RTX Corporation (RTX) AI Stock Analysis

RTX Corporation, headquartered in Arlington, Virginia, provides advanced systems and services to commercial, military, and government clients worldwide. Formed in 1934, the company operates across four main segments: Collins Aerospace, Pratt & Whitney, Raytheon Intelligence & Space, and Raytheon Missiles & Defense. Collins Aerospace supplies cabin interiors, airborne intelligence, simulation systems, and aftermarket fleet management services. Pratt & Whitney develops and services commercial and military aircraft engines and auxiliary power units. The Raytheon units specialize in integrated space systems, communications, sensor technologies, and cybersecurity solutions for defense and intelligence agencies.

RTX grew revenue from $64.39B in FY2021 to $88.60B in FY2025, achieving a 5-year revenue CAGR of 9.4% from FY2020 through FY2025. Annual net income reached $6.73B in FY2025, up from $4.77B in FY2024 and $3.38B in FY2023. Operating margins expanded to 10.5% in FY2025 compared to 8.1% in FY2024 and 5.2% in FY2023. Trailing twelve months revenue stands at $93.50B, delivering a net profit margin of 8.3% and EPS of $5.68. For the latest quarter ended June 30, 2026, quarterly revenue climbed 14.5% year-over-year, while quarterly earnings expanded by 28.7%.

As of June 30, 2026, RTX held $8.30B in cash and short-term investments alongside total debt of $38.86B, producing net debt of $30.55B. Shareholders' equity was $66.38B against total assets of $173.97B, resulting in a debt-to-equity ratio of 0.59 and a current ratio of 1.01. During FY2025, operating cash flow totaled $10.57B, funding $2.63B in capital expenditures, $3.57B in dividend payments, and $50.0M in share buybacks.

RTX trades at a trailing P/E of 34.1x and a forward P/E of 24.6x, compared to medians of 28.4x and 20.1x for its S&P 500 Industrials peers. Its price-to-sales multiple is 2.8x, lower than the peer median of 3.3x, while EV to EBITDA stands at 17.9x against the peer median of 17.2x. Over the past year, RTX shares gained 25.3%, outpacing the S&P 500 return of 16.8%. Over five years, the stock returned 137.5% versus 83.0% for the index.

RTX pays an annual forward dividend of $2.92 per share, which translates to a 1.51% dividend yield. The company's payout ratio is 40.8%, and it has paid dividends for 43 consecutive years. Over the past five years, the annualized dividend growth rate was 7.2%. The last ex-dividend date occurred on August 14, 2026.

Wall Street coverage includes 10 Strong Buy, 6 Buy, and 8 Hold ratings, with 0 Sell recommendations. The mean price target is $227.78, indicating a 17.5% premium to the last close of $193.92. For the fiscal year ending December 31, 2026, consensus estimates project EPS of $7.25 on revenue of $96.19B. RTX beat EPS estimates in each of its last 4 quarters, and its next earnings date is scheduled for October 20, 2026.

This page is an AI-written research summary of RTX Corporation (RTX). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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