RTX Corporation (NYSE:RTX) Declares Dividend Increase - $0.73 Per Share

Key Points

• RTX declared a quarterly dividend of $0.73 per share, a 7.4% increase from the prior $0.68, payable June 11 to shareholders of record May 22 and implying a yield of about 1.7%.
• The dividend appears well covered: RTX's payout ratio is about 40.6% (expected to fall to ~36.2% next year) after the company beat Q1 estimates with $1.78 EPS on $22.08B revenue and set FY2026 guidance of $6.60–$6.80 EPS.
• Analysts remain broadly positive, with a "Moderate Buy" consensus and a mean target price of $206.59 amid ratings that range from Strong Buy to Hold.

RTX Corporation (NYSE:RTX - Get Free Report) declared a quarterly dividend on Thursday, April 30th. Investors of record on Friday, May 22nd will be paid a dividend of 0.73 per share on Thursday, June 11th. This represents a c) dividend on an annualized basis and a yield of 1.7%. The ex-dividend date is Friday, May 22nd. This is a 7.4% increase from RTX's previous quarterly dividend of $0.68.

RTX has decreased its dividend by an average of 0.4%per year over the last three years and has raised its dividend annually for the last 5 consecutive years. RTX has a payout ratio of 40.6% indicating that its dividend is sufficiently covered by earnings. Research analysts expect RTX to earn $7.52 per share next year, which means the company should continue to be able to cover its $2.72 annual dividend with an expected future payout ratio of 36.2%.

RTX Stock Performance

Shares of RTX stock opened at $176.32 on Friday. The company has a fifty day moving average price of $196.65 and a two-hundred day moving average price of $187.94. RTX has a one year low of $126.03 and a one year high of $214.50. The stock has a market cap of $237.45 billion, a P/E ratio of 33.14, a P/E/G ratio of 2.46 and a beta of 0.43. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.02 and a quick ratio of 0.78.

RTX (NYSE:RTX - Get Free Report) last issued its earnings results on Tuesday, April 21st. The company reported $1.78 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.52 by $0.26. The company had revenue of $22.08 billion for the quarter, compared to analysts' expectations of $21.38 billion. RTX had a net margin of 8.03% and a return on equity of 13.50%. RTX's quarterly revenue was up 8.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.47 EPS. RTX has set its FY 2026 guidance at 6.600-6.800 EPS. As a group, equities analysts predict that RTX will post 6.89 EPS for the current year.

Analysts Set New Price Targets

A number of research firms have recently commented on RTX. Weiss Ratings reissued a "buy (b)" rating on shares of RTX in a report on Friday, April 10th. Wolfe Research reiterated an "outperform" rating on shares of RTX in a research note on Wednesday, February 4th. Robert W. Baird set a $225.00 price objective on RTX in a research report on Wednesday, January 28th. Royal Bank Of Canada increased their target price on RTX from $220.00 to $230.00 and gave the company an "outperform" rating in a research report on Wednesday, January 28th. Finally, Erste Group Bank downgraded RTX from a "buy" rating to a "hold" rating in a research note on Monday. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $206.59.

RTX Company Profile

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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