RTX Corporation, an aerospace and defense company, provides systems and services for the commercial, military, and government customers in the United States and internationally. It operates through three segments: Collins Aerospace, Pratt & Whitney, and Raytheon. The Collins Aerospace Systems segment offers aerospace and defense products, and aftermarket service solutions for civil and military aircraft manufacturers and commercial airlines, as well as regional, business, and general aviation, defense, and commercial space operations. This segment also designs, produces, and supports cabin interior, including oxygen systems, food and beverage preparation, storage and galley systems, and lavatory and wastewater management systems; battlespace, test and training range systems, crew escape systems, and simulation and training solutions; information management services; and aftermarket services that include spare parts, overhaul and repair, engineering and technical support, training and fleet management solutions, and asset and information management services. Its Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation customers; and produces, sells, and services military and commercial auxiliary power units. The Raytheon segment provides defensive and offensive threat detection, tracking, and mitigation capabilities for U.S., foreign government, and commercial customers. The company was formerly known as Raytheon Technologies Corporation and changed its name to RTX Corporation in July 2023. RTX Corporation was incorporated in 1934 and is headquartered in Arlington, Virginia.

RTX appears to be a high-quality defense and industrial asset, but no longer a cheap one: profit and cash flow are growing, yet the market valuation is running ahead of fundamental profitability. P/E of 31.61, P/S of 2.77, P/B of 3.70, and P/FCF of 27.94 are noticeably above the industry median, indicating a valuation premium and limiting the potential for further re-rating. At the same time, the trend in the multiples does not look clearly improving: P/E and P/B have fluctuated, while P/FCF has remained high, meaning the market is already pricing in strong expectations. The company’s strengths are sustained growth in revenue, earnings, and EBITDA, as well as improving operating and net margins over time. Net income, operating income, and EBITDA are at high absolute levels and continue to rise, supporting the quality of the business and its ability to generate cash flow. The debt burden looks manageable: debt/equity is below the industry median and has been declining, while long-term debt has also decreased over the years, reducing financial risk. However, liquidity is weaker than the industry average: a quick ratio of 0.78 and a current ratio of 1.04 are below the median, so the margin of safety in working capital is limited. Return on capital is mixed: ROE and ROA are below industry benchmarks, although they are improving year by year, which indicates progress but not yet a clear outperformance versus the sector. Gross margin remains a weak point and is below the median despite gradual improvement, which constrains earnings quality at the cost-of-sales level. Dividend yield has declined from previous periods, so the dividend factor no longer looks as supportive as it once did. Overall, the fundamentals justify a moderately cautious view: the business is strong and improving, but the current valuation already reflects a significant portion of those improvements. For an investor, this means upside potential remains, but it is limited by elevated multiples and less-than-ideal liquidity. Therefore, a small conservative downward adjustment to the forecast is appropriate rather than a sharp reassessment of the valuation.

RTX Corporation

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Средний индекс, значительно вырос. Рынок на стороне быков.

Medium index, significantly up. The market is on the bulls' side.

Средний индекс, незначительно вырос. Отток средств из лонгов снизился, но остается значительным.

Medium index, slightly up. The outflow of funds from longs has decreased, but remains significant.

RTX is showing growth in profit and revenue with moderate debt, but it trades at a significant premium on valuation multiples and has weak liquidity.

