RTX Corporation (NYSE:RTX) is among Billionaire David Tepper’s 10 Favorite Stocks. On February 4, Wolfe Research reaffirmed its Outperform rating and $235 price target for RTX Corporation (NYSE:RTX) after the company reached a framework agreement to increase missile manufacturing in pursuit of the Pentagon’s goal of improving defense industry capabilities.
The SM-3IB missile program, which Wolfe Research said was “in the crosshairs of the current administration” just a year ago, may have plans to triple production as part of the deal.
According to the company, RTX’s Raytheon division could see additional revenue growth of approximately $7-8 billion from manufacturing development, which would represent an implied growth of 25% versus the 2025 run rate. As a result, the segment’s current 6% compound annual growth rate may also see “a couple of percentage upward pressures.”
RTX Corporation (NYSE:RTX) is a global aerospace and defense company that designs, manufactures and services advanced systems, engines and solutions for defense, commercial and government customers. It focuses on connecting and protecting the world through innovations in areas such as missiles, aircraft engines, sensors, cybersecurity and space technology.
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Disclosure: None. This article was originally published in privileged monkey.