RTX (NYSE:RTX) Posts Earnings Results, Beats Estimates By $0.23 EPS

RTX (NYSE:RTX) posted its earnings results on Thursday. The company reported $1.89 earnings per share for the quarter, topping the consensus estimate of $1.66 by $0.23, Zacks reports. RTX had a return on equity of 13.50% and a net margin of 8.03%.The firm had revenue of $24.71 billion during the quarter, compared to analyst estimates of $22.89 billion. During the same period in the previous year, the company earned $1.56 EPS. The company’s revenue for the quarter was up 14.5% on a year-over-year basis. RTX updated its FY 2026 guidance to 7.100-7.250 EPS.

Here are the key takeaways from RTX’s conference call:

• RTX beat expectations and raised full-year guidance, with Q2 adjusted sales of $24.7 billion, adjusted EPS of $1.89, and free cash flow of $2.9 billion. The company now expects 2026 adjusted sales of $95 billion-$96 billion, EPS of $7.10-$7.25, and free cash flow of $8.5 billion-$8.75 billion.
• Backlog hit a record $289 billion, up 22% year over year, supported by nearly $20 billion of Raytheon bookings and a 2.4 book-to-bill in the quarter. Management highlighted strong international defense demand, including over $10 billion of Raytheon international awards in the first half.
• Commercial aerospace remained strong, led by aftermarket growth and improving engine operations. Pratt said PW1100G AOGs declined 25% year to date, MRO output rose over 40%, and Pratt expects a record number of GTF engine deliveries this year.
• Raytheon saw strong defense execution and margin expansion, with Q2 sales up 18% organically, operating profit up $234 million, and margins up 100 basis points. Management said productivity, favorable mix, and international demand are supporting further margin improvement.
• Management sees continued investment needs and a mixed second-half revenue cadence, including higher inventory buildup and ongoing supply-chain expansion to support future growth. RTX also said framework agreements with the U.S. government remain in progress and are not yet in backlog.

RTX Price Performance

NYSE:RTX opened at $212.41 on Friday. The company has a 50-day moving average of $186.24 and a 200-day moving average of $192.04. The company has a market capitalization of $286.05 billion, a price-to-earnings ratio of 39.83, a PEG ratio of 2.67 and a beta of 0.30. RTX has a 52 week low of $150.61 and a 52 week high of $214.50. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.78 and a current ratio of 1.02.

RTX Dividend Announcement

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 paid a $0.73 dividend. The ex-dividend date is Friday, August 14th. This represents a $2.92 dividend on an annualized basis and a dividend yield of 1.4%. RTX’s dividend payout ratio is currently 54.78%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in RTX. Morgan Stanley grew its stake in shares of RTX by 0.4% in the 4th quarter. Morgan Stanley now owns 29,783,584 shares of the company’s stock valued at $5,462,310,000 after purchasing an additional 105,069 shares during the period. Amundi lifted its position in shares of RTX by 49.1% during the 4th quarter. Amundi now owns 4,402,120 shares of the company’s stock worth $807,349,000 after buying an additional 1,450,596 shares during the period. Price T Rowe Associates Inc. MD lifted its position in shares of RTX by 0.9% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,798,472 shares of the company’s stock worth $513,240,000 after buying an additional 23,923 shares during the period. Stifel Financial Corp boosted its stake in RTX by 3.5% in the 4th quarter. Stifel Financial Corp now owns 2,129,178 shares of the company’s stock valued at $390,499,000 after buying an additional 72,033 shares in the last quarter. Finally, Schroder Investment Management Group boosted its stake in RTX by 6.0% in the 4th quarter. Schroder Investment Management Group now owns 1,767,222 shares of the company’s stock valued at $325,187,000 after buying an additional 100,555 shares in the last quarter. Institutional investors and hedge funds own 86.50% of the company’s stock.

RTX News Roundup

Here are the key news stories impacting RTX this week:

• Positive Sentiment: RTX reported Q2 adjusted EPS of $1.89, ahead of estimates, on revenue of $24.71 billion, also above forecasts, which reinforced confidence in operating momentum. RTX Reports Q2 2026 Results
• Positive Sentiment: Management lifted 2026 guidance for sales, EPS, and free cash flow, signaling that demand remains strong across commercial aircraft maintenance and military systems. RTX Again Raises Full-Year Forecast on Robust Demand, Higher Backlog
• Positive Sentiment: The company highlighted a record backlog of about $289 billion, which gives investors more confidence in future revenue visibility and supports the stock’s recent strength. RTX: Lots Of Tailwinds, But Little Margin For Error
• Positive Sentiment: Wells Fargo raised its price target on RTX to $230 from $200, suggesting additional upside potential even though the firm kept an “equal weight” rating. Benzinga report on Wells Fargo target increase
• Positive Sentiment: Defense-related headlines around missile orders, rearmament spending, and strong Q2 results for peers like Lockheed Martin are adding to the bullish sentiment around RTX and the broader defense sector. Missile Orders Give RTX, Lockheed Stock a Boost

Analysts Set New Price Targets

Several analysts recently issued reports on the stock. Morgan Stanley reaffirmed an “overweight” rating on shares of RTX in a report on Friday. Wells Fargo & Company lifted their price objective on RTX from $200.00 to $230.00 and gave the stock an “equal weight” rating in a research note on Friday. Erste Group Bank cut RTX from a “buy” rating to a “hold” rating in a research report on Monday, April 27th. Jefferies Financial Group reaffirmed a “buy” rating on shares of RTX in a report on Wednesday, July 8th. Finally, Citigroup reaffirmed a “buy” rating on shares of RTX in a research report on Wednesday, June 17th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $213.25.

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.