RTX Stock Analysis — RTX Corporation
Sector: Aerospace & Defense
AI Verdict
RTX trades at a premium to the sector at 25.9x forward earnings, but if its defense technology moat keeps earnings on track for 41.1% growth, that’s not expensive for the growth you’re getting.
Competitive Moat
RTX designs and manufactures advanced defense systems, commercial aircraft engines, and avionics, with long-term government contracts and high switching costs locking in customers for decades. Its proprietary technology in missile systems and jet engines, plus deep integration with U.S. and allied militaries, creates durable barriers to entry.
Summary
RTX is in focus as analysts expect 41.1% EPS growth next year, with a forward P/E of 25.9x.
Where It Stands
Shares are up 33.34% over the past year, RSI sits at a neutral 58.7, and the stock trades at 25.9x forward earnings versus a 20x industrials median.
Key Metrics
- RSI: 58.7 — Neutral
- Trailing P/E: 36.5x
- Forward P/E: 25.9x
- PEG Ratio: 0.83
- Earnings Growth: +0.4%
- Revenue Growth: +0.1%
- Market Cap: $262.5B
- Dividend Yield: 0.01%
- 1-Year Return: 33.34%
- 52-Week High: $214.50
- 52-Week Low: $142.98
Analyst Consensus
20 Buy · 8 Hold · 2 Sell (30 analysts)
Bull Case
You’re getting 41.1% expected earnings growth at a 25.9x forward P/E, which is a fair price if RTX delivers on its defense contract pipeline.
Bear Case
If the forward P/E compresses to the industrials median of 20x, the stock could see a 23% multiple-driven drop even if earnings meet expectations.
Catalyst to Watch
Watch for major contract wins or government budget decisions—upside or downside to 2024 EPS guidance will move the stock.