Key Points
The U.S. Air Force chose Anduril and General Atomics to produce Collaborative Combat Aircraft for it, rejecting Northrop Grumman's offering.
Northrop Grumman is proceeding to develop its YFQ-48A Talon Blue drone anyway.
A second "increment" of the CCA competition could see Talon Blue compete.
For Northrop Grumman (NYSE: NOC), the bad news arrived in June. The U.S. Air Force had just announced contracts to build new Collaborative Combat Aircraft (CCA), the drone warplanes that will fly in support of piloted fighter jets -- naming two companies as winners.
Northrop Grumman was neither of them.
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Good news for Anduril and General Atomics -- bad news for everyone else
Five companies had entered the Air Force CCA competition: publicly traded Boeing, Lockheed Martin, and Northrop Grumman, and also privately held Anduril and General Atomics. In a somewhat shocking development, though, all of the publicly traded defense companies' designs were rejected. Only privately held General Atomics and Anduril Industries won production contracts for their respective FQ-42 Vengeance and FQ-44 Fury CCA drones.
Northrop Grumman may not be left entirely out in the cold. In a twist, the Air Force awarded contracts for CCA hardware and software separately. Northrop didn't win the hardware contract, but it did make the list for drone software vendors. Other companies on this list include Anduril, General Atomics, and Lockheed Martin from the hardware competition, as well as RTX Corporation and Shield AI. That feels kind of like a consolation prize for Northrop, however. The builder of "the world's first sixth-generation aircraft," the B-21 Stealth Bomber, went head-to-head with a team of U.S. rivals to build the fighter drones that will escort it -- and lost.
But Northop isn't taking the loss sitting down.
Full speed ahead
The U.S. Air Force may not want Northrop Grumman's CCA, but as we learned last week, Northrop Grumman has decided to build one anyway. Dubbed the YFQ-48A Talon Blue, this prototype fighter drone took off for the first time earlier this month.
YFQ-48A Talon Blue is airborne. Its first flight, including taxi, takeoff and landing, was fully autonomous. This is the latest step in our work to make autonomous airpower faster and more affordable to produce. https://t.co/YkA3YGvCdq https://t.co/6g9m41ahqn
-- Northrop Grumman (@NGCNews) October 3, 2026
Based on a Scaled Composites aircraft (Northrop bought Scaled Composites in 2007), Talon Blue runs on Northrop Grumman Prism Mission Autonomy software, presumably the same software Northrop is offering for the CCA program. The aircraft is fixed-wing and powered by a single Pratt & Whitney PW500 turbofan that will give it a 700-mile range -- slightly longer than that of an F-35 stealth fighter. It's believed to measure about 40 feet in length with a 33-foot wingspan.
Northrop also confirms that the drone has an "integrated weapons" bay that will make it stealthier than other drones.
Will the Air Force buy it?
None of this may matter, of course, if Northrop cannot convince the Air Force to buy the drone. Years ago, during the invasions of Afghanistan and Iraq, defense company Textron made a similar effort to build a budget-priced fighter, the Scorpion, on spec. The company sank "many millions of dollars in design and development" into the effort -- but it never found a buyer.
Northrop's Talon Blue may meet a similar fate. But even if it does, that's OK.
Paid for internally, Northrop Grumman characterizes its investment in Project Talon as research and development of "mission-ready autonomous airpower capabilities." The company is probably prepared for the risk that the Air Force doesn't buy its CCA drone, and that it will have to write off the cost as R&D. That could still pay off if the company makes advances in simplifying the design to use fewer, lighter, and less expensive parts, permitting it to manufacture simpler drones faster and at lower cost, for future competitions.
What's next for Northrop Grumman
Speaking of which, there's always the chance Northrop will be able to sell its CCA drone eventually.
Although Northrop didn't win an Air Force contract in Increment 1 of the CCA program, it's already gearing up for a second competition and selecting designs to approve for Increment 2. According to TheAviationist.com, Northrop may submit Talon Blue for that competition.
That said, investing in Northrop solely in the hope that it will win its way into CCA seems like a risky gamble. With its 16 price-to-earnings ratio, skimpy 2.1% dividend yield, and subpar 6.7% growth rate (according to analysts polled by S&P Global Market Intelligence), I suspect you can find better bargains.
Lockheed Martin (NYSE: LMT) remains No. 1 on my list for undervalued defense stocks.
Should you buy stock in Northrop Grumman right now?
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USAF Doesn't Want Northrop Grumman's Stealth Drone

