Should I buy RTX Corporation stock in 2025?

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At HelloSafe, our expert has been following the performance of RTX Corporation for over three years. Each month, hundreds of thousands of users in the United States rely on us to analyze market trends and highlight the best investment opportunities. Our analyses are intended for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never received, and will never receive, compensation from RTX Corporation.

What is RTX Corporation?

How much is RTX Corporation stock?

The price of RTX Corporation stock is rising this week. As of today, RTX trades at $127.41 per share, gaining 1.01% (+$1.28) in the past 24 hours, though it has seen a 4.46% decline over the last week. The company commands a robust market capitalization of $170.21 billion, with an average three-month trading volume of 5.62 million shares. RTX currently holds a P/E ratio of 37.36, offering a dividend yield of 1.98%, and has a low stock beta of 0.26, signaling relatively low volatility. This combination of stable growth and defensive sector exposure may appeal to investors looking for consistency in a dynamic market environment.

Our full analysis on RTX Corporation stock

After a rigorous review of RTX Corporation’s latest financials and its three-year stock trajectory, complemented by multifactorial analysis—incorporating quantitative metrics, technical indicators, sector trends, and competitor benchmarking through proprietary risk-adjusted models—we believe RTX is once again capturing investor attention. The company’s strong Q1 2025 earnings, accelerated revenue growth, and robust operational execution stand out in a challenging macro environment. So, why might RTX Corporation stock once again become a strategic entry point into the ever-evolving aerospace and defense sector in 2025?

Recent Performance and Market Context

RTX Corporation has demonstrated significant resilience and renewed vigor through 2024 into 2025. The current share price stands at $127.41, a healthy advance within its 52-week range of $99.07 to $136.17—a potent signal of underlying support despite recent market volatility. While there was a mild retracement over the past week (-4.46%), the stock has delivered an outstanding 25.87% return over the last year and has appreciated 7.29% in the past six months.

Multiple positive developments underpin this performance:

• Q1 2025 Earnings Outperform: Revenue gained 5% year-over-year (8% organically), with adjusted EPS up 10% to $1.47. Margin expansion was observed across divisions, notably within Collins Aerospace (margin up 130 bps) and Pratt & Whitney (margin up 130 bps).
• Major Backlog Expansion: With a total company backlog of $217 billion—split between $125 billion commercial and $92 billion defense—RTX offers multi-year revenue visibility and diversification.
• Sector Tailwinds: The ongoing global recovery in commercial aviation and resilient defense spending, fueled by increased geopolitical uncertainties, form a uniquely favorable macroeconomic backdrop.
• Dividend Growth and Investor Confidence: RTX increased its quarterly dividend by 7.9%, reflecting balance sheet strength and long-term earnings visibility.

Despite the market's oscillations, these strengths highlight why institutional and retail sentiment seems to remain constructive toward RTX as a core holding in the aerospace and defense sector.

Technical Analysis

RTX’s technical structure currently suggests a consolidation phase with a bias toward bullish resumption, presenting potential opportunity for medium- and long-term investors.

Key Technical Indicators:

• Relative Strength Index (RSI, 14 days): 49.82. Sitting at neutral, this reflects neither overbought nor oversold conditions—often a precursor to a directional move.
• MACD (12,26,9): At -1.23, the MACD recently issued a soft sell signal. This is counterbalanced by positive momentum on other oscillators, and MACD is known to lag during periods of cyclical basing.
• Moving Averages:
• 20-Day EMA: 125.73 — above the current price, indicating short-term support.
• 50-Day EMA: 126.57 — marginally below the price, acting as dynamic resistance. A sustained breakout above this level could activate a new buying impulse.
• 100-Day EMA & 200-Day SMA: 124.78 and 121.03, respectively, both below current price and confirming a supportive longer-term structure.

Support and Resistance:

• Support: $125.86 and $124.32. Consecutive closes above these levels affirm market confidence; historically, such zones precede turnarounds or sharp upward moves.
• Resistance: $128.52, then $129.64 — clearing these levels would likely catalyze further institutional accumulation.

