TLDR
- RTX stock rose about 2% to near $196 after third-quarter results beat estimates.
- Adjusted EPS was $2.26 versus $1.78 expected, on sales of $25 billion.
- RTX raised 2026 EPS guidance to about $7.70 and sales guidance to about $97.3 billion.
- Backlog hit a record $340 billion, backed by more than $81 billion in new awards.
- The stock was up only about 5% this year coming into Tuesday, with investors worried about rates, inflation and the Iran war.
RTX stock rose about 2% in early trading Tuesday to around $196. It closed at $192.11 on Monday.
The move followed third-quarter results that topped Wall Street forecasts. The company also raised its 2026 outlook.
Adjusted earnings per share were $2.26, compared with the $1.78 analysts expected. A year ago, RTX earned $1.70 per share.
Sales came in at $25 billion, ahead of the $24.1 billion forecast. That is up 11% from $22.5 billion a year earlier.
The Raised Outlook
RTX now expects 2026 sales of about $97.3 billion, up from $95.5 billion. Wall Street had projected $96.3 billion.
Adjusted EPS guidance moved to a range of $7.65 to $7.75. The prior range was $7.10 to $7.25.
The $7.70 midpoint sits well above the $7.26 analysts expected. Earnings grew 33% from a year ago, helped in part by tariff cost recoveries.
CEO Chris Calio said demand remains strong. He pointed to more than $81 billion in new commercial and defense awards.
That pushed the backlog to a record $340 billion. Calio also said strong execution led to double-digit organic sales growth in both commercial aerospace and defense.
A Stock That Has Lagged the Business
The report is better than the stockās recent run. RTX was up about 5% this year coming into Tuesday, after falling about 5% since the Iran war began in late February.
Investors have worried about rising interest rates and higher inflation. Possible contracting reform and the coming midterm election have added to the list.
The commercial side has its own concerns. Some investors fear higher oil prices could cut air travel demand, and that the mix could tilt toward lower-margin new jet parts.
Analysts expect RTX to earn $7.93 in 2027. At the start of the year, they were looking for about $7.60.
The stock trades at about 25 times expected earnings, down from 30 times in March. The U.S. Army also gave the Javelin Joint Venture, a Raytheon and Lockheed Martin partnership, a $215 million contract for next-generation launchers on Monday.
GE Aerospace and Northrop Grumman also reported third-quarter results Tuesday morning. S&P 500 futures were down 0.1% while RTX traded up about 2% at $196.
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