RTX (NYSE:RTX) Price Target Cut to $220.00 by Analysts at Morgan Stanley

Key Points

• Morgan Stanley cut its price target on RTX from $235 to $220 while maintaining an "overweight" rating, implying roughly a 21.9% upside from the prior close.
• Q1 beat but mixed guidance: RTX reported $1.78 EPS on $22.08B revenue and raised FY‑2026 EPS guidance to 6.600–6.800, yet the guidance midpoint and EPS range fell short of some expectations, prompting a ~3.6% drop to $180.48.
• Market view is broadly positive with an average analyst rating of "Moderate Buy" and a mean target of $202.78, even as insiders sold ~89,255 shares (~$18.15M) and institutional investors own about 86.5% of the stock.

RTX (NYSE:RTX - Get Free Report) had its target price cut by Morgan Stanley from $235.00 to $220.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Morgan Stanley's target price would indicate a potential upside of 21.90% from the stock's previous close.

Other research analysts have also recently issued reports about the stock. Vertical Research reiterated a "buy" rating and set a $227.00 target price on shares of RTX in a report on Tuesday, January 27th. JPMorgan Chase & Co. increased their target price on shares of RTX from $200.00 to $215.00 and gave the stock an "overweight" rating in a report on Wednesday, January 28th. TD Cowen reiterated a "buy" rating on shares of RTX in a report on Tuesday, January 27th. Jefferies Financial Group decreased their price target on shares of RTX from $225.00 to $210.00 and set a "hold" rating for the company in a research report on Monday, April 13th. Finally, Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $240.00 price target on shares of RTX in a research report on Thursday, March 5th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, RTX presently has an average rating of "Moderate Buy" and an average target price of $202.78.

RTX Stock Down 3.6%

RTX stock traded down $6.69 during midday trading on Wednesday, hitting $180.48. 3,283,933 shares of the company's stock were exchanged, compared to its average volume of 5,850,618. The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.80 and a current ratio of 1.03. RTX has a 12 month low of $117.28 and a 12 month high of $214.50. The firm has a 50-day moving average of $200.22 and a two-hundred day moving average of $187.74. The company has a market cap of $242.92 billion, a PE ratio of 36.37, a P/E/G ratio of 2.83 and a beta of 0.43.

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, topping the consensus estimate of $1.52 by $0.26. RTX had a net margin of 7.60% and a return on equity of 13.08%. The company had revenue of $22.08 billion for the quarter, compared to analysts' expectations of $21.38 billion. During the same period in the prior year, the business earned $1.47 EPS. The firm's quarterly revenue was up 8.7% on a year-over-year basis. RTX has set its FY 2026 guidance at 6.600-6.800 EPS. As a group, analysts expect that RTX will post 6.8 earnings per share for the current fiscal year.

Insider Buying and Selling at RTX

In other RTX news, EVP Neil G. Mitchill, Jr. sold 35,755 shares of the stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $205.56, for a total transaction of $7,349,797.80. Following the completion of the sale, the executive vice president directly owned 59,556 shares of the company's stock, valued at approximately $12,242,331.36. This represents a 37.51% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Shane G. Eddy sold 17,527 shares of the stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $199.16, for a total transaction of $3,490,677.32. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 89,255 shares of company stock valued at $18,151,956. 0.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On RTX

Several hedge funds and other institutional investors have recently modified their holdings of RTX. BNP Paribas purchased a new position in shares of RTX in the 3rd quarter valued at approximately $25,000. Navalign LLC purchased a new position in shares of RTX in the 4th quarter valued at approximately $25,000. Commonwealth Retirement Investments LLC purchased a new position in shares of RTX in the 4th quarter valued at approximately $26,000. Valley Wealth Managers Inc. purchased a new position in shares of RTX in the 3rd quarter valued at approximately $30,000. Finally, Core Wealth Advisors LLC purchased a new position in shares of RTX in the 4th quarter valued at approximately $31,000. 86.50% of the stock is owned by hedge funds and other institutional investors.

More RTX News

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Q1 beat on both sales and profit: RTX reported $22.08B in revenue and $1.78 adjusted EPS, above consensus — evidence of broad-based strength across defense and commercial aerospace. Q1 Earnings Call Highlights
• Positive Sentiment: Company raised FY‑2026 outlook (adjusted EPS guidance and higher sales range), signaling management confidence in demand and cash flow generation. That underpins longer‑term earnings visibility. Guidance Raise Article
• Positive Sentiment: Continuing contract wins, deliveries and backlog support: recent Navy contract modification and international NGJ deliveries, plus potential Germany combat-systems deal, reinforce backlog and defense tailwinds. Germany Combat Systems Deal
• Neutral Sentiment: Operational capacity investments announced (Pratt & Whitney: Poland $100M, U.S. MRO expansions, new Morocco facility) expand long‑term production and aftermarket capability but are multi‑year positives. Pratt & Whitney Poland Investment
• Neutral Sentiment: Management flagged ongoing supply‑chain and tariff challenges on the call — these are being managed but add execution risk and could pressure margins/timing on some programs. Earnings Call Highlights
• Negative Sentiment: Guidance vs. Street: the midpoint of full‑year revenue and the EPS range came in slightly below some analyst expectations (revenue midpoint modestly under consensus; EPS range marginally below consensus), which prompted profit‑taking and a negative market reaction. Down After Raising Guidance
• Negative Sentiment: Geopolitical and tariff headlines (including commentary tied to regional conflicts) elevated near‑term uncertainty — investors appear to be favoring the certainty of small guidance shortfalls over longer‑term tailwinds today. Why It Raised Guidance Amid Iran War

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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