RTX (NYSE:RTX) Price Target Cut to $225.00 by Analysts at TD Cowen

Key Points

• TD Cowen lowered its RTX price target from $240 to $225 while maintaining a “buy” rating, implying approximately 20.8% upside from the reported $186.24 share price.
• Analyst sentiment remains broadly positive: RTX has a “Moderate Buy” consensus rating and an average price target of $228.58, based on 19 Buy, seven Hold and one Sell rating.
• RTX reported stronger-than-expected quarterly results, with EPS of $1.89 and revenue of $24.71 billion, while recent missile-defense contract wins and favorable commercial aerospace aftermarket trends support its outlook.

RTX (NYSE:RTX - Get Free Report) had its price objective lowered by analysts at TD Cowen from $240.00 to $225.00 in a report released on Friday, Benzinga reports. The brokerage presently has a "buy" rating on the stock. TD Cowen's price objective would suggest a potential upside of 20.81% from the company's current price.

RTX has been the subject of several other research reports. Weiss Ratings upgraded shares of RTX from a "buy (b-)" rating to a "buy (b)" rating in a report on Tuesday, August 25th. Jefferies Financial Group set a $250.00 price objective on shares of RTX and gave the company a "buy" rating in a research report on Sunday, July 26th. Morgan Stanley reissued an "overweight" rating and issued a $240.00 price objective (up from $220.00) on shares of RTX in a report on Friday, July 24th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $238.00 price objective (up from $228.00) on shares of RTX in a report on Monday, July 27th. Finally, BNP Paribas Exane boosted their price target on RTX from $220.00 to $265.00 and gave the stock an "outperform" rating in a research report on Friday, July 24th. Nineteen investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $228.58.

RTX Price Performance

Shares of RTX stock traded up $1.92 on Friday, reaching $186.24. The company's stock had a trading volume of 617,793 shares, compared to its average volume of 5,319,809. The company has a market capitalization of $251.01 billion, a price-to-earnings ratio of 32.82, a price-to-earnings-growth ratio of 2.32 and a beta of 0.31. The stock's fifty day simple moving average is $203.61 and its 200-day simple moving average is $193.91. The company has a current ratio of 1.01, a quick ratio of 0.78 and a debt-to-equity ratio of 0.47. RTX has a 1 year low of $155.64 and a 1 year high of $226.88.

RTX (NYSE:RTX - Get Free Report) last posted its earnings results on Thursday, July 23rd. The company reported $1.89 earnings per share for the quarter, topping analysts' consensus estimates of $1.66 by $0.23. RTX had a net margin of 8.28% and a return on equity of 13.99%. The firm had revenue of $24.71 billion for the quarter, compared to the consensus estimate of $22.89 billion. During the same period in the previous year, the firm posted $1.56 EPS. The business's quarterly revenue was up 14.5% on a year-over-year basis. RTX has set its FY 2026 guidance at 7.100-7.250 EPS. Analysts forecast that RTX will post 7.22 earnings per share for the current fiscal year.

Insider Activity at RTX

In other RTX news, VP Kevin G. Dasilva sold 2,250 shares of the stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $216.93, for a total transaction of $488,092.50. Following the transaction, the vice president owned 20,099 shares of the company's stock, valued at $4,360,076.07. This represents a 10.07% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, EVP Ramsaran Maharajh sold 13,655 shares of the business's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $223.92, for a total value of $3,057,627.60. Following the sale, the executive vice president directly owned 13,184 shares of the company's stock, valued at approximately $2,952,161.28. This trade represents a 50.88% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 29,222 shares of company stock valued at $6,362,003 over the last quarter. Insiders own 0.10% of the company's stock.

Hedge Funds Weigh In On RTX

Institutional investors have recently modified their holdings of the company. BlackRock Inc. purchased a new position in shares of RTX during the second quarter valued at $20,970,571,000. State Street Corp raised its stake in shares of RTX by 3.1% in the second quarter. State Street Corp now owns 95,417,318 shares of the company's stock valued at $18,103,528,000 after acquiring an additional 2,828,056 shares during the last quarter. Auto Owners Insurance Co lifted its holdings in RTX by 24,730.9% during the 4th quarter. Auto Owners Insurance Co now owns 10,102,956 shares of the company's stock worth $1,852,882,000 after buying an additional 10,062,269 shares in the last quarter. Invesco Ltd. raised its holdings in RTX by 0.5% during the 4th quarter. Invesco Ltd. now owns 9,134,677 shares of the company's stock worth $1,675,300,000 after purchasing an additional 48,070 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of RTX by 5.0% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 8,693,939 shares of the company's stock worth $1,649,501,000 after buying an additional 411,356 shares during the period. Institutional investors own 86.50% of the company's stock.

Key RTX News

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Raytheon won a missile-defense contract worth up to $6.3 billion. The five-year agreement, with two additional option years, covers production and sustainment of Standard Missile-3 Block IB interceptors. The award provides multiyear revenue visibility and supports RTX’s effort to expand munitions production. RTX's Raytheon wins up to $6.3 billion US missile contract
• Positive Sentiment: Raytheon also secured a potential $24.4 billion U.S. Navy Standard Missile-6 contract. The five-year award covers offensive-strike and missile-defense missions and is expected to support higher production capacity and long-term demand. The scale of the contract reinforces RTX’s position in naval weapons and missile defense. RTX secures $24.4 billion Standard Missile 6 contract
• Positive Sentiment: Commercial aerospace aftermarket conditions appear favorable. RBC raised its 2027 commercial MRO growth forecast to 11.6% after surveying maintenance providers, with reported third-quarter MRO sales up 11% and parts purchasing up 13.4%. Strong engine-maintenance demand could benefit RTX’s Collins Aerospace and Pratt & Whitney businesses. Aerospace aftermarket outlook strengthens
• Neutral Sentiment: Analysts remain broadly optimistic, citing defense contracts, missile-production growth and liquidity, while noting that RTX trades at a premium valuation. The stock’s reported forward outlook remains solid, but expectations are already elevated. Is RTX a Buy as Wall Street Analysts Look Optimistic?
• Negative Sentiment: Jim Cramer highlighted a complication behind RTX’s recent weakness: some investors fear defense spending may have peaked, despite the company’s contract wins. That concern, combined with premium valuation and shares remaining below key moving averages, could create near-term volatility. RTX Keeps Winning Contracts, but Jim Cramer Sees a Complication

About RTX

RTX Corporation NYSE: RTX is an aerospace and defense company that develops and supplies technologies for commercial aviation, business aviation, military operations and space applications. The company serves customers including aircraft manufacturers, airlines, governments and armed forces worldwide.

RTX operates through three principal business segments: Collins Aerospace, which provides aerospace systems, avionics, interiors, landing systems and other aircraft equipment; Pratt & Whitney, which designs and manufactures aircraft engines and provides related maintenance and services; and Raytheon, which develops integrated air and missile defense systems, precision weapons, radars, sensors, command-and-control technologies and other defense solutions.

The company was formed in 2020 through the combination of Raytheon Company and United Technologies Corporation, although its businesses trace their histories to earlier aerospace and technology companies, including Pratt & Whitney and Collins Aerospace predecessor organizations.

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