Aerospace and defense shares are trading lower Tuesday morning after a Reuters report that Iran has offered to reopen the Strait of Hormuz within seven days if the U.S. takes initial steps toward easing military pressure.

RTX is executing a successful turnaround, with revenue growth accelerating to 14.5% in Q2 2026 and operating margin expanding to 11.4% from 2.7% in Q2 2024, driven by commercial aftermarket strength and cost discipline. The balance sheet has strengthened, with...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth accelerated to 14.5% in Q2 2026, with gross margin expanding to 20.8% from 18.2% in Q2 2024, while operating margin improved to 11.4% from 2.7% in the same period.
RTX reported Q1 2026 revenue of $22.08 billion and net income of $2.06 billion, raising full-year adjusted EPS guidance to $6.70–$6.90.
The company has a record backlog of $271 billion, benefiting from increased defense spending.
RTX increased its quarterly dividend by 7.4% to $0.73 per share, reflecting confidence in cash generation.
Ongoing reliability issues with Pratt & Whitney GTF engines have grounded 800+ aircraft globally.
The aerospace supply chain is described as 'brittle,' limiting RTX's ability to convert backlog into revenue.
RTX's stock trades at a P/E ratio of 32.72, suggesting it may be overvalued with little room for error.
Trailing total returns as of 9/23/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Jul 23, 2026 | $1.89+13.9% vs $1.66 | $24.7B+7.9% vs $22.9B |
Q2 2026 Apr 21, 2026 | $1.78+17.9% vs $1.51 | $22.1B+2.9% vs $21.5B |
Q1 2026 Jan 27, 2026 | $1.55+5.4% vs $1.47 | $24.2B+6.8% vs $22.7B |
Q4 2025 Oct 21, 2025 | $1.70+20.6% vs $1.41 | $22.5B+5.5% vs $21.3B |
Aerospace and defense shares are trading lower Tuesday morning after a Reuters report that Iran has offered to reopen the Strait of Hormuz within seven days if the U.S. takes initial steps toward easing military pressure.

Recent contracts and framework agreements could significantly boost future revenue. RTX's backlog offers long-term, lower-risk revenue compared to some competitors.
Investors interested in stocks from the Aerospace - Defense sector have probably already heard of Embraer (EMBJ) and RTX (RTX). But which of these two stocks presents investors with the better value opportunity right now?
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Benchmark RTX against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for RTX Corporation (RTX)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $190.99 | $257.41B | 38.51 | 9.74% | 7.6% | 10.43% | 1.38% | |
| $522.34 | $120.55B | 24.31 | 5.65% | 8.16% | 86.24% | — | |
| $509.86 | $72.43B | 17.53 | 2.24% | 10.48% | 26.58% | — | |
| $343.39 | $92.91B | 22.21 | 10.13% | 8.18% | 17.43% | — | |
| $197.72 | $156.27B | 79.73 | 34.5% | 2.59% | 104.66% | — | |
| $270.95 | $10.68B | 17.61 | 8.23% | 5.01% | 12.89% | — |
RTX Corporation (RTX) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
RTX Corporation (RTX) SEC filings — annual & quarterly reports (10-K, 10-Q)
Jul 23, 2026·SEC
May 4, 2026·SEC
Apr 21, 2026·SEC
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RTX Corporation (RTX) stock FAQ — growth, dividends, profitability & financials explained
RTX Corporation (RTX) reported $93.50B in revenue for fiscal year 2025. This represents a 310% increase from $22.79B in 1996.
RTX Corporation (RTX) grew revenue by 9.7% over the past year. This is steady growth.
Yes, RTX Corporation (RTX) is profitable, generating $7.74B in net income for fiscal year 2025 (7.6% net margin).
Yes, RTX Corporation (RTX) pays a dividend with a yield of 1.38%. This makes it attractive for income-focused investors.
RTX Corporation (RTX) has a return on equity (ROE) of 10.4%. This is reasonable for most industries.
RTX Corporation (RTX) generated $12.02B in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.