Other Momentum Indicators:

• Williams %R: -24.45, registering a buy signal and indicating RTX may be emerging from a short-term oversold condition.
• ADX (14): 21.55 — signals trend formation. Should this strengthen, a breakout move appears plausible.

Overall, technical consensus is neutral to slightly bullish. The current basing and clustering near support levels suggest RTX is in a favorable zone for technical-centric investors considering staged entries.

Fundamental Analysis

RTX’s robust fundamentals are a central reason for its renewed investor interest, painting a picture of sustainable growth, disciplined capital allocation, and innovative market leadership.

Growth Metrics:

• Q1 2025 Revenue: $20.3 billion (up 5% y/y); organic growth even stronger at 8%, adjusting for divestitures.
• Adjusted EPS: $1.47, up double digits—10% growth over prior year.
• Free Cash Flow: $0.8 billion in Q1, guidance for full 2025 between $7.0–$7.5 billion.

Valuation:

• Current P/E (TTM): 37.36; while optically elevated, this compresses markedly on a forward-looking basis (Forward P/E: 20.79), aligning with peer group medians for large-cap aerospace and reflecting the company’s high visibility pipeline.
• P/S Ratio: 2.10 — compares favorably to close competitors.
• PEG Ratio (not stated, but implied by forward multiples and growth): Attractive given consistent EPS expansion and cash flow conversion.
• Dividend Yield: 1.98%. Steady payout supported by strong cash generation and recent increases enhances total return visibility.

Strategic and Structural Strengths:

• Market Leadership: RTX boasts #1 positions in multiple aerospace segments and maintains a balanced revenue mix (~60% commercial, ~40% defense), smoothing revenue and margin cyclicality.
• Innovation: Heavy investments in R&D and proprietary technology (F-35 program, LTAMDS sensor, next-generation engines) drive durable competitive advantage and extend product cycles.
• Portfolio Optimization: Focused transformation with divestitures (notably Cybersecurity, Intelligence and Services) has sharpened core competencies and increased margin leverage.

RTX’s ability to deliver consistent growth across cycles validates a fundamental case for multiples expansion and continued institutional accumulation.

Volume and Liquidity

RTX’s trading activity is emblematic of a highly liquid, institutionally supported blue chip—another mark in its favor for both tactical and strategic investors.

• Average Daily Volume (3 months): 5.62 million shares—well distributed, ensuring minimal slippage for even large orders.
• Outstanding Shares: 1.34 billion, with a public float of 1.33 billion, creating stable price discovery and guarding against excessive volatility.

Sustained, healthy volume at present levels typically reflects market confidence and facilitates dynamic valuation re-ratings as new catalysts emerge.

Catalysts and Positive Outlook

Several strong, ongoing and emerging catalysts could propel RTX into continued outperformance through 2025 and beyond:

Commercial Aviation Recovery:

• Aftermarket growth of 21% y/y (Q1 2025), with global air passenger volumes approaching pre-pandemic levels; this fuels lucrative service margins and higher spares demand.

Defense Sector Strength:

• Defense backlog of $92 billion, underpinned by rising contract volumes, new program ramp-ups, and robust U.S. and global defense spending in a geopolitically sensitive world.
• Breakthrough programs (F-35, missile defense, and intelligence) continue to transition from development to high-margin production.

Innovative Product Cycles:

• LTAMDS sensor and next-generation propulsion systems entering key commercial and defense cycles.
• Ongoing R&D investments ensure RTX retains technology leadership and participates in secular industry shifts toward more electric, connected, and cyber-secure platforms.

Operational Efficiency and ESG:

• Cost transformation initiatives bolster operational leverage, with improved margins across segments.
• ESG leadership via sustainable aviation technology and responsible governance enhances appeal to a broad class of long-term capital.

Shareholder Returns:

• 2025 guidance highlights continued EPS and free cash flow growth, supporting share repurchases and future dividend increases.

Collectively, these catalysts form a powerful structural tailwind, suggesting that RTX’s growth and earnings profile could exceed consensus expectations if even a fraction of these themes play out favorably.