The S&P 500 Index ($SPX) (SPY) closed down by -1.09% on Friday, the Dow Jones Industrial Average ($DOWI) (DIA) closed down by -0.34%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -2.50%. December E-mini S&P futures (ESZ26) fell -1.14%, and December E-mini Nasdaq futures (NQZ26) fell -2.51%.
Stock indexes sold off sharply on Friday, with the S&P 500 falling to a 2-week low and the Nasdaq 100 dropping to a 1-month low. Selling in chipmakers and AI-infrastructure stocks led the market lower on Friday, driven by concerns about whether companies will see returns on their huge investments in the AI infrastructure buildout. Also, CoreWeave sank more than -11% to weigh on cloud infrastructure stocks as concerns about the company’s credit risk linger.
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Stock losses accelerated Friday afternoon as crude oil prices soared more than 3% to a 1-month high, raising inflation expectations and fueling fears the Fed will keep raising interest rates to contain inflation.
Higher bond yields undercut stocks after Fed Chair Warsh made no remarks on monetary policy or his outlook for the US economy late Thursday evening at the IMF annual meeting in Bangkok. The 10-year T-note yield rose +1 bp to 5.09%.
Friday’s US economic news was mixed for stocks. The Sep import price index ex-petroleum rose +0.8% m/m, stronger than expectations of +0.6% m/m, the largest increase in 5 months and a sign of price pressures. However, Sep manufacturing production rose +0.3% m/m, right on expectations.
Stocks have support from the prospect of solid quarterly earnings results that began this week. Goldman Sachs on Monday raised its three-month view on global equity markets to overweight from neutral, saying. “Earnings growth remains supportive for equities and the recent valuation de-rating has improved asymmetry into the third-quarter earnings season.” According to data compiled by Bloomberg Intelligence, Q3 S&P 500 earnings are expected to climb by +25% from a year earlier, up from a July estimate of 22%. As of Friday, 40 of the S&P 500 companies have reported results, with 78% beating estimates.
Nov WTI crude oil prices (CLX26) surged more than +3% on Friday to a 1-month high. Crude prices rallied on Friday amid a weaker dollar and concerns that escalating Middle East hostilities could disrupt regional energy supplies. Prices race to their highs Friday afternoon after US lawmakers introduced a bill to block President Trump’s deal with Russia to release several hundred million barrels of diesel fuel.
Markets are discounting a 17% chance of a +25 bp Fed rate hike at the next FOMC meeting on October 27-28.
Overseas stock markets settled higher on Friday. The Euro Stoxx 50 closed up +0.58%. China's Shanghai Composite closed up +0.24%. Japan's Nikkei-225 Stock Average closed up +1.39%.
Interest Rates
December 10-year T-notes (ZNZ6) closed down -2.5 ticks on Friday. The 10-year T-note yield rose +2.7 bp to 5.085%. Dec T-notes were under pressure Friday after Fed Chair Warsh's lack of guidance at the annual IMF meeting in Bangkok weighed on T-notes. Also, Friday’s +3% surge in WTI crude oil to a 1-month high raised inflation expectations and weighed on T-notes. Friday’s stock plunge sparked safe-haven buying of government debt and limited T-note losses.
European government bond yields were mixed on Friday. The 10-year German bund yield rose +1.3 bp to 3.426%. The 10-year UK gilt yield fell -0.2 bp to 5.373%.
ECB Governing Council member and Bundesbank President Joachim Nagel said. "The ECB has raised interest rates twice, and if the situation remains as it is, we don't rule out the possibility that we may have to take further action."
Markets are discounting a 10% chance of a +25 bp ECB rate hike at the ECB’s next meeting on October 29.
US Stock Movers
Chipmakers and AI-infrastructure stocks continued their week-long slide on Friday, weighing on the broader market. Seagate Technology Holdings Plc (STX) closed down more than -7%, and Western Digital (WDC), SanDisk (SNDK), and ARM Holdings Plc (ARM) closed down more than -6%. Also, Advanced Micro Devices (AMD), Micron Technology (MU), Intel (INTC), and Marvell Technology (MRVL) closed down more than -5%, and Lam Research (LRCX), KLA Corp (KLAC), Applied Materials (AMAT), and Broadcom (AVGO) closed down more than -4%. In addition,
CoreWeave (CRWV) closed down more than -11% to weigh on cloud infrastructure stocks as debt concerns linger after swaps priced in more than a 50% chance the company will default on its debt within five years. Also, Nebius Group NV (NBIS) closed down more than -12% to lead losers in the Nasdaq 100, and Applied Digital (APLD) closed down more than -11%. In addition, Lumentum Holdings (LITE) closed down more than -5%, and Oracle (ORCL) and Arista Networks (ANET) closed down more than -4%.
The Magnificent Seven stocks, excluding Apple, fell on Friday and weighed on the overall market. Meta Platforms (META) closed down more than -3%, and Alphabet (GOOGL) closed down more than -2% to lead losers in the Dow Jones Industrials. Also, Tesla (TSLA) closed down more than -2%, and Amazon.com (AMZN), Microsoft (MSFT), and Nvidia (NVDA) closed down more than -1%. Apple (AAPL) bucked the trend and closed up +0.43%.
Cybersecurity stocks retreated on Friday. Okta (OKTA) closed down more than -10%, and SentinelOne (S), Fortinet (FTNT), Crowdstrike Holdings (CRWD), and Palo Alto Networks (PANW) closed down more than -7%. Also, Cloudflare (NET) closed down more than -6%, Zscaler (ZS) closed down more than -5%, and Gen Digital (GEN) closed down more than -2%.
Energy producers and service providers rallied on Friday after WTI crude oil rose more than +3% to a 1-month high. APA Corp (APA) closed up more than +4%, and Diamondback Energy (FANG) closed up more than +4% to lead gainers in the Nasdaq 100. Also, ConocoPhillips (COP) and Devon Energy (DVN) closed up more than +3%, and Chevron (CVX) closed up more than +2% to lead gainers in the Dow Jones industrials. In addition, Baker Hughes (BKR), ExxonMobil Holdings (XOM), Occidental Petroleum (OXY), and SLB Ltd (SLB) closed up more than +2%, and Halliburton (HAL) and Phillips 66 (PSX) closed up more than +1%.
Defense contractors rose on Friday as the companies are set to benefit from increased defense spending. Northrop Grumman (NOC) closed up more than +4%, and Lockheed Martin (LMT), RTX Corp (RTX), and L3Harris Technologies (LHX) closed up more than +3%. Also, General Dynamics (GD) closed up more than +2%, and Huntington Ingalls Industries (HII) closed up more than +1%.
Defensive food producers moved higher on Friday amid the slump in the broader market. Kraft Heinz Co (KHC), McCormick & Co (MKC), J M Smucker (SJM), Hershey Co (HSY), Hormel Foods (HRL), and Mondelez International (MDLZ) closed up more than +1%.
Omeros (OMER) closed down more than -14% after the European Medicines Agency issued a negative opinion on the company’s application for its narsoplimab therapy.
Earnings Reports (10/19/2026)
AGNC Investment Corp (AGNC), BOK Financial Corp (BOKF), Cleveland-Cliffs Inc (CLF), Crown Holdings Inc (CCK), Fifth Third Bancorp (FITB), FNB Corp/PA (FNB), RLI Corp (RLI), Steel Dynamics Inc (STLD), W R Berkley Corp (WRB), Western Alliance Bancorp (WAL), Wintrust Financial Corp (WTFC), Zions Bancorp NA (ZION).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Stock Indexes Finish Sharply Lower as Tech Stocks Plunge

