RTX (NYSE:RTX) Trading Down 1% – Here’s Why

Shares of RTX Corporation (NYSE:RTX) were down 1% during trading on Thursday . The stock traded as low as $218.87 and last traded at $220.4790. Approximately 3,228,680 shares traded hands during mid-day trading, a decline of 43% from the average session volume of 5,664,844 shares. The stock had previously closed at $222.76.

RTX News Roundup

Here are the key news stories impacting RTX this week:

• Positive Sentiment: The Pentagon announced framework agreements with Boeing and RTX to increase production of components for SM-3 Block IIA and Block IB interceptor missiles. The agreements could support additional defense revenue and improve visibility for RTX’s missile systems business. Pentagon signs deals with Boeing and RTX to boost missile interceptor component production
• Positive Sentiment: Market coverage highlights RTX’s plans to expand missile production and invest in advanced defense technologies as the U.S. and allies seek more precision weapons. This reinforces expectations for long-term growth in RTX’s defense backlog. Is RTX Strengthening Its Position in the Global Missile Market?
• Positive Sentiment: Unusually strong call-option activity, with 66,251 calls purchased versus typical volume of 16,557, indicates increased speculative bullish interest in RTX, although options activity is not a fundamental business indicator.
• Neutral Sentiment: Analyst coverage remains generally favorable, and some forecasts point to continued earnings growth. However, consensus recommendations can be overly optimistic and should be weighed against valuation and execution risks. Wall Street Analysts Think RTX Is a Good Investment: Is It?
• Negative Sentiment: RTX’s shares have risen substantially over the past five years, and valuation analysis suggests the stock is close to fair value rather than clearly undervalued. With a reported P/E ratio near 39, further gains may depend on strong earnings and successful delivery of new defense contracts. RTX Stock May Be 3% Undervalued Despite Fresh Missile Defense Contract

Wall Street Analyst Weigh In

A number of equities analysts have commented on the company. UBS Group raised their price objective on RTX from $198.00 to $215.00 and gave the stock a “neutral” rating in a research note on Friday, July 24th. Robert W. Baird set a $240.00 price objective on shares of RTX in a research note on Friday, July 24th. TD Cowen lifted their price target on RTX from $225.00 to $240.00 and gave the company a “buy” rating in a research note on Monday, July 27th. Erste Group Bank downgraded RTX from a “buy” rating to a “hold” rating in a research report on Monday, April 27th. Finally, Weiss Ratings cut shares of RTX from a “buy (b)” rating to a “buy (b-)” rating in a report on Tuesday. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, RTX has a consensus rating of “Moderate Buy” and an average price target of $228.59.

RTX Price Performance

The firm has a market capitalization of $300.38 billion, a P/E ratio of 39.24, a PEG ratio of 2.62 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. The company has a fifty day moving average of $200.02 and a 200 day moving average of $194.86.

RTX (NYSE:RTX) last issued its quarterly earnings results on Thursday, July 23rd. The company reported $1.89 EPS for the quarter, beating analysts’ consensus estimates of $1.66 by $0.23. RTX had a net margin of 8.28% and a return on equity of 13.99%. The business had revenue of $24.71 billion for the quarter, compared to analysts’ expectations of $22.89 billion. During the same quarter in the prior year, the firm posted $1.56 earnings per share. The business’s quarterly revenue was up 14.5% compared to the same quarter last year. RTX has set its FY 2026 guidance at 7.100-7.250 EPS. Sell-side analysts predict that RTX Corporation will post 7.22 earnings per share for the current year.

RTX Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Friday, August 14th will be given a dividend of $0.73 per share. This represents a $2.92 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date is Friday, August 14th. RTX’s payout ratio is presently 51.41%.

Insider Transactions at RTX

In related news, 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 transaction of $1,799,451.53. Following the transaction, the insider owned 8,809 shares of the company’s stock, valued at $1,852,444.61. The trade was a 49.27% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, VP Kevin G. Dasilva sold 2,250 shares of the stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $216.93, for a total value of $488,092.50. Following the completion of the sale, the vice president directly owned 20,099 shares of the company’s stock, valued at $4,360,076.07. The trade was a 10.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 15,567 shares of company stock valued at $3,304,375 over the last ninety days. 0.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the company. Fortress Financial Group LLC purchased a new position in shares of RTX in the 2nd quarter worth approximately $358,000. Navalign LLC bought a new stake in RTX during the fourth quarter worth $25,000. Commonwealth Retirement Investments LLC purchased a new position in RTX in the fourth quarter worth $26,000. Evergreen Advisors LLC bought a new position in RTX in the 1st quarter valued at $31,000. Finally, Core Wealth Advisors LLC purchased a new stake in shares of RTX during the 4th quarter valued at $31,000. 86.50% of the stock is owned by institutional investors.

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.