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RTX (RTX) Stock Falls Amid Market Uptick: What Investors Need to Know

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The most recent trading session ended with RTX (RTX - Free Report) standing at $100.78, reflecting a -0.57% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 0.74%. Elsewhere, the Dow saw a downswing of 0.01%, while the tech-heavy Nasdaq appreciated by 1.68%.

Shares of the an aerospace and defense company witnessed a gain of 11.93% over the previous month, beating the performance of the Aerospace sector with its loss of 4.98% and the S&P 500's gain of 0.8%.

Analysts and investors alike will be keeping a close eye on the performance of RTX in its upcoming earnings disclosure. The company's earnings report is set to go public on April 23, 2024. On that day, RTX is projected to report earnings of $1.23 per share, which would represent year-over-year growth of 0.82%. Meanwhile, the latest consensus estimate predicts the revenue to be $18.41 billion, indicating a 6.96% increase compared to the same quarter of the previous year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.39 per share and revenue of $78.63 billion. These totals would mark changes of +6.52% and +5.67%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for RTX. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.04% lower. At present, RTX boasts a Zacks Rank of #3 (Hold).

In terms of valuation, RTX is presently being traded at a Forward P/E ratio of 18.82. Its industry sports an average Forward P/E of 18.56, so one might conclude that RTX is trading at a premium comparatively.

We can also see that RTX currently has a PEG ratio of 1.85. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Aerospace - Defense stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.

The Aerospace - Defense industry is part of the Aerospace sector. With its current Zacks Industry Rank of 98, this industry ranks in the top 39% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow RTX in the coming trading sessions, be sure to utilize Zacks.com.


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