Jefferies analyst Sheila Kahyaoglu increased her price target for RTX Corporation from $210 to $225, implying a potential upside of approximately 12.8% from current levels. The firm maintained a Hold rating, citing RTX’s diversified revenue streams across Pratt & Whitney, Collins Aerospace and Raytheon as key pillars supporting stable cash flows. Kahyaoglu highlighted the company’s disciplined capital allocation and forecasted free cash flow generation above $6 billion for fiscal 2026, providing a buffer against cyclical defense spending fluctuations.

Raytheon’s sensor division has signed a multiyear agreement with TTM Technologies valued at up to $200 million to supply critical components for the Lower Tier Air and Missile Defense Sensor (LTAMDS). Under the deal, TTM will design, manufacture and test radar modules and signal processing units, enabling accelerated delivery schedules and a 15% anticipated reduction in unit production cost. Mike Mills, Raytheon’s Vice President, noted that this partnership is essential for meeting Department of Defense milestones and sustaining program timelines through 2028.

RTX reported fourth-quarter adjusted sales of $24.24 billion, up 12.1% year-over-year, while adjusted EPS reached $1.55, surpassing consensus estimates by $0.08. Net margin improved to 7.6% and return on equity climbed to 13.08%, driven by stronger aftermarket services in commercial aerospace and favorable program mix in defense systems. The company closed the period with net debt of $30 billion and generated $3.2 billion in free cash flow. Management reiterated full-year 2026 guidance of $6.60–$6.80 adjusted EPS on organic sales growth of 5%–6%.

Raytheon, an RTX business, won a $197 million contract from the U.S. Air Force Life Cycle Management Center to deliver seven MS-110 Multispectral Reconnaissance pods to the Polish Air Force—the first NATO nation to acquire this capability. The award covers system production, aircraft integration and engineering support through August 2031. Featuring AI-driven image processing and wide-area surveillance, the MS-110 enhances real-time target detection and long-range coverage. Work will be performed in Westford, Massachusetts, reinforcing RTX’s domestic manufacturing footprint.