RTX (NYSE:RTX) Trading Up 2.8% - Still a Buy?

Key Points

• RTX shares rose 2.8% on Monday, trading as high as $176.09 after closing at $171.18, though volume was slightly below average.
• Recent business wins remain positive: Raytheon completed a preliminary design review for NASA’s Landsat Next instrument suite and won a Navy research contract for next-generation software-defined radar development.
• Fundamentals and shareholder returns look solid: RTX beat quarterly earnings and revenue estimates, raised its quarterly dividend to $0.73 per share, and guided FY2026 EPS at 6.60–6.80, while analysts still rate the stock a “Moderate Buy” with a $210.75 target.

RTX Corporation (NYSE:RTX - Get Free Report)'s stock price was up 2.8% on Monday . The stock traded as high as $176.09 and last traded at $175.9340. Approximately 5,288,916 shares changed hands during trading, a decline of 11% from the average daily volume of 5,966,628 shares. The stock had previously closed at $171.18.

Key Headlines Impacting RTX

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Raytheon completed the preliminary design review for NASA’s Landsat Next Instrument Suite, keeping RTX on track for a space-systems program that could support future revenue and reinforces its technical execution. RTX's Raytheon completes design review of Landsat Next space instruments
• Positive Sentiment: Raytheon also won a contract from the Office of Naval Research to further develop next-generation software-defined radar capability, a sign of continued demand for RTX’s defense technologies and potential follow-on business. RTX's Raytheon awarded contract to further develop next-generation software-defined radar capability
• Neutral Sentiment: Market commentary is also revisiting RTX’s valuation after a recent pullback, noting the shares have been under pressure over the past several weeks. This may be keeping some investors cautious, even as the business news remains constructive. Assessing RTX (RTX) Valuation After Recent Share Price Weakness And Conflicting Fair Value Signals

Wall Street Analyst Weigh In

A number of research firms have weighed in on RTX. Jefferies Financial Group reduced their target price on RTX from $225.00 to $210.00 and set a "hold" rating on the stock in a research note on Monday, April 13th. JPMorgan Chase & Co. increased their target price on RTX from $200.00 to $215.00 and gave the stock an "overweight" rating in a research note on Wednesday, January 28th. DZ Bank lowered RTX from a "hold" rating to a "strong sell" rating in a research note on Friday, February 6th. Citigroup reduced their target price on RTX from $238.00 to $226.00 and set a "buy" rating on the stock in a research note on Thursday, April 2nd. Finally, Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $240.00 target price on shares of RTX in a research note on Thursday, March 5th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $210.75.

RTX Stock Performance

The business has a 50-day moving average of $191.79 and a two-hundred day moving average of $188.81. The company has a market cap of $236.93 billion, a P/E ratio of 33.01, a P/E/G ratio of 2.43 and a beta of 0.31. 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 quarterly earnings data on Tuesday, April 21st. The company reported $1.78 earnings per share 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 the consensus estimate of $21.38 billion. RTX had a return on equity of 13.50% and a net margin of 8.03%.The firm's revenue for the quarter was up 8.7% compared to the same quarter last year. During the same quarter last year, the company earned $1.47 earnings per share. RTX has set its FY 2026 guidance at 6.600-6.800 EPS. On average, sell-side analysts predict that RTX Corporation will post 6.91 EPS for the current fiscal year.

RTX Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Friday, May 22nd will be issued a $0.73 dividend. This is a boost from RTX's previous quarterly dividend of $0.68. This represents a $2.92 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend is Friday, May 22nd. RTX's dividend payout ratio is 51.03%.

Insider Buying and Selling

In other RTX news, EVP Dantaya M. Williams sold 12,713 shares of the business's stock in a transaction that occurred on Monday, February 23rd. The stock was sold at an average price of $202.83, for a total value of $2,578,577.79. Following the completion of the transaction, the executive vice president directly owned 16,749 shares of the company's stock, valued at approximately $3,397,199.67. The trade was a 43.15% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Ramsaran Maharajh sold 15,124 shares of the business's stock in a transaction that occurred on Thursday, February 19th. The shares were sold at an average price of $204.65, for a total value of $3,095,126.60. Following the completion of the transaction, the executive vice president directly owned 13,184 shares of the company's stock, valued at $2,698,105.60. The trade was a 53.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 63,592 shares of company stock valued at $13,023,502 over the last quarter. 0.10% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. World Investment Advisors raised its stake in RTX by 8.7% in the 4th quarter. World Investment Advisors now owns 62,448 shares of the company's stock valued at $11,453,000 after purchasing an additional 5,020 shares during the last quarter. Milestone Asset Management Group LLC raised its stake in RTX by 34.7% in the 4th quarter. Milestone Asset Management Group LLC now owns 30,011 shares of the company's stock valued at $5,504,000 after purchasing an additional 7,738 shares during the last quarter. Truist Financial Corp raised its stake in RTX by 2.3% in the 4th quarter. Truist Financial Corp now owns 2,315,021 shares of the company's stock valued at $424,575,000 after purchasing an additional 53,045 shares during the last quarter. Wealth Science Advisors LLC acquired a new position in RTX in the 4th quarter valued at $1,439,000. Finally, Groupama Asset Managment acquired a new position in RTX in the 3rd quarter valued at $150,078,000. 86.50% of the stock is 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.

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