RTX Corporation, headquartered in the United States, operates in the aerospace and defense industry, manufacturing aircraft engines, avionics, missiles, air defense systems, drones, and related intelligence, GPS, communications, and sensor technologies.
On October 9, 2026, the stock's latest close was $185.97; the pre-action close on October 8, 2026, was $184.32. Over a one-week period, the price change was +0.70% from a baseline close of $184.68 on October 2, 2026. Over a one-month period, the price change was -5.86% from a baseline close of $197.55 on September 9, 2026.
Separately from the individual rating by Barclays, aggregate consensus target data as of October 2, 2026, indicated a mean target of $228.78 and a median target of $242.76, representing an implied change of +23.02%. The prior consensus target mean was $229.47 as of September 15, 2026, reflecting a consensus target revision of -0.30%. Broader analyst sentiment during the recommendation period of September 1, 2026, showed 7 strong buy, 13 buy, 9 hold, and 1 strong sell recommendations, totaling 30 recommendations. This distribution represents 66.7% positive, 30.0% hold, and 3.3% negative recommendations.
RTX Corporation reported its latest quarterly earnings on July 23, 2026, posting an actual EPS of 1.89 against an estimated EPS of 1.6781, an EPS surprise of +12.63%. The company's actual revenue reached $24,708,000,000.00, compared to the estimated revenue of $23,121,604,719.00. The upcoming earnings announcement is scheduled for October 20, 2026, before market open. Other recent analyst actions include TD Cowen maintaining a Buy rating on October 9, 2026, and Bernstein maintaining a Market Perform rating on September 23, 2026.
Recent analyst actions
Recent analyst upgrades, downgrades, initiations, and maintained ratings
Date
Analyst
Prior
Latest recommendation
Action
October 9, 2026
Barclays
Overweight
initiated coverage
October 9, 2026
TD Cowen
Buy
Buy
maintained
September 23, 2026
Bernstein
Market Perform
Market Perform
maintained
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Barclays initiates coverage of RTX with an Overweight rating

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares U.S. Thematic Rotation Active ETF (Symbol: THRO) where we have detected an approximate $543.5 million dollar inflow -- that's a 7.8% increase week over week in outstanding units (from 155,660,000 to 167,800,000). Among the largest underlying components of THRO, in trading today RTX Corp (Symbol: RTX) is up about 1.1%, Procter & Gamble Company (Symbol: PG) is up about 0.8%, and NextEra Energy Inc (Symbol: NEE) is lower by about 0.1%. For a complete list of holdings, visit the THRO Holdings page » The chart below shows the one year price performance of THRO, versus its 200 day moving average:
Looking at the chart above, THRO's low point in its 52 week range is $34.945 per share, with $45.035 as the 52 week high point — that compares with a last trade of $44.75. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Further THRO Research:

