RTX (NYSE:RTX) Stock Price Down 0.8% - Here's What Happened

RTX Co. (NYSE:RTX) experienced a slight decline of 0.8% in its shares during Thursday's trading session. The stock fell to a low of $125.19 before making a minor recovery to close at $126.21. Throughout the day, trading volume was significantly lower, with 656,167 shares exchanged, marking a 90% decrease compared to the average session volume of 6,745,125 shares. The previous closing price was $127.21.

Analysts' Insights on RTX

A variety of financial analysts have made optimistic projections regarding RTX’s future performance. Notably, Bank of America upgraded RTX from a "neutral" to a "buy" rating, raising its price target from $110.00 to $140.00 on July 31st. Similarly, StockNews.com changed their rating from "hold" to "buy" on September 6th.

Melius Research also increased their target price on RTX shares from $490.00 to $493.00, and The Goldman Sachs Group raised their price target from $94.00 to $104.00 while maintaining a "neutral" rating as of July 29th. Additionally, TD Cowen designated RTX shares as a "strong-buy" in a report released on October 8th.

Currently, one analyst has assigned a sell rating to the stock, while ten have given it a hold rating, five analysts have recommended it as a buy, and one has issued a strong buy rating. According to MarketBeat, RTX holds a consensus rating of "Hold" with an average price target of $168.56.

Performance Metrics

RTX has demonstrated a quick ratio of 0.73 and a current ratio of 0.99, in addition to a debt-to-equity ratio of 0.62. The company boasts a market capitalization of $167.13 billion, a price-to-earnings ratio of 36.06, and a price-to-earnings growth ratio of 2.21. The stock's 50-day and 200-day simple moving averages stand at $121.46 and $111.02, respectively.

In its latest earnings announcement on October 22nd, RTX reported an earnings per share (EPS) of $1.45, surpassing analysts' expectations of $1.34 by $0.11. The company's return on equity stood at 11.96%, with a net margin of 5.97%. The revenue for the quarter reached $20.09 billion, exceeding the anticipated $19.84 billion, and marking a 6.0% increase from the same period last year.

Dividend News

RTX has recently declared a quarterly dividend, scheduled for payment on December 12th. Shareholders who are on record as of November 15th will receive a dividend of $0.63 per share. This dividend translates to an annualized payout of $2.52 and a yield of 2.01%. The ex-dividend date is also set for November 15th. The company currently maintains a dividend payout ratio of 72.00%.

Insider Transactions

In recent insider trading activity, Shane G. Eddy sold 6,741 shares on July 26th, at an average price of $114.76, bringing in a total of $773,597.16. This transaction has been disclosed with the Securities and Exchange Commission. Additionally, Chairman Gregory Hayes sold 134,887 shares on July 31st at an average price of $117.74 for about $15,881,595.38.

Despite these transactions, Hayes still owns 566,723 shares valued at approximately $66.73 million. In total, insiders sold 178,333 shares valued at roughly $20.86 million over the past three months, with insider ownership currently at 0.13%.

Institutional Investor Activity

Recently, several institutional investors have adjusted their stakes in RTX. For instance, Kavar Capital Partners Group LLC increased its position by 4.4% during the third quarter, owning 2,219 shares valued at $269,000 after acquiring an additional 93 shares.

Moreover, TCV Trust & Wealth Management Inc. purchased a new stake in RTX with a valuation of approximately $1.69 million. Other firms, such as Clear Harbor Asset Management and Smith Salley Wealth Management, also lifted their respective stakes during the same quarter. Overall, institutional investors now hold 86.50% of RTX's shares.

Company Overview

RTX Corporation is a leading aerospace and defense company that provides systems and services to commercial, military, and governmental clients both in the United States and globally. The company operates through three main segments: Collins Aerospace, Pratt & Whitney, and Raytheon. Together, these segments offer a wide range of aerospace and defense products along with aftermarket service solutions for various aircraft manufacturers and commercial airlines.

RTX, Stock, Investment