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RTX (RTX) closed at $115.22 in the latest trading session, marking a -1.28% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 1.07% for the day. At the same time, the Dow lost 0.97%, and the tech-heavy Nasdaq lost 1.19%.
Shares of the an aerospace and defense company have depreciated by 4.2% over the course of the past month, underperforming the Aerospace sector's loss of 2.91% and the S&P 500's loss of 0.36%.
Analysts and investors alike will be keeping a close eye on the performance of RTX in its upcoming earnings disclosure. In that report, analysts expect RTX to post earnings of $1.36 per share. This would mark year-over-year growth of 5.43%. Our most recent consensus estimate is calling for quarterly revenue of $20.57 billion, up 3.22% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.56 per share and revenue of $79.75 billion. These totals would mark changes of +9.88% and +7.18%, respectively, from last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for RTX. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.01% upward. RTX currently has a Zacks Rank of #3 (Hold).
Digging into valuation, RTX currently has a Forward P/E ratio of 21. This valuation marks a premium compared to its industry's average Forward P/E of 19.26.
One should further note that RTX currently holds a PEG ratio of 2.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Aerospace - Defense was holding an average PEG ratio of 1.65 at yesterday's closing price.
The Aerospace - Defense industry is part of the Aerospace sector. At present, this industry carries a Zacks Industry Rank of 149, placing it within the bottom 41% of over 250 industries.