RTX (NYSE:RTX) Trading Down 1.7% – Here’s Why

RTX Corporation (NYSE:RTX) shares were down 1.7% during mid-day trading on Thursday . The company traded as low as $191.84 and last traded at $193.5040. Approximately 3,489,318 shares traded hands during trading, a decline of 36% from the average session volume of 5,431,511 shares. The stock had previously closed at $196.83.

Key RTX News

Here are the key news stories impacting RTX this week:

• Positive Sentiment: RTX reportedly secured a roughly $22.9 billion Tomahawk missile contract, one of the largest missile awards in Pentagon history. The deal adds to a backlog reported at approximately $289 billion and reinforces the company’s exposure to rising U.S. defense spending. Jim Cramer Says Defense Giant Still Too Expensive, Despite $22.9 Billion Tomahawk Missile Deal
• Positive Sentiment: Analyst optimism improved after Zacks upgraded RTX to a Rank #2 (Buy), citing strengthening earnings prospects. The upgrade follows RTX’s recent quarterly performance, in which revenue and adjusted earnings exceeded consensus expectations. RTX Upgraded to Buy: Here’s Why
• Positive Sentiment: RTX is expanding its survivable communications portfolio with satellite, very-low-frequency communications and command-and-control capabilities. These offerings could support longer-term defense growth as governments invest in resilient military communications. Can RTX’s Survivable Communications Portfolio Support Defense Growth?
• Neutral Sentiment: RTX appointed Jill Albertelli as president of Pratt & Whitney, effective January 1, 2027, succeeding retiring executive Shane Eddy. The transition provides leadership continuity, although investors will monitor progress in the aerospace-engine and supply-chain businesses. RTX names Jill Albertelli as President, Pratt & Whitney
• Negative Sentiment: Jim Cramer cautioned that RTX remains expensive even after the missile award, arguing that much of the defense-growth outlook may already be reflected in the stock. A quarter-point Federal Reserve rate hike could also weigh on highly valued shares by increasing discount rates and investor financing costs. Jim Cramer Says Defense Giant Still Too Expensive, Despite $22.9 Billion Tomahawk Missile Deal

Analyst Ratings Changes

Several analysts recently commented on RTX shares. Wells Fargo & Company upped their target price on RTX from $200.00 to $230.00 and gave the company an “equal weight” rating in a report on Friday, July 24th. Sanford C. Bernstein raised their price target on shares of RTX from $213.00 to $232.00 and gave the stock a “market perform” rating in a report on Monday, August 3rd. Robert W. Baird set a $240.00 price target on shares of RTX in a research 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 Tuesday, August 25th. Finally, Jefferies Financial Group set a $250.00 price objective on shares of RTX in a research report on Sunday, July 26th. One analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $228.59.

RTX Stock Down 1.7%

The firm has a market cap of $260.80 billion, a price-to-earnings ratio of 34.07, a PEG ratio of 2.52 and a beta of 0.29. The firm has a 50 day moving average of $208.24 and a 200 day moving average of $195.89. The company has a quick ratio of 0.78, a current ratio of 1.01 and a debt-to-equity ratio of 0.47.

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

RTX Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, September 3rd. Investors of record on Friday, August 14th were paid a dividend of $0.73 per share. The ex-dividend date of this dividend was Friday, August 14th. This represents a $2.92 annualized dividend and a yield of 1.5%. RTX’s dividend payout ratio is currently 51.41%.

Insiders Place Their Bets

In other RTX news, VP Kevin G. Dasilva sold 2,250 shares of RTX 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 approximately $4,360,076.07. The trade was a 10.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Troy Brunk sold 8,557 shares of the company’s stock in a transaction dated Friday, July 24th. The shares were 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 in the company, valued at $1,852,444.61. This represents a 49.27% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 29,222 shares of company stock worth $6,362,003. 0.10% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in RTX. Fortress Financial Group LLC acquired a new stake in RTX in the 2nd quarter valued at $358,000. Commonwealth Retirement Investments LLC bought a new position in shares of RTX in the fourth quarter valued at $26,000. Evergreen Advisors LLC bought a new position in shares of RTX in the first quarter valued at $31,000. Core Wealth Advisors LLC acquired a new position in shares of RTX during the fourth quarter valued at about $31,000. Finally, 1 North Wealth Services LLC increased its position in shares of RTX by 456.7% during the fourth quarter. 1 North Wealth Services LLC now owns 167 shares of the company’s stock worth $31,000 after acquiring an additional 137 shares in the last quarter. Institutional investors own 86.50% of the company’s stock.

About RTX

RTX Corporation (NYSE:RTX) is an aerospace and defense company that develops and manufactures systems, products and services for commercial aviation, business aviation and government customers. Its offerings include aircraft engines, avionics, flight-control systems, cabin interiors, communications equipment, radar, air and missile defense systems, precision weapons and cybersecurity solutions.

The company operates through three principal businesses: Collins Aerospace, which provides aerospace systems and components; Pratt & Whitney, which designs and manufactures aircraft engines and provides related maintenance services; and Raytheon, which develops integrated defense systems, sensors, missiles and other mission technologies.