RTX Corporation (NYSE:RTX) Stock Has Consensus Price Target of $226.75

Key Points

• Analysts maintain a Moderate Buy consensus on RTX, with 18 buy, 8 hold and 1 sell rating among 27 firms. The average 12-month price target is $226.75.
• RTX reported strong quarterly results, posting $1.89 in EPS versus a $1.66 estimate and $24.71 billion in revenue, up 14.5% year over year. Defense contract wins and aerospace aftermarket demand are supporting its backlog and earnings outlook.
• Shares opened at $186.98, below the consensus target, but RTX’s valuation remains elevated at roughly 33 times earnings. Recent insider selling and a price-target cut from Bernstein are potential near-term headwinds.

RTX Corporation (NYSE:RTX - Get Free Report) has received an average recommendation of "Moderate Buy" from the twenty-seven research firms that are covering the company, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating and eighteen have assigned a buy rating to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $226.75.

A number of research analysts have recently commented on the company. Susquehanna increased their price objective on RTX from $235.00 to $245.00 and gave the company a "positive" rating in a report on Friday, July 24th. Royal Bank Of Canada cut their price objective on RTX from $250.00 to $235.00 and set an "outperform" rating on the stock in a research note on Thursday. DA Davidson boosted their target price on RTX from $192.00 to $219.00 and gave the stock a "neutral" rating in a report on Monday, July 27th. Jefferies Financial Group set a $250.00 target price on RTX and gave the stock a "buy" rating in a research report on Sunday, July 26th. Finally, Deutsche Bank Aktiengesellschaft cut RTX from a "buy" rating to a "hold" rating and set a $208.00 target price for the company. in a research report on Tuesday.

RTX News Summary

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Raytheon, an RTX business, was selected to modernize U.S. Space Force global early-warning radar sites. The project should strengthen RTX’s position in missile defense and space surveillance while adding to its long-term government revenue pipeline. RTX's Raytheon selected to modernize U.S. Space Force global early warning radars
• Positive Sentiment: Recent contract momentum remains a major catalyst, including an up-to-$6.3 billion SM-3 interceptor award, $729 million in counter-drone contracts for the U.S. and international customers, and an $8 billion nuclear communications modernization contract. These awards expand backlog visibility and could support future cash flow and earnings. RTX could be undervalued on fresh defense contract wins
• Positive Sentiment: Analyst previews suggest RTX may again exceed quarterly earnings estimates, supported by defense demand, commercial aerospace aftermarket growth and its history of positive earnings surprises. The company previously reported quarterly EPS of $1.89 versus a $1.66 consensus estimate. Why RTX is poised to beat earnings estimates again
• Neutral Sentiment: RTX’s valuation remains elevated, with a trailing P/E near 33, although projected earnings growth, a substantial backlog and a relatively low beta may appeal to investors seeking defensive exposure.
• Negative Sentiment: Sanford C. Bernstein lowered its price target from $223 to $214 and kept a “market perform” rating. Although the revised target still implies upside, the downgrade may limit near-term enthusiasm. RTX price target lowered by Sanford C. Bernstein

RTX Stock Up 0.3%

RTX stock opened at $186.98 on Friday. The firm has a market cap of $252.00 billion, a PE ratio of 32.92, a PEG ratio of 2.40 and a beta of 0.31. RTX has a 1 year low of $156.10 and a 1 year high of $226.88. The company has a fifty day simple moving average of $200.27 and a 200 day simple moving average of $193.65. 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 (NYSE:RTX - Get Free Report) last posted its earnings results on Thursday, July 23rd. The company reported $1.89 EPS for the quarter, topping the consensus estimate 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 prior year, the business posted $1.56 earnings per share. 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. Sell-side analysts anticipate that RTX will post 7.22 EPS for the current fiscal year.

Insider Transactions at RTX

In related news, VP Kevin G. Dasilva sold 2,250 shares of the firm's stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $216.93, for a total value of $488,092.50. Following the transaction, the vice president directly owned 20,099 shares in the company, valued at approximately $4,360,076.07. This trade represents a 10.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, insider Troy D. Brunk sold 8,557 shares of the firm's stock in a transaction on Friday, July 24th. The shares were sold at an average price of $210.29, for a total transaction of $1,799,451.53. Following the completion of the transaction, the insider owned 8,809 shares in the company, valued at $1,852,444.61. The trade was a 49.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 29,222 shares of company stock worth $6,362,003. 0.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. V Square Quantitative Management LLC grew its stake in shares of RTX by 6.4% in the third quarter. V Square Quantitative Management LLC now owns 4,909 shares of the company's stock worth $911,000 after acquiring an additional 295 shares during the last quarter. Community Financial Services Group LLC raised its stake in RTX by 6.5% during the 3rd quarter. Community Financial Services Group LLC now owns 4,037 shares of the company's stock valued at $747,000 after purchasing an additional 247 shares during the last quarter. Perpetual Ltd raised its stake in RTX by 12.3% during the 3rd quarter. Perpetual Ltd now owns 6,247 shares of the company's stock valued at $1,160,000 after purchasing an additional 682 shares during the last quarter. JGP Wealth Management LLC raised its stake in RTX by 1.7% during the 3rd quarter. JGP Wealth Management LLC now owns 83,423 shares of the company's stock valued at $15,487,000 after purchasing an additional 1,370 shares during the last quarter. Finally, Eastern Bank boosted its holdings in RTX by 112.0% in the 3rd quarter. Eastern Bank now owns 177,392 shares of the company's stock valued at $32,933,000 after purchasing an additional 93,725 shares during the period. Institutional investors and hedge funds own 86.50% of the company's stock.

RTX Company Profile

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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