Jefferies analyst Sheila Kahyaoglu increased her price target on RTX Corporation from $210 to $225, implying a potential upside of approximately 12.8% from recent levels. This adjustment reflects Jefferies’ confidence in RTX’s diversified revenue streams across Pratt & Whitney, Collins Aerospace and Raytheon, as well as anticipated margin expansion driven by improved commercial engine deliveries and defense program efficiencies over the next 12 months.

Raytheon, RTX’s defense technologies division, won a three-year contract with TTM Technologies valued at up to $200 million. Under this agreement, TTM will design, manufacture and test critical components for the Lower Tier Air and Missile Defense Sensor (LTAMDS), supporting accelerated delivery schedules while reducing unit costs. Mike Mills, Raytheon VP, noted this partnership will be instrumental in meeting U.S. Department of Defense milestone dates and sustaining production-readiness through 2029.

For the fourth quarter, RTX reported revenue of $24.23 billion, up 12% year-over-year, and adjusted EPS of $1.55, beating consensus by $0.08. Net margin improved to 7.6% from 7.2% a year earlier, while return on equity reached 13.1%. Management issued full-year 2026 guidance of $92–93 billion in sales (5–6% organic growth) and adjusted EPS of $6.60–6.80. This outlook underscores confidence in commercial defense backlogs and ongoing cost synergies from the 2020 merger.

RTX’s market capitalization stands near $267 billion, ranking it among the largest aerospace and defense firms globally. Institutional investors increased their holdings in the third quarter: Vanguard Group added 700,000 shares, lifting its stake to over 122.7 million shares, while State Street and Capital Research each boosted positions by roughly 0.5–1.1%. Hedge funds continue to view RTX as a core defense play, with 86.5% of shares held by institutions, signaling sustained confidence in long-term growth drivers such as hypersonics, sensors and integrated combat systems.