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NYSE:RTX

Raytheon (RTX)

211.99
+1.71 (0.81%)
as of Aug 26, 2026, 8:00:00 pm Market Open.
308 watching
0
Investor Insights
star iconAug 26, 2026, 12:00 am

This summary was created by AI, based on 9 opinions in the last 12 months.

Raytheon (RTX-N) is currently experiencing a robust long-term uptrend, benefiting from increased defense spending amid ongoing global conflicts, particularly in Ukraine and the Middle East. While the stock has shown impressive growth, up 43% in recent picks and 58% last year, some analysts express caution over a potential valuation issue as the price-to-earnings ratio has reached 31x. With 66% of revenues derived from the commercial aircraft sector and an all-time high of backlogs, the company is well-placed to capitalize on burgeoning demand from airlines for new equipment. However, concerns about extended valuations persist, and any drop below previous lows may prompt a reevaluation of positions in this stock, making it crucial for investors to monitor the situation closely.

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Consensus
Positive
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Valuation
Overvalued
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Similar
NOC
BUY
Doesn't own stock, but expects sector to do well going forward (US defense industry will grow). Expecting investment in defense from cyber attacks to rise.
HOLD
Stay with it. Great CEO. They do more than defence.
COMMENT
Defense portion is about 48% of the business. In the space, NOC and LMT tend to be cheaper. European peers have had huge runs.
TOP PICK
It's a way to play the airline recovery, because they service planes, while we see a ramp-up in travel in pre-pandemic levels. Their defence business specializes in missile defence and cyberecutiry which are gaining traction because of the Russian war. There is more defence spending. This trades at a reasonable PE and pays a 2.4% yield. (Analysts’ price target is $113.61)
BUY
Wait for a lower price? Don't wait for a lower price. Once the US Fed gets late in its cycle for tightening, then the opportunity will be gone. The upside far outweighs the temporary weakness. Likes RTX for blending defence (a stable business) and commercial aerospace (about 60%+ of all revenues).
BUY
Defence spending won't go down anytime soon.
WAIT
As a short term trader, maybe, but this trade is already in the market. Global spending on defence will be going up so you could buy the dips. Start looking at it 10% lower.
DON'T BUY
Increase in Federal defensive spending might be positive. Doesn't understand business. Thinks there are better options for investors.
BUY ON WEAKNESS

Has owned this for a long time. It's run up because half their business is defence (the other is aerospace which has growth opportunities as air tavel rises). Buy around low-$90s as an entry point.

PAST TOP PICK
(A Top Pick Mar 19/21, Up 29%) Defense and aerospace. Reopening will help aerospace. Turmoil between Russia-Ukraine has been helping the defense side.
DON'T BUY
Moving in now might be too late. 19x forward earnings, for 13% growth, which is not too bad. Don't buy it just because of what's happening in the world today, because those reasons might soon go away.
BUY
Russia fomenting a war with Ukraine will likely see oil prices explode higher, based on historic precedent. Industries and stocks that will rise if a war happens (and nobody wants one outside Russia) are oil, consumer staples, drug companies like Procter & Gamble or JNJ. Also defence stocks like Raytheon which reports tomorrow or Lockheed are buys.
TOP PICK
Their time is coming. Produce lots of cash. Carried by defense side, but commercial side is about to take the lead. Yield is 2.27%. (Analysts’ price target is $103.47)
BUY
It's half commercial aerospace, half defence. Defence has done well, but aerospace depends on international air travel, which has been slow to recover. Omicron can delay it further. She's still buying RTX. It generates a lot of cash flow and pays an attractive yield.
TOP PICK
Security defense, cybersecurity, missiles. Aerospace division has suffered with the pandemic. Well managed. Commercial aviation has recovered. Defense will never go away. Sales will soar as inventories wind down. An easy double 5 years from now. (Analysts’ price target is $102.69)
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