RTX price target lowered to $105 from $110 at RBC Capital

RBC Capital lowered the firm’s price target on RTX to $105 from $110 but keeps an Outperform rating on the shares. The company put up a strong Q2 with continued strength in its commercial aftermarket business and signs of improvement in its defense business, but the $500M reduction in 2023 free cash flow as a result of the urgent need to inspect 200 GTF engines was a negative surprise, the analyst tells investors in a research note. RBC adds however that the post-earnings stock price decline was “overdone”.