Investment Strategies

For investors assessing optimal positioning, RTX offers a spectrum of compelling entry points across varied horizons:

Short-Term (1–3 months):

• The consolidation near strong support and proximity to the 20/50/100-day moving averages offers a tactical window for trading-focused investors. Short-term upward momentum may be reignited should the price break above $128.52 resistance, especially with volume confirmation.

Medium-Term (6–12 months):

• With the next leg of commercial aviation recovery and the impact of defense program ramp-ups, RTX is well-positioned ahead of major earnings catalysts and analyst upward revisions. The current price structure, combined with a neutral-to-bullish technical setup, is supportive of new, medium-duration positions.

Long-Term (12+ months):

• The enormous backlog ($217 billion), combined with a diversified end-market portfolio and innovation-driven moat, provides rare visibility and resiliency. The forward P/E compression (to ~21x) and historic margin expansion argue for robust seven-year cycle participation through global civil aviation and defense initiatives.

Across strategies, staged accumulation near the present base or on confirmed breakouts may represent an ideal approach for risk-aware investors seeking sector exposure.

Is it the Right Time to Buy RTX Corporation?

Summing up, RTX Corporation’s 2025 trajectory is defined by a convergence of strong organic growth, strategic portfolio sharpening, and margin-accretive innovation. The company's commercial aerospace segments are capitalizing vigorously on the recovery in air travel, while mission-critical defense programs and a record backlog provide unmatched revenue visibility.

On a technical basis, RTX appears to be stabilizing near key support and is primed for a potential bullish reversal should broader market sentiment improve. The longer-term moving averages remain supportive, and volume analysis underpins conviction in the current valuation.

Fundamentally, RTX demonstrates a resilient and growing earnings profile, an attractive (and improving) valuation, and remarkable capital return dynamics. Shareholder-aligned management and a prudent, innovation-focused culture further reinforce the quality premium.

In our view, RTX Corporation seems to represent an excellent opportunity for investors aiming to participate in the next major upcycle of the aerospace and defense sector. The combination of cyclical tailwinds, recurring cash flows, and a strategy-geared portfolio argues for renewed interest and a potential breakout into a new bullish phase. While risks around tariffs and supply chain remain to be monitored, RTX’s diversified strengths imply ample capacity to absorb external shocks.

With its best-in-class backlog, proven leadership in innovation, attractive dividend growth, and a technical setup favoring accumulation, RTX appears to be entering a period marked by robust potential and investment appeal. For those seeking strategic exposure to U.S. industrial technology with global upside, the timing seems particularly opportune to consider RTX as a core portfolio holding.

As the sector reaccelerates and new catalysts come into play, RTX Corporation’s blend of quality, growth, and market positioning sets the stage for compelling medium- and long-term value creation.

How to buy RTX Corporation stock in United States?

Buying RTX Corporation (NYSE: RTX) stock online is now easier and more secure than ever before. U.S. investors can purchase RTX through regulated online brokers, eliminating paperwork and simplifying the investment process. You have the option of a traditional spot purchase—owning real shares outright—or you can trade RTX stock via CFDs (Contracts for Difference), a financial instrument that allows you to speculate on the price movement without owning the underlying shares. Both methods provide flexibility and convenience; the best choice depends on your specific investment goals. To make an informed choice, consult our broker comparison guide further down this page.

Spot Buying RTX Corporation Stock

When you purchase RTX Corporation stock with cash, you acquire actual shares, giving you ownership that you can retain as long as you wish. This is the most straightforward approach for long-term investors hoping to benefit from share price appreciation and dividend payments. U.S. online brokers typically charge a fixed commission per trade, often in the range of $0 to $10, depending on the platform.

Example

If the RTX share price is $127.41, a $1,000 investment (including a $5 brokerage fee) would let you buy approximately 7 shares. For example, $127.41 × 7 = $891.87, plus the $5 fee totals $896.87, leaving some cash uninvested or enabling the purchase of fractional shares on supported platforms.

