In the latest trading session, RTX (RTX) closed at $129.25, marking a +0.47% move from the previous day. The stock outperformed the S&P 500, which registered a daily loss of 2.24%. On the other hand, the Dow registered a loss of 1.73%, and the technology-centric Nasdaq decreased by 3.07%.
Heading into today, shares of the an aerospace and defense company had lost 3.05% over the past month, lagging the Aerospace sector's loss of 1.9% and outpacing the S&P 500's loss of 4.17% in that time.
Analysts and investors alike will be keeping a close eye on the performance of RTX in its upcoming earnings disclosure. The company's earnings report is set to go public on April 22, 2025. On that day, RTX is projected to report earnings of $1.34 per share, which would represent no growth from the year-ago period. Simultaneously, our latest consensus estimate expects the revenue to be $19.76 billion, showing a 2.36% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $6.13 per share and a revenue of $84.28 billion, demonstrating changes of +6.98% and +4.39%, respectively, from the preceding year.
Any recent changes to analyst estimates for RTX should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.21% upward. Right now, RTX possesses a Zacks Rank of #3 (Hold).
Looking at valuation, RTX is presently trading at a Forward P/E ratio of 20.99. For comparison, its industry has an average Forward P/E of 19.31, which means RTX is trading at a premium to the group.
Also, we should mention that RTX has a PEG ratio of 2.16. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Aerospace - Defense industry had an average PEG ratio of 2.03 as trading concluded yesterday.
The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 87, putting it in the top 36% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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RTX Corporation (RTX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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