Arlington, Virginia-based RTX Corporation is a major aerospace and defense company serving commercial aviation, governments, and military customers around the world. Created in 2020 through the merger of Raytheon Company and United Technologies, RTX operates through three core businesses: Collins Aerospace, Pratt & Whitney, and Raytheon. Together, they cover everything from aircraft engines and avionics to missile systems, sensors, and integrated defense technologies.
With a market capitalization of about $252 billion, RTX has a broad presence across both the aerospace and defense markets. The company focuses on advancing aviation, strengthening defense capabilities, and developing next-generation technologies and manufacturing solutions. Its scale and diversified portfolio allow RTX to address complex requirements across air travel, national security, and other critical aerospace applications.
The aerospace and defense giant is all set to announce its fiscal third-quarter earnings for 2026 before the market opens on Tuesday, Oct. 20. Ahead of the event, analysts expect RTX to report a profit of $1.75 per share on a diluted basis, up 2.9% from $1.70 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
For fiscal 2026, analysts expect RTX to report EPS of $7.22, up 14.8% from $6.29 in fiscal 2025. Its EPS is expected to climb 7.5% year over year to $7.76 in fiscal 2027.
RTX has managed to stay in positive territory over the past year, even if the stock has not kept pace with the broader market. Shares are up 12.1% over the past 52 weeks, compared with a 15.2% gain for the S&P 500 Index ($SPX). Still, RTX has edged past the industrial sector, with the State Street Industrial Select Sector SPDR ETF (XLI) gaining 10.2% during the same period.
A mix of strong defense demand, improving earnings momentum, and higher military spending worldwide has helped keep RTX in the green. The company also stands to benefit as governments work to replenish defense inventories. That opportunity became especially clear in August, when RTX secured a $22.9 billion U.S. Navy contract to accelerate Tomahawk missile production, with annual output expected to top 1,000 missiles.
The recent picture, however, has been less straightforward. RTX shares have pulled back in recent weeks as some investors locked in gains, while changing geopolitical conditions added another layer of uncertainty. Reports pointing to easing tensions around Middle Eastern shipping routes and key straits have reduced some of the immediate geopolitical risk premium that had supported defense and munitions stocks. So, while RTX still has several fundamental tailwinds behind it, the stock’s recent moves show that sentiment can shift quickly when geopolitical risks change.
Analysts’ sentiment on RTX stock is cautiously bullish, with a “Moderate Buy” rating overall. Out of 25 analysts covering the stock, 15 advise a “Strong Buy” rating, two suggest a “Moderate Buy,” seven give a “Hold,” and one recommends a “Strong Sell.” RTX’s average analyst price target is $231.46, indicating a potential upside of 23.8% from the current levels.
On the date of publication, Sristi Suman Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.