Notable ETF Inflow Detected - THRO, RTX, PG, NEE

Monday, October 5, 2026
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Texas Instruments Inc. (TXN), RTX Corp. (RTX) and Marvell Technology, Inc. (MRVL), as well as two micro-cap stocks, Air T, Inc. (AIRT) and GSI Technology, Inc. (GSIT). These research reports have been hand-picked from roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Ahead of Wall Street
The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens, attempting to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.
You can read today's AWS here >>> Pre-Markets Down a Tad Following Last Week’s Gains
Today's Featured Research Reports
Texas Instruments’ shares have outperformed the Zacks Semiconductor - General industry over the past year (+61.6% vs. +34.2%). Per the Zacks analyst, the company is benefiting from broadening demand across industrial, data center and automotive markets. Its analog and embedded franchises, internal manufacturing, expanding capacity and CHIPS Act support strengthen long-term growth and supply control. The Silicon Labs acquisition further enhances connectivity capabilities.
However, risks include elevated debt, geopolitical and trade exposure, intense competition, seasonality and higher manufacturing costs.
(You can read the full research report on Texas Instruments here >>>)
RTX’s shares have outperformed the Aerospace - Defense industry over the past year (+9.5% vs. -19.6%). The Zacks analyst believes that the company benefits from commercial aerospace recovery, strong defense demand and a robust backlog. Rising air traffic, OEM and aftermarket sales and engine demand support growth, while strong defense bookings provide further stability.
Yet, supply-chain disruptions and aircraft engine availability could constrain production and deliveries. Tariff uncertainty and Russia-related sanctions also pose operational risks.
(You can read the full research report on RTX here >>>)
Marvell’s shares have outperformed the Electronics - Semiconductors industry over the past year (+206.2% vs. +41.4%). The Zacks analyst believes that the company is benefiting from strong AI-driven data center demand, with custom silicon, interconnect, switching and optics supporting growth. Its expanded NVIDIA partnership and recent acquisitions strengthen its position in hyperscaler infrastructure, while communications demand is recovering.
Yet, profitability remains sensitive to product mix, and the business is concentrated among a limited number of customers. Export controls, tariffs and overseas shipments pose risks, while intense competition could pressure demand and margins.
(You can read the full research report on Marvell here >>>)
Air T’s shares have outperformed the Zacks Transportation - Air Freight and Cargo industry over the last six months (+29.9% vs. -12.0%). The Zacks analyst believes that the company benefits from a diversified aviation platform, improving ground-support profitability, recurring digital revenues, stable cargo operations and expanding asset management. Rex and broader aftermarket and MRO capabilities offer additional growth opportunities.
Risks include Rex fleet restoration, integration challenges, FedEx concentration, weaker digital operations and higher financial obligations. Cash flow and earnings visibility remain concerns.
(You can read the full research report on Air T here >>>)
GSI’s shares have underperformed the Zacks Computer - Storage Devices industry over the past year (+16.4% vs. +270.0%). The Zacks analyst believes that the company faces risks from early-stage commercialization of its Gemini-II APU and lengthy defense procurement cycles that could delay adoption. Dependence on a single foundry and evolving export controls and AI regulations may also constrain growth.
However, the company’s compute-in-memory architecture enables low-latency, power-efficient AI processing for drones, robotics and autonomous systems. Government contracts and customer deployments provide validation, while its SRAM business and strong balance sheet offer flexibility.
(You can read the full research report on GSI here >>>)
Other noteworthy reports we are featuring today include Welltower Inc. (WELL), UBS Group AG (UBS) and Ross Stores, Inc. (ROST).
Mark Vickery
Senior Editor
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Featured Reports
Permian Resources (PR) to Benefit From Deep Delaware Inventory
The Zacks analyst believes that Permian Resources' deep Delaware inventory supports long-term growth, but weak Waha gas pricing and pipeline constraints may pressure revenue and output over time.
Asset Optimization Aids Smurfit Westrock (SW) Amid Cost Woes
Per the Zacks Analyst, Smurfit Westrock gains from its ongoing asset optimization and business improvement initiatives. However, merger-related costs and cost inflation remain woes.
Ciena's (CIEN) AI-Driven Optical Demand, Backlog to Fuel Growth
Per the Zacks analyst, Ciena is benefiting from accelerating AI-driven optical demand, a growing backlog and multiyear customer commitments, though supply constraints remain a concern.
Senior Housing Demand & Limited New Supply Aid Welltower (WELL)
Per the Zacks analyst, Welltower gains from senior housing demand, limited supply, occupancy gains and ample liquidity. However, high interest expense, partner concentration and execution risks weigh.
Inorganic Growth & Cost Reduction Supports UBS Group AG (UBS)
Per the Zacks analyst, UBS Group's expanded operations via strategic partnerships and acquisitions reflects solid inorganic growth. Cost reduction initiatives further strengthen its financials.
Virtu Financial (VIRT) Gains from Market Making unit, Expenses High
Per the Zacks Analyst, Virtu Financial's Market Making segment is well-poised for growth due to growing retail engagement. However, elevated expenses are putting pressure on its margins.
Ross Stores (ROST) Gains from Broad-Based Demand and Traffic
Per the Zacks analyst, Ross Stores benefits from strong customer demand, high traffic, broad-based category strength and new shopper gain, supporting sustained sales growth and market-share expansion.
New Upgrades
Sublocade Growth and Cost Savings Support Indivior's (INDV) Upside
The Zacks analyst is encouraged by Sublocade's continued growth, market leadership, higher 2026 guidance, cost savings, and an expanding OUD market, which support Indivior's growth prospects.
DSA Business, Strong Solvency Aid Charles River (CRL)
Per the Zacks analyst, the DSA segment holds strong potential for Charles River's long-term growth. Also, a strong balance sheet looks encouraging.
GigaCloud (GCT) Rides on Scaled Marketplace, Disciplined Integrations
Per the Zacks Analyst, a scaled marketplace, improving margin mix, European infrastructure, international scaling and disciplined integrations aid GCT.
New Downgrades
Post Holdings' (POST) Weak Volumes May Pressure Growth and Margins
Per the Zacks analyst, Post Holdings' persistent volume weakness and inflation are likely to pressure margins and overall financial performance.
Weak QSR traffic and Escalating Costs Hurt Middleby (MIDD)
Per the Zacks analyst, Middleby is facing weak quick-service restaurant (QSR) traffic. Rising costs due to higher tariffs, freight expenses and steel surcharges are also a concern for the company.
Eylea HD, Dupixent Fuel Regeneron (REGN) Amid Competitive Pressure
Per the Zacks analyst, robust demand for Eylea HD and higher profit-sharing from Dupixent sales is boost Regeneron's sales. However, Eylea sales remain under pressure.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This innovative software-as-a-service firm upped its user base +22% year over year. That rate is increasing and margins are expanding as AI efficiencies take effect. Of course, all our elite picks aren't winners, but this one could far surpass earlier Zacks' Stocks Set to Double like D-Wave Quantum, which shot up +680.1%.
Free: See Our Top Stock And 4 Runners Up
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This article originally published on Zacks Investment Research (zacks.com).

