Opinions Brooke Thackray
United TechnologiesUTXPAST TOP PICKDec 15, 2015
Stock price when the opinion was issued
As of Oct 07, 2025. Market Open.
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(A Top Pick Feb 13/20, Down 16%) They spun off Otis and Carrier, and merged with Raytheon. It is now half defence and half aerospace. The defence side has been doing well. Continues to hold it, and is a play for the recovery in the airline industry. Great management team. Earnings are depressed, but it will pick up with reopening.
Christine Poole(A Top Pick Jul 10/19, Down 17%) Merged with Raytheon. Now the company is half defence, and half commercial aerospace. It will be a tough year for the aerospace side. Sound balance sheet. Willing to ride it out. Very strong management. Travel will resume eventually.
Christine Poole(A Top Pick Jul 25/19, Down 21%) Raytheon (RTX) bought them out. Its valuation is 15 times earnings. It is diversified, so is not a pure aviation play. They have a defense segment a good balance sheet. He would be adding to this. When they spun out OTIS and Carrier, they actually added to their position on the elevator segment (OTIS) and sold Carrier.
Chris Blumas
Christine PooleOver a 2-5 year time horizon, this will do fine, especially following the acquisition of Raytheon. This will diversify their business into the defense space. With low interest rates and good economic growth, this will be a good long term hold in the industrial space.
UTX merging with Raytheon He owns Raytheon and this deal with UTX is a great combination. Before the merger, UTX will spinoff its elevator division--a taxable event for Canadian. For Canadians to lower this tax hit, buy Raytheon. Recommended. UTX may struggle a bit because of Boeing's 737 Max woes (UTX makes engines), but long-term aerospace looks healthy. There are 26,000 commercial planes now, but by 2030 there need to 35,000, outpacing GDP growth. Combined synergies will make this company powerful.
John O'Connell, CFAChris Blumas
(A Top Pick Oct 20/15. Down 5.49%.) A diversified industrial company. Earlier in the year and in 2014 they overpromised and underdelivered, and then came back and corrected that. October came out with some good earnings. Just recently they announced stronger forward guidance and a $1.5 billion restructuring program. They are doing all the right things, but the industrial sector has not been doing as well as it should. Usually its stronger this time of year. They have some exposure to China through their Otis elevator division. Has a really good strong seasonal period that comes up from January 23 to May 5.