.
Financial Health
| Measure | BA.L | RR.L |
|---|---|---|
| Debt to equity | 0.73×+24 | 1.52×-23 |
| Current ratio | 1.02×+2 | 1.24×+22 |
| Quick ratio | 0.9×+12 | 0.75×-8 |
| FCF / Total debt | 0.32×+44 | 1.05×+97 |
Profitability
| Measure | BA.L | RR.L |
|---|---|---|
| Gross margin | 13.3%-91 | 28.8%+5 |
| Operating margin | 9.7%-30 | 21.1%+91 |
| Net margin | 7.2%-15 | 13.1%+66 |
| Return on equity | 18.6%+78 | 114.5%+100 |
| Gross profit / assets | 49%+55 | 16.2%-12 |
| Asset turnover | 0.75× | 0.56× |
Growth
| Measure | BA.L | RR.L |
|---|---|---|
| Revenue growth (YoY) | 7.7%+24 | 20.6%+93 |
| Earnings growth (YoY) | 5.6%+2 | -63%-97 |
| Earnings growth (Q) | 5.3%+1 | -63.5%-97 |
Valuation
| Measure | BA.L | RR.L |
|---|---|---|
| P/E (trailing) | 27.6×-7 | 32.34×-19 |
| Forward P/E | 20.18×-1 | 22.98×-9 |
| PEG ratio | 2.75×-75 | 1.9×-24 |
| Price/Book | 4.67×-30 | 33.94×-100 |
| Price/Sales | 1.92×+90 | 4.13×+26 |
| EV/EBITDA | 16.77×-8 | 18.59×-16 |
| FCF yield | 5.2%+18 | 4.8%+12 |
Key figures
| BA.L | RR.L | |
|---|---|---|
| Industry | Aerospace & Defense | Aerospace & Defense |
| Market cap | £56.5B | £95.6B |
| Dividend yield | 1.96% | 1.03% |
| Payout ratio | 52.01% | 26.19% |
| Beta | -0.04 | 1.27 |
About the companies
BAE Systems. BAE Systems plc provides defense, aerospace, and security solutions in the United States, the United Kingdom, the Middle East, Australia, Kingdom of Saudi Arabia, Europe, and internationally. Full BAE Systems rating
Rolls-Royce. Rolls-Royce Holdings plc designs and manages mission-critical power systems in the United Kingdom and internationally. Full Rolls-Royce rating
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These figures were captured on 24 October 2026. StockDecks shows the current numbers, plus Hype, Analyst Upside, Trend Signals and Insider Track, all free.