Top Analyst Reports for Texas Instruments, RTX & Marvell

For Immediate Release
Chicago, IL – September 30, 2026 – Today, Zacks Equity Research discusses GE Aerospace GE, RTX Corp. RTX and Howmet Aerospace HWM.
Industry: Aerospace-Defense
Link: https://www.zacks.com/commentary/2997195/3-aerospace-defense-stocks-poised-for-growth-on-defense-modernization
The Zacks Aerospace-Defense industry is benefiting from rising geopolitical tensions, higher military spending and continued air-travel demand, as governments accelerate defense modernization and invest in advanced weapons. Long-term defense procurement and lifecycle-support programs are also providing contractors with greater revenue visibility and earnings stability.
Persistent supply-chain constraints, labor shortages, limited aircraft availability and higher operating costs remain key headwinds that continue to affect production, deliveries and airline profitability. The leading companies in the aerospace-defense industry that you might want to keep an eye on are GE Aerospace, RTX Corp. and Howmet Aerospace.
About the Industry
The Zacks Aerospace-Defense industry comprises companies that primarily design and manufacture heavy-built products like commercial as well as military jets and helicopters, tankers and other combat vehicles, missiles, combatant ships as well as auxiliary ships, submarines, bombs, guns, space transportation vehicles, military satellites and a few more.
The industry also includes cybersecurity players that offer information technology services and C4ISR (command, control, communications, computers, intelligence, surveillance and reconnaissance) solutions. A portion of its revenues comes from defense contractors offering spare parts, aircraft modification, ship repair and overhaul services, and supply-chain management services.
3 Major Trends in the Aerospace-Defense Industry
Geopolitical Tensions & Rising Military Modernization: Heightened geopolitical uncertainty is prompting governments worldwide to accelerate defense modernization and expand military expenditures. As defense priorities shift toward strengthening national security, contractors are increasingly securing long-term procurement programs that extend beyond initial equipment sales to include sustainment, modernization, training and lifecycle support. These multi-year programs provide greater revenue visibility, improve cash flow stability and support sustained earnings growth.
The U.S. defense industry is seeing stronger demand as the Pentagon and allied governments shift spending toward next-generation military capabilities, including advanced weapons, missile defense, unmanned and autonomous platforms, space systems, cyber technologies and modern aircraft. Recent conflicts have underscored the importance of maintaining adequate inventories of missiles and munitions, encouraging governments to accelerate procurement and expand domestic defense production.
According to a Markets and Markets report, the Military Platforms market was estimated at $38.75 billion in 2025 and is expected to reach around $76.25 billion by 2032, registering a CAGR of about 10.2% during the period. Market growth is primarily driven by sustained defense modernization programs, replacement of aging land, naval, and air platforms, and continued investment in higher-capability military systems.
Air Traffic View Boosts Opportunities: According to a report by the International Air Transport Association (“IATA”), global air passenger demand is expected to grow 2.1% year over year in 2026. IATA reported that global passenger demand returned to growth in July 2026, with Revenue Passenger Kilometers (“RPK”) increasing 0.2% year over year, following contractions in May and June.
Capacity rose 0.3%, while the global passenger load factor remained high at 85.2%, indicating resilient underlying air-travel demand despite elevated fuel costs, economic uncertainty and geopolitical tensions. Defense companies, especially those tied to aerospace manufacturing and technology, benefit through technological advances and improved production economics.
Supply-Chain Issues Continue to Act as a Headwind: The Aerospace and Defense industry continues to face supply-chain challenges that originated during the pandemic, when a sharp decline in aircraft demand led suppliers to reduce production capacity, scale back investments and shrink their workforces. Although demand has recovered strongly, many suppliers are still struggling to ramp up production, resulting in shortages of critical components, longer lead times, and delays in aircraft manufacturing and deliveries.
According to IATA, airlines are facing higher operating costs because supply-chain problems have made spare parts more expensive and harder to obtain. Airport fees, air traffic charges and aircraft ownership costs have also increased. With new aircraft in short supply, airlines are leasing older, mid-life planes at higher rates.
These older aircraft also consume more fuel, further increasing overall expenses. IATA has highlighted that limited aircraft availability and labor shortages remain key supply-side challenges, while broader disruptions continue to delay the timely production and delivery of essential systems.
Zacks Industry Rank Reflects Gloomy Outlook
The Zacks Aerospace-Defense industry is housed within the broader Zacks Aerospace sector. It currently carries a Zacks Industry Rank #179, which places it in the bottom 28% of more than 247 Zacks industries.
The group’s Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bright near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
The industry’s position in the bottom 50% of the Zacks-ranked industries is due to a negative earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts have lost confidence in this group’s earnings growth potential over the past few months. The industry’s bottom-line estimate for the current fiscal year has moved down 0.5% to $3.86 since July 31.
Before we present a few aerospace-defense stocks that you may want to add to your portfolio, let’s take a look at the industry’s recent stock market performance and valuation picture.
Industry Lags S&P 500 & Sector
The Aerospace-Defense industry has underperformed the Zacks S&P 500 composite and its sector over the past year. The stocks in this industry have collectively lost 14.3%, while the Zacks Aerospace sector has declined 12.3% during the same period. The Zacks S&P 500 composite has gained 16.9%.
Industry's Current Valuation
Based on trailing 12-month EV/Sales, a valuation metric commonly used for capital-intensive industries like aerospace and defense, the industry is currently trading at 2.61X compared with 5.69X for the S&P 500 and 2.88X for the sector.
Over the past five years, the industry has traded as high as 3.34X, as low as 1.99X and at the median of 2.74X.
3 Aerospace-Defense Stocks to Buy
GE Aerospace: Headquartered in Evendale, OH, GE Aerospace is a leading designer, developer and producer of jet engines, components and integrated systems for military, commercial and business aircraft. On Sept. 21, 2026, Kratos Defense and GE Aerospace successfully ignited the GEK800 turbofan propulsion system for a cruise missile at the X-58 test facility, achieving a 100% success rate in this critical development phase and keeping the program on schedule.
On the aforementioned date, GE Aerospace announced a $225 million investment to modernize its Research Center in Niskayuna, NY, supported by $8.4 million in state tax credits and $5.3 million in local incentives, strengthening the facility’s role in developing next-generation aviation technologies.
The Zacks Consensus Estimate for GE’s 2026 sales calls for an increase of 19.5% year over year. The Zacks Consensus Estimate for 2026 earnings per share (EPS) indicates an improvement of 24.2% year over year. It currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Howmet Aerospace: Headquartered in Pittsburgh, PA, Howmet Aerospace provides engineered solutions for customers in the transportation and aerospace (both defense and commercial) industries. Howmet Aerospace reported a strong second-quarter 2026, with revenues rising 24% year over year to $2.55 billion and organic growth of 21%, while adjusted EPS jumped 46% to $1.33, reflecting strong demand across commercial aerospace, defense aerospace and gas turbines.
Commercial aerospace revenues grew 28%, defense aerospace rose 11%, and gas turbines increased 38%, while Engine Products saw revenues rise 32%. HWM also generated $479 million in free cash flow, repurchased $300 million of shares and completed approximately $1.8 billion CAM acquisition during the quarter.
The Zacks Consensus Estimate for HWM’s 2026 sales calls for a 22.6% improvement year over year. The Zacks Consensus Estimate for 2026 EPS indicates an increase of 40.3% year over year. HWM currently has a Zacks Rank #2.
RTX: Based in Waltham, MA, RTX has emerged as an aerospace and defense company, providing advanced systems and services for commercial, military and government customers worldwide. On Sept. 28, 2026, RTX’s Raytheon unit announced plans to accelerate AMRAAM missile production to record levels under a five-year, multiyear contract, with two option years, valued at up to $20.7 billion.
The contract was awarded as part of the Department of War’s Arsenal of Freedom. This provides Raytheon with significant multi-year demand and supports higher production volumes, strengthening RTX’s defense backlog and enabling further investment in manufacturing capacity, workforce and supply chain.
The Zacks Consensus Estimate for RTX’s 2026 sales calls for an increase of 8.4% year over year. The Zacks Consensus Estimate for 2026 EPS indicates a rise of 14.8% year over year. RTX currently has a Zacks Rank #2.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Zacks Industry Outlook Highlights GE Aerospace, RTX and Howmet Aerospace

