RTX (5UR) AI Stock Analysis

Company Guidance

RTX raised its full year adjusted sales outlook to a new range of $97 billion to $97.5 billion from $95 billion to $96 billion, with organic sales growth of between 10% to 11% versus between 8% to 9%; commercial OE sales are expected to grow high single digits, commercial aftermarket sales low double digits to low teens, and defense sales low double digit growth versus high single digits previously. Adjusted EPS is expected to be between $7.65 and $7.75 versus $7.10 to $7.25, and free cash flow between $9.0 billion and $9.2 billion versus $8.5 billion to $8.75 billion. Collins expects adjusted sales to grow high single digits and organic sales low double digit growth, with operating profit growth between $925 million and $975 million; Pratt expects adjusted and organic sales to grow high single digits and operating profit growth between $475 million and $525 million; and Raytheon expects adjusted and organic sales to grow low teens and operating profit growth between $800 million and $850 million. RTX expects another year of top and bottom line growth, improving operational margins, and strong free cash flow generation, while Pratt expects low double digit increases in shop visits as it goes into 2027 and beyond and has talked about low to mid teens margins over the longer term.