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RTX Collaborates With Amazon Web Services to Enhance Space Missions

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Key Takeaways

  • RTX teams with AWS to enhance satellite data processing and mission control operations.
  • The collaboration targets lower mission costs, greater flexibility and faster capability delivery.
  • AI and ML tools like SageMaker and Bedrock will support improved software development and operations.

RTX Corporation’s (RTX - Free Report) unit, Raytheon, has entered into a strategic collaboration with Amazon Web Services (“AWS”) to improve satellite data processing and mission control operations. The goal is to help customers strengthen their space capabilities for national security. The collaboration will focus on identifying ways to use AWS Artificial Intelligence (AI) and machine learning (ML) services for scalable cloud-based solutions.

Raytheon will use AWS to help customers lower mission costs, increase flexibility and deliver capabilities more quickly. It will also promote responsible AI development while maintaining strong security.

The collaboration gives customers more options to use combined Raytheon and AWS solutions for better decision-making and operational coordination. These include improved mission data processing, mission management at edge locations through the AWS Outpost family of services and advanced constellation command and control supported by software-defined systems.

The effort will also support scalable mission management using AWS serverless technologies. This will help customers add new capabilities securely and efficiently. Raytheon and AWS will further use AI and ML tools such as Amazon SageMaker and Amazon Bedrock to improve software development and mission operations.

Growth Prospects for RTX

The modern space industry is expanding rapidly as technology advances, satellite demand rises, commercial missions increase and investment in space infrastructure accelerates. These trends are shaping a fast-growing market and creating strong opportunities for companies with proven expertise in space systems and support services.

This is likely to benefit RTX as it is already deeply involved in enabling modern satellite operations and supporting critical space missions. RTX works in space by developing and supporting satellites and the systems used to operate them from the ground. The company helps manage satellite networks and uses the data they collect to support weather forecasting, GPS navigation, environmental monitoring and national security needs. RTX also provides advanced technology that allows satellites to observe Earth and deliver reliable information for government, commercial and scientific use. Overall, RTX plays a key role in ensuring satellites function effectively and that the data they generate is accurate and useful.

As demand for secure communication, real-time data and resilient space systems continues to rise, RTX’s established capabilities position it well to benefit from future growth in the space sector.

Opportunities For Other Defense Stocks

Other defense companies that are also likely to enjoy the perks of the expanding space market have been discussed below.

Northrop Grumman Corporation (NOC - Free Report) : It is one of the key players in the aerospace and defense sector, providing launch vehicles and propulsion systems through its space systems division. The company's innovations in rocket technology and satellite deployment make it a significant beneficiary of the growing demand for space launch services.

The company’s long-term (three to five years) earnings growth rate is 4.2%. The Zacks Consensus Estimate for NOC’s 2025 sales indicates year-over-year growth of 2.1%.

The Boeing Company (BA - Free Report) and Lockheed Martin Corporation’s (LMT - Free Report) joint venture, United Launch Alliance (“ULA”), has been the United States’ premier launch services provider since its establishment in 2006. Since 2006, ULA’s rockets have placed more than $70 billion of satellite assets into orbit.

Boeing has a long-term earnings growth rate of 31.3%. The Zacks Consensus Estimate for BA’s 2025 sales indicates year-over-year growth of 30.5%.

Lockheed has a long-term earnings growth rate of 12.4%. The Zacks Consensus Estimate for LMT’s 2025 sales indicates year-over-year growth of 4.7%.

RTX Stock’s Price Movement

Shares of RTX have gained 45.1% in the past year compared with the industry’s 21.9% growth.

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RTX’s Zacks Rank

RTX currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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