RTX Corporation RTX is strengthening its position in the air-to-air missile market as demand for Advanced Medium-Range Air-to-Air Missiles (AMRAAM) continues to rise among the U.S. military and international customers. Its Raytheon business recently received a multiyear contract valued at up to $20.7 billion for the production of AMRAAM, guidance sections and related requirements.
The five-year contract, which includes two option years, covers AMRAAM production through June 2033. The award is expected to support a significant increase in production, with RTX targeting annual output of at least 1,900 missiles. The company has already invested in expanding AMRAAM production capacity and nearly doubled output in 2025 from the previous year.
International demand is another key growth driver. The contract includes Foreign Military Sales to 16 countries, including Australia, Canada, Germany, Japan, Poland, Sweden and the United Kingdom. AMRAAM is currently deployed across 44 countries and operates on 14 platforms, giving RTX a broad customer base for the missile.
The award also strengthens RTX’s long-term defense production pipeline. Rising demand for air-to-air missiles, along with efforts by the United States and its allies to expand weapons inventories, should support higher production volumes. RTX’s investments in its workforce, supply chain and manufacturing facilities are expected to help meet these requirements.
With strong U.S. and international demand, the AMRAAM program could provide RTX with sustained revenue opportunities while supporting growth in its broader missile and defense portfolio.
Defense Stocks to Keep on the Radar
Growing demand for advanced missiles and replenishment of defense inventories could also benefit other major defense contractors with established weapons portfolios.
Lockheed Martin LMT: Lockheed Martin benefits from demand for air and missile defense systems, including PAC-3 interceptors and other precision weapons. Rising U.S. and allied requirements for advanced missile defense capabilities could support continued orders across its portfolio.
Northrop Grumman NOC: Northrop Grumman supports missile programs through advanced guidance, propulsion and defense electronics. Its involvement in strategic and tactical missile programs positions the company to benefit from continued investment in precision weapons and next-generation defense technologies.
The Zacks Rundown for RTX
Shares of RTX have surged 12.1% in the past year against the industry’s 14.4% decline.
Image Source: Zacks Investment Research
The company’s shares are trading at a premium on a relative basis, with its forward 12-month Price/Sales being 2.51X compared with its industry’s average of 2.19X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for RTX’s 2026 and 2027 earnings has moved north over the past 60 days.
Image Source: Zacks Investment Research
RTX stock currently carries a Zacks Rank #2 (Buy).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Can Rising AMRAAM Demand Support RTX's Defense Growth Outlook?

Lockheed Martin LMT continues to strengthen its position in advanced radar and air surveillance systems as the U.S. Air Force invests in capabilities designed to detect and track threats over long distances. The company recently received an $18.9 million contract modification for the Three-Dimensional Expeditionary Long-Range Radar program.
The latest award increases the cumulative face value of the contract to approximately $1.01 billion from $991.3 million. Work will be performed in Liverpool, NY, and is expected to be completed by June 2029, providing Lockheed Martin with continued program visibility.
Three-dimensional long-range radar systems are designed to provide detailed information on the location, altitude and movement of airborne objects. Such capabilities are important for strengthening air surveillance and supporting timely responses to aircraft, missiles and other potential threats.
The contract also highlights continued demand for mobile and expeditionary radar capabilities that can support military operations in different environments. As the Air Force works to improve detection and tracking capabilities against increasingly complex threats, advanced radar systems are expected to remain an important area of defense investment.
Lockheed Martin’s established expertise in radar, sensors and integrated mission systems positions it to benefit from these requirements. Continued awards and modifications under the program could provide recurring opportunities as the Air Force expands and sustains its long-range surveillance capabilities.
Defense Stocks to Keep on the Radar
Growing demand for advanced radar and air surveillance capabilities could also benefit other defense contractors with established sensor portfolios.
RTX Corporation RTX: RTX develops advanced radar and sensor technologies for air defense and surveillance applications. Its portfolio includes systems designed to detect, track and identify airborne threats across different operating environments.
Northrop Grumman NOC: Northrop Grumman provides advanced radar and sensor systems for air and missile defense. Its expertise in long-range surveillance and integrated sensing supports demand for technologies that improve threat detection and situational awareness.
The Zacks Rundown for LMT
Shares of LMT have risen 5.3% in the past year against the industry’s 14.7% decline.
The company's shares are trading at a discount on a relative basis, with its forward 12-month Price/Sales being 1.43X compared with its industry’s average of 2.19X.
The Zacks Consensus Estimate for LMT’s 2026 and 2027 earnings has moved north over the past 60 days.
Image Source: Zacks Investment Research
LMT stock 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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Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
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This article originally published on Zacks Investment Research (zacks.com).

