RTX (NYSE:RTX) Hits New 1-Year High - What's Next?

Key Points

• RTX shares reached a new 52-week high of $226.88, supported by strong quarterly results in which earnings and revenue exceeded analyst expectations. The company reported $1.89 in adjusted EPS and $24.71 billion in revenue, up 14.5% year over year.
• Raytheon secured a $745 million contract to produce and sustain SM-3 Block IIA missile interceptors, adding backlog and reinforcing RTX’s position in ballistic-missile defense. The company also demonstrated a new autonomous unmanned undersea vehicle with potential future defense applications.
• Analyst sentiment remains favorable, with a consensus “Moderate Buy” rating and an average price target of $228.59; RBC raised its target to $250. RTX also declared a quarterly dividend of $0.73 per share, while insiders have recently sold shares.

RTX Corporation (NYSE:RTX - Get Free Report)'s share price reached a new 52-week high on Tuesday . The stock traded as high as $226.88 and last traded at $223.46, with a volume of 3278215 shares changing hands. The stock had previously closed at $223.03.

Key Headlines Impacting RTX

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Raytheon awarded a $745 million SM-3 contract: RTX’s Raytheon business received a Missile Defense Agency contract to produce and sustain Standard Missile-3 Block IIA interceptors. The award provides additional backlog and revenue visibility while reinforcing RTX’s position in U.S. and allied ballistic-missile defense. RTX's Raytheon awarded $745 million contract for SM-3 IIA interceptors
• Positive Sentiment: New unmanned undersea vehicle demonstrated: Raytheon and Composite Energy Technologies successfully demonstrated undersea launch capabilities for HADALUS, a low-cost, long-endurance autonomous unmanned undersea vehicle. The technology could expand RTX’s exposure to emerging maritime surveillance and defense applications, although the near-term financial impact is not yet quantified. RTX's Raytheon and Composite Energy Technology successfully demonstrate new unmanned undersea vehicle

Analysts Set New Price Targets

RTX has been the topic of a number of research analyst reports. Royal Bank Of Canada raised their price objective on shares of RTX from $230.00 to $250.00 and gave the stock an "outperform" rating in a report on Friday, July 24th. Weiss Ratings raised shares of RTX from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, July 24th. UBS Group lifted their price target on RTX from $198.00 to $215.00 and gave the company a "neutral" rating in a research note on Friday, July 24th. Wall Street Zen lowered RTX from a "strong-buy" rating to a "buy" rating in a report on Sunday, April 26th. Finally, Argus set a $245.00 price objective on RTX in a research report on Thursday, July 30th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, RTX currently has a consensus rating of "Moderate Buy" and a consensus price target of $228.59.

RTX Stock Performance

The stock's 50-day moving average price is $196.38 and its 200 day moving average price is $194.12. The firm has a market cap of $301.17 billion, a P/E ratio of 39.34, a price-to-earnings-growth ratio of 2.66 and a beta of 0.29. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.01 and a quick ratio of 0.78.

RTX (NYSE:RTX - Get Free Report) last released its earnings results on Thursday, July 23rd. The company reported $1.89 earnings per share for the quarter, beating analysts' consensus estimates of $1.66 by $0.23. The business had revenue of $24.71 billion during the quarter, compared to the consensus estimate of $22.89 billion. RTX had a net margin of 8.28% and a return on equity of 13.99%. The firm's revenue for the quarter was up 14.5% compared to the same quarter last year. During the same quarter last year, the firm earned $1.56 earnings per share. RTX has set its FY 2026 guidance at 7.100-7.250 EPS. As a group, equities analysts predict that RTX Corporation will post 7.21 EPS for the current year.

RTX Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Friday, August 14th will be given a $0.73 dividend. This represents a $2.92 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date of this dividend is Friday, August 14th. RTX's dividend payout ratio (DPR) is presently 51.41%.

Insider Buying and Selling at RTX

In other news, VP Kevin G. Dasilva sold 2,250 shares of the firm's stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $216.93, for a total transaction of $488,092.50. Following the completion of the sale, the vice president 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 can be accessed through this link. Also, insider Troy D. Brunk sold 8,557 shares of RTX stock in a transaction that occurred on Friday, July 24th. The stock was sold at an average price of $210.29, for a total value of $1,799,451.53. Following the sale, the insider directly owned 8,809 shares of the company's stock, valued at approximately $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. Insiders have sold a total of 15,567 shares of company stock valued at $3,304,375 in the last ninety days. Insiders own 0.10% of the company's stock.

Hedge Funds Weigh In On RTX

Several hedge funds and other institutional investors have recently made changes to their positions in RTX. Quartz Partners LLC bought a new stake in shares of RTX during the 2nd quarter worth approximately $313,000. Frazier Financial Advisors LLC bought a new position in RTX in the second quarter valued at approximately $87,000. Bell & Brown Wealth Advisors LLC acquired a new position in RTX during the second quarter valued at approximately $4,984,000. Strategic Equity Management bought a new stake in RTX during the second quarter worth $245,000. Finally, Northcape Wealth Management LLC acquired a new stake in shares of RTX in the 2nd quarter valued at $3,839,000. 86.50% of the stock is currently owned by institutional investors and hedge funds.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source