RTX (NYSE:RTX) Announces Quarterly Earnings Results

RTX (NYSE:RTX) issued its quarterly earnings data on Tuesday. The company reported $2.26 EPS for the quarter, topping analysts’ consensus estimates of $1.78 by $0.48, FiscalAI reports. RTX had a net margin of 8.28% and a return on equity of 13.99%. The business had revenue of $24.96 billion during the quarter, compared to analysts’ expectations of $24.11 billion. During the same period last year, the company posted $1.70 EPS. The business’s revenue was up 11.1% on a year-over-year basis.

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

• RTX raised its full-year outlook, increasing adjusted sales guidance to $97.0–$97.5 billion, adjusted EPS to $7.65–$7.75, and free cash flow to $9.0–$9.2 billion, partly reflecting approximately $0.25 of IEEPA-related EPS recovery.
• Demand remains strong across defense and commercial aerospace, with record backlog reaching $340 billion. Raytheon secured nearly $59 billion of defense awards, including major Tomahawk and AMRAAM contracts, while commercial orders exceeded $22 billion.
• Commercial aftermarket growth was resilient, rising 16% organically in the quarter, led by Pratt’s GTF business. Pratt expects GTF shop visits to support further revenue, margin, and cash-flow growth as GTF Advantage and Hot Section+ upgrades enter service.
• Management expects the new multi-year munitions contracts to require substantial supply-chain, capacity, and capital investments over the next two to three years; revenue and profit contributions should build gradually, with full-rate production expected around 2030.
• Near-term results include significant one-time benefits, particularly IEEPA recovery, while Collins expects fourth-quarter margin pressure from higher R&D and digital spending, the absence of further IEEPA refunds, and increased OE investment.

RTX Stock Up 0.5%

Shares of NYSE:RTX opened at $193.16 on Wednesday. The firm has a market capitalization of $260.34 billion, a PE ratio of 34.01, a price-to-earnings-growth ratio of 2.47 and a beta of 0.31. The business has a 50 day simple moving average of $198.46 and a two-hundred day simple moving average of $193.68. RTX has a 1 year low of $166.74 and a 1 year high of $226.88. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.01 and a quick ratio of 0.78.

Analysts Set New Price Targets

A number of research analysts recently commented on the stock. Susquehanna increased their price target on shares of RTX from $235.00 to $245.00 and gave the company a “positive” rating in a report on Friday, July 24th. Weiss Ratings raised RTX from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, August 25th. Deutsche Bank Aktiengesellschaft downgraded RTX from a “buy” rating to a “hold” rating and set a $208.00 price objective on the stock. in a research report on Tuesday, October 13th. The Goldman Sachs Group raised their price objective on RTX from $195.00 to $206.00 and gave the company a “neutral” rating in a research note on Monday, July 27th. Finally, DA Davidson raised their price objective on RTX from $192.00 to $219.00 and gave the company a “neutral” rating in a research note on Monday, July 27th. Eighteen analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $226.75.

Trending Headlines about RTX

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Q3 results exceeded expectations. Adjusted earnings per share reached $2.26, versus the $1.78 analyst consensus, while revenue rose 11.1% year over year to approximately $25 billion. RTX Reports Q3 2026 Results
• Positive Sentiment: RTX raised its 2026 outlook for the third time this year. The company now expects adjusted sales of $97 billion to $97.5 billion, up from its previous $95 billion-$96 billion range, supported by double-digit growth and improved operating performance. RTX lifts 2026 forecasts
• Positive Sentiment: Record backlog improves revenue visibility. More than $81 billion in new commercial and defense awards during the quarter lifted total backlog to a record $340 billion. Management also said missile contracts provide nearly a decade of demand visibility. RTX Lifts Forecast
• Positive Sentiment: Defense wins add to growth momentum. RTX secured $729 million in counter-drone LIDS contracts, including its first international KuRFS and Coyote sales, while Raytheon’s Javelin joint venture received a $215 million U.S. Army launcher contract. RTX Secures LIDS Contracts
• Positive Sentiment: New aerospace products could support longer-term growth. Pratt & Whitney Canada introduced its certified PT9 turboprop engine, offering 33% more power at altitude and 20% lower fuel consumption than prior-generation engines. Collins Aerospace also launched its Tower MicroELITE air-traffic surveillance system. Pratt & Whitney Canada introduces PT9 engine
• Negative Sentiment: Cash-flow quality remains a consideration. A portion of the improvement in operating cash flow came from selling receivables, which may be less repeatable than cash generated from core operations. RTX cash recovery from receivables

Insider Transactions at RTX

In other RTX news, insider Troy D. Brunk sold 8,557 shares of the stock in a transaction on Friday, July 24th. The stock was sold at an average price of $210.29, for a total value of $1,799,451.53. Following the sale, the insider owned 8,809 shares in the company, valued at $1,852,444.61. This trade represents a 49.27% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Kevin G. Dasilva sold 2,250 shares of RTX stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $216.93, for a total value of $488,092.50. Following the sale, the vice president owned 20,099 shares of the company’s stock, valued at approximately $4,360,076.07. This trade represents a 10.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 29,222 shares of company stock worth $6,362,003. 0.10% of the stock is currently owned by company insiders.

About RTX

RTX Corporation (NYSE: RTX) is an aerospace and defense company that develops and manufactures products and systems for commercial aviation, business aviation, military aircraft and government customers. Its portfolio includes aircraft engines, avionics, flight-control systems, cabin interiors, communications equipment, air and missile defense systems, precision weapons, radars and advanced sensors.

The company operates through three principal businesses: Collins Aerospace, which supplies aerospace systems and components; Pratt & Whitney, which designs and produces aircraft engines and related services; and Raytheon, which provides defense and intelligence technologies.