Capital International Investors Decreases Holdings in RTX Corporation $RTX

Key Points

• Capital International Investors reduced its RTX stake by 18.9% in the fourth quarter, selling 10.4 million shares and leaving it with 44.5 million shares worth about $8.16 billion.
• Wall Street sentiment on RTX remains constructive overall, with an average “Moderate Buy” rating and a consensus price target of $211.38, even though several analysts recently trimmed targets.
• Recent business updates were positive: Jefferies upgraded RTX to Buy with a $220 target, RTX won a $515 million U.S. Navy contract for SPY-6 radar systems, and the company raised its quarterly dividend to $0.73 per share.

Capital International Investors trimmed its stake in RTX Corporation (NYSE:RTX - Free Report) by 18.9% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 44,512,309 shares of the company's stock after selling 10,387,516 shares during the period. RTX accounts for approximately 1.3% of Capital International Investors' holdings, making the stock its 17th largest position. Capital International Investors owned about 3.32% of RTX worth $8,164,005,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Navalign LLC purchased a new stake in shares of RTX in the 4th quarter worth $25,000. BNP Paribas purchased a new stake in RTX in the 3rd quarter worth $25,000. Core Wealth Advisors LLC purchased a new stake in RTX in the 4th quarter worth $31,000. Wexford Capital LP purchased a new stake in RTX in the 3rd quarter worth $33,000. Finally, Dogwood Wealth Management LLC increased its stake in RTX by 57.3% in the 3rd quarter. Dogwood Wealth Management LLC now owns 206 shares of the company's stock worth $34,000 after buying an additional 75 shares in the last quarter. 86.50% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on RTX shares. Wall Street Zen lowered RTX from a "strong-buy" rating to a "buy" rating in a research note on Sunday, April 26th. Melius Research upgraded RTX from a "hold" rating to a "buy" rating in a research note on Thursday, April 2nd. UBS Group cut their price target on RTX from $209.00 to $199.00 and set a "neutral" rating for the company in a research note on Wednesday, April 22nd. Citigroup cut their price target on RTX from $238.00 to $226.00 and set a "buy" rating for the company in a research note on Thursday, April 2nd. Finally, Morgan Stanley cut their price target on RTX from $235.00 to $220.00 and set an "overweight" rating for the company in a research note on Wednesday, April 22nd. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $211.38.

Key Headlines Impacting RTX

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Jefferies upgraded RTX to Buy from Hold and raised its price target to $220, citing improving profit margins, strength in the defense business, and growth in commercial aerospace engine aftermarket revenue. RTX stock rises 4% after Jefferies upgrade, lifts target to $220
• Positive Sentiment: RTX won a $515 million U.S. Navy contract for its SPY-6 radar systems, expanding the program’s deployment across the Navy and allied governments and reinforcing the company’s defense electronics growth story. RTX SPY-6 Radar Win Expands Naval Role And Long Term Appeal
• Positive Sentiment: RTX is expanding landing gear production with a new Poland facility, a sign Collins Aerospace is investing to meet rising aircraft demand and support longer-term commercial aerospace growth. How Is RTX Expanding Landing Gear Production to Support Growth?
• Neutral Sentiment: Several articles repeated a broad “brokers suggest investing in RTX” theme, but these pieces mainly question the usefulness of average analyst ratings and do not add much new fundamental information. Brokers Suggest Investing in RTX (RTX): Read This Before Placing a Bet
• Neutral Sentiment: Tech headlines mentioning “RTX Spark” relate to NVIDIA’s product branding, not RTX Corporation, so they should not materially affect RTX stock. NVIDIA’s RTX Spark Superchip...

RTX Stock Up 1.0%

Shares of NYSE:RTX opened at $181.26 on Friday. The company has a current ratio of 1.02, a quick ratio of 0.78 and a debt-to-equity ratio of 0.48. RTX Corporation has a 12 month low of $135.43 and a 12 month high of $214.50. The company has a 50-day moving average price of $184.04 and a 200 day moving average price of $188.72. The company has a market cap of $244.10 billion, a price-to-earnings ratio of 34.01, a PEG ratio of 2.57 and a beta of 0.31.

RTX (NYSE:RTX - Get Free Report) last announced its quarterly earnings data on Tuesday, April 21st. The company reported $1.78 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.52 by $0.26. The business had revenue of $22.08 billion during the quarter, compared to the consensus estimate of $21.38 billion. RTX had a net margin of 8.03% and a return on equity of 13.50%. The firm's quarterly revenue was up 8.7% compared to the same quarter last year. During the same quarter last year, the firm earned $1.47 earnings per share. RTX has set its FY 2026 guidance at 6.600-6.800 EPS. As a group, equities research analysts predict that RTX Corporation will post 6.91 earnings per share for the current year.

RTX Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Friday, May 22nd will be paid a dividend of $0.73 per share. This is a boost from RTX's previous quarterly dividend of $0.68. This represents a $2.92 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, May 22nd. RTX's payout ratio is presently 54.78%.

About RTX

RTX NYSE: RTX is a U.S.-based aerospace and defense company that designs, manufactures and services advanced systems for commercial, military and governmental customers worldwide. The company was created through the 2020 combination of Raytheon Company and United Technologies Corporation and later adopted the RTX name, positioning itself as a diversified provider across the aerospace and defense value chain.

RTX's operations span a broad set of capabilities. Its commercial aerospace businesses include Pratt & Whitney aircraft engines and Collins Aerospace systems, which supply propulsion, avionics, aerostructures, interiors and integrated aircraft systems.

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