• Gain Scenario: If the RTX share price rises by 10%, your 7 shares would be worth about $1,100.
• Result: That’s a $100 gross gain, meaning your investment increased by +10% (before taxes and fees).

Trading RTX via CFDs

Trading RTX Corporation stock via CFDs lets you speculate on price changes without actually owning the shares. CFDs grant the ability to go long (profiting from price rises) or short (profiting from price falls), and often allow the use of leverage—which can amplify both gains and risks. Rather than paying a fixed commission, you usually pay a spread (the difference between buy and sell prices) and, if you maintain your position overnight, a small daily financing charge.

Example

Suppose you open a CFD position on RTX with a $1,000 margin and apply 5x leverage, providing you $5,000 market exposure.

• Gain Scenario: If RTX stock rises by 8%, your CFD returns 8% × 5 = 40%.
• Result: That’s a $400 gain on your $1,000 margin deposit (excluding fees and financing charges).

Final Advice

Before making your first order, it's vital to compare the fees and terms of different online brokers, as costs and available features can vary widely. The best method for you depends on your financial goals: spot buying is ideal for those seeking long-term ownership and dividends, while CFDs are suited for investors looking for short-term opportunities and willing to accept higher risk. For a detailed comparison, consult our broker table further down the page to find the best fit for your needs.

Application

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30+ million users

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eToro

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4.9

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51% of CFD accounts lose money. You will never lose more than your investment.

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CFD and Indices Expert

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IG

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74% of CFD accounts lose money. Your capital is at risk.

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CFD specialist

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Avatrade

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4.8

On the broker's website

Our 7 tips for buying RTX Corporation stock

The latest news about RTX Corporation

RTX Corporation reported robust Q1 2025 results, with 10% adjusted EPS growth and expanding margins. The company posted adjusted earnings per share of $1.47, up 10% compared to last year, and grew revenue 5% to $20.3 billion, driven by strong organic performance. All three core segments demonstrated margin expansion, with notable gains at Collins Aerospace and Pratt & Whitney. This positive performance was underpinned by an 8% organic revenue increase excluding divestitures, an uptick in commercial aviation demand, and a firm backlog of $217 billion providing strong revenue visibility.

RTX increased its quarterly dividend by nearly 8%, reinforcing management’s confidence in stable cash flows. The Board authorized a $0.63 per share quarterly dividend (up 7.9%), payable June 12, 2025, to shareholders as of May 23. This marks a further commitment to shareholder returns, supported by healthy free cash flow of $0.8 billion in Q1 and full-year guidance targeting $7.0-$7.5 billion. RTX’s annualized dividend yield remains competitive at nearly 2%, appealing to income-focused U.S. investors and signaling financial resilience.

Commercial aftermarket sales surged 21% year-over-year, reflecting the ongoing recovery in U.S. aerospace and travel demand. Collins Aerospace and Pratt & Whitney both benefited from strong aftermarket activity as U.S. and global air travel accelerated, driving margin gains and revenue. The trend is especially pertinent for the U.S. market, where pent-up travel demand and fleet modernization continue to spur parts, maintenance, and upgrade services, reinforcing RTX’s leadership in core aviation technologies and services.

The defense segment maintained a robust $92 billion order backlog, supported by U.S. government and allied spending. Despite a modest headline decline in Raytheon segment sales due to divestitures, underlying defense performance was steady, with adjusted operating profit up 8% and margin expansion. U.S. federal budgets remain strong, sustaining high demand for critical defense systems in Command, Control, Communications, and Cyber. RTX’s U.S. defense contracts and technology investments—including programs like F-35 and new air/missile defense systems—are key growth drivers in the current security environment.

Technical indicators trend neutral to bullish, with multiple moving averages providing support near current price levels. Recent trading has consolidated around $127, with technical consensus neutral to slightly bullish. The 20-day, 100-day, and 200-day moving averages indicate underlying buying interest, and the Williams %R generates a fresh buy signal. While the MACD remains negative and RSI is neutral, these mixed signals are balanced by robust fundamentals and a $138.38 analyst consensus target, offering a constructive technical backdrop for medium-term U.S. investors.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.