Can Long-Range Radar Demand Support Lockheed Martin's Growth?

(RTTNews) - RTX Corporation (RTX), an aerospace and defense company, Monday announced that its subsidiary Raytheon has secured a$20.7 billion 5-year multi-year contract with two options for AMRAAM as part of the Department of War's Arsenal of Freedom.
Under this contract, Raytheon will accelerate the annual production of AMRAAM missiles to at least 1900 missiles.
Further, RTX has invested heavily in recent years to ramp production of AMRAAM and other critical munitions, nearly doubling production in 2025 compared to 2024.
"Currently in its fifth generation, AMRAAM operates on 14 platforms and is fielded by 44 countries, achieving more than 7,000 successful live fires in test and combat.", Raytheon said in a statement.
On Monday, RTX shares closed at $187.66, down 0.92% on the New York Stock Exchange.

RTX's Raytheon Bags $20.7 Bln Multi-year Contract For AMRAAM From US War Department

Key Points
RTX is sitting on a $289 billion backlog.
Honeywell Aerospace is a new stock from a familiar entity.
Both industrial stocks are poised to benefit as defense spending escalates.
Not-so-fun (but interesting) fact: The U.S. spends more on servicing its debt (about 15% of the overall budget) than on defense (about 13%), and it's been that way since 2024. Even if it isn't the biggest line item on the overall U.S. budget, this country allocates a mammoth amount of money to military and national security spending.
Earlier this year, the White House unveiled its fiscal 2027 defense budget request, and it totaled a staggering $1.5 trillion, a 42% increase over 2026. That's just a single year's budget request. Clearly, this country spends big on defense.
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And the United States isn't the only country spending more on defense. Other countries are boosting defense expenditures significantly in response to the ongoing conflicts in Iran and Ukraine, out of a desire to be proactive, to spur economic activity, or for other reasons. Global defense spending reached a jaw-dropping $2.9 trillion last year, accounting for roughly 2.5% of the world's economic output.
When category spending approaches $3 trillion annually, there is a range of investment implications to consider. Some of the more compelling defense spending investment opportunities arrive courtesy of the largest industrial companies by market cap, including Honeywell Aerospace (NASDAQ: HONA) and RTX (NYSE: RTX).
A big backlog and more
RTX is getting so many business requests that it now has a sizable backlog of $289 billion, and, even more impressively, it could surge to $460 billion by the end of 2028. Clearly, RTX has become a preferred defense vendor for various governments, including the U.S.
RTX is also positioned as a prime beneficiary of an expected U.S. military replenishment cycle. While accounts vary, the U.S. has used up a significant amount of its ordinance in the war in Iran. For example, it now has a dwindling supply of the critical Tomahawk missile, produced by RTX. To help manage supply, the U.S. indefinitely halted shipments of Tomahawk missiles to Japan back in May. And this summer, the U.S. spent nearly $23 billion to entice RTX to accelerate Tomahawk production.
Being in demand by the U.S. government is an enviable position for securing defense contracts and supports the long-term RTX investment thesis. But RTX is also in demand by other governments. The aforementioned Japan is ramping up military spending and could soon raise it to 3.5% of the country's GDP (up from 2% in 2025).
RTX also counts several European Union members among its customers, including Poland. Likely out of concerns about Russian aggression, Poland's defense budget is soaring. This year, it'll reach 4.8% of GDP (up from 4.5% in 2025), indicating RTX is in a lot of the right places at the right time.
Honing in on Honeywell Aerospace
As a stand-alone public company, Honeywell Aerospace is new to the scene, having recently been spun off from Honeywell Technologies (NASDAQ: HON). The aerospace stock has struggled since that separation, trading 45.1% below its 52-week high on Sept. 23, but that may be opening the door to a value opportunity in the company that makes multiple navigation products for various air, land, and sea vehicles, the turbofan engines for military trainers and combat jets, as well as the gas turbine engines for M1 Abrams tanks.
Honeywell Aerospace also manufactures power systems, sensors, and sophisticated communications gear for military use, which is purchased exclusively by governments, indicating the company is tethered to rising defense budgets.
The company hopes to grab a larger slice of the defense spending pie, allocating $500 million to enhance its domestic facilities to attract more business from the Department of Defense.
Yes, it's hard to cozy up to a stock that's in a bear market. But some risk-tolerant, long-term investors may be rewarded by Honeywell Aerospace, as some experts believe it will eventually pay a dividend, living up to the company's commitment to return capital to shareholders.
Should you buy stock in RTX right now?
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Todd Shriber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Honeywell Aerospace, Honeywell Technologies, and RTX. The Motley Fool has a disclosure policy.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

RTX Corporation

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