RTX (NYSE:RTX) Stock Jumps 2.1% – Should You Buy?

RTX Corporation (NYSE:RTX) shares shot up 2.1% during mid-day trading on Thursday. The company traded as high as $202.00 and last traded at $199.99. 11,630,825 shares changed hands during mid-day trading, an increase of 116% from the average daily volume of 5,390,512 shares. The stock had previously closed at $195.84.

Key Headlines Impacting RTX

Here are the key news stories impacting RTX this week:

• Positive Sentiment: Quarterly dividend declared: RTX’s board approved a cash dividend of 73 cents per share, signaling continued confidence in cash generation and providing income support for shareholders. RTX Board of Directors Declares Quarterly Cash Dividend
• Positive Sentiment: Raised outlook and strong third-quarter results: Recent coverage highlights RTX’s higher revenue and earnings, raised guidance, record backlog and signs of recovering commercial aerospace demand. The company’s latest reported quarter also exceeded consensus estimates on both earnings and revenue, reinforcing the bullish outlook. RTX Could Be 14% Undervalued As Raised Guidance Lifts The Valuation Case
• Positive Sentiment: Long-term Collins Aerospace contract: Air Europa extended its exclusive Boeing 787 nacelle maintenance agreement with Collins Aerospace through 2037. The renewal supports recurring aftermarket revenue and improves visibility into future service demand. Air Europa Extends Exclusive Boeing 787 Nacelle Maintenance Agreement
• Positive Sentiment: Constructive analyst sentiment: Zacks coverage says the average brokerage recommendation for RTX is equivalent to a Buy. While analyst ratings are not guarantees, the favorable consensus can support investor interest following the earnings beat. Is It Worth Investing in RTX Based on Wall Street’s Bullish Views?
• Neutral Sentiment: Important ticker distinction: Reports about GeForce RTX 5080, RTX 5090 and “RTX Spark” concern NVIDIA’s gaming and AI hardware, not RTX Corporation, and therefore do not directly affect RTX’s aerospace and defense business.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on RTX shares. Morgan Stanley restated an “overweight” rating and issued a $240.00 target price (up from $220.00) on shares of RTX in a research note on Friday, July 24th. Argus set a $245.00 price objective on shares of RTX and gave the stock a “buy” rating in a report on Thursday, July 30th. Royal Bank Of Canada cut their target price on shares of RTX from $250.00 to $235.00 and set an “outperform” rating for the company in a research note on Thursday, October 15th. Robert W. Baird set a $240.00 target price on RTX in a report on Friday, July 24th. Finally, Deutsche Bank Aktiengesellschaft lowered RTX from a “buy” rating to a “hold” rating and set a $208.00 price target on the stock. in a research report on Tuesday, October 13th. One research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $228.86.

RTX Trading Up 2.1%

The company’s 50-day moving average is $195.47 and its 200-day moving average is $195.46. The firm has a market cap of $269.87 billion, a price-to-earnings ratio of 32.47, a P/E/G ratio of 2.24 and a beta of 0.31. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.81 and a current ratio of 1.05.

RTX (NYSE:RTX) last issued its quarterly earnings data on Tuesday, October 20th. The company reported $2.26 EPS for the quarter, topping analysts’ consensus estimates of $1.78 by $0.48. The firm had revenue of $24.96 billion for the quarter, compared to analyst estimates of $24.11 billion. RTX had a net margin of 8.75% and a return on equity of 14.89%. The company’s revenue was up 11.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.70 EPS. On average, research analysts predict that RTX Corporation will post 7.57 earnings per share for the current year.

Insider Activity

In other RTX news, EVP Ramsaran Maharajh sold 13,655 shares of the stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $223.92, for a total value of $3,057,627.60. Following the transaction, the executive vice president directly owned 13,184 shares in the company, valued at approximately $2,952,161.28. This trade represents a 50.88% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.10% of the company’s stock.

Hedge Funds Weigh In On RTX

Several large investors have recently made changes to their positions in the company. Fortress Financial Group LLC acquired a new stake in shares of RTX during the 2nd quarter worth approximately $358,000. Evergreen Advisors LLC acquired a new position in RTX in the first quarter valued at approximately $31,000. Signature Resources Capital Management LLC boosted its stake in RTX by 111.5% in the first quarter. Signature Resources Capital Management LLC now owns 184 shares of the company’s stock valued at $36,000 after acquiring an additional 97 shares during the last quarter. BOK Financial Private Wealth Inc. bought a new position in RTX in the second quarter valued at approximately $36,000. Finally, Groupe la Francaise grew its holdings in RTX by 50.9% during the 2nd quarter. Groupe la Francaise now owns 261 shares of the company’s stock worth $45,000 after acquiring an additional 88 shares during the period. Institutional investors and hedge funds own 86.50% of the company’s stock.

RTX Company Profile

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.