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RTX shares fall 8.4% from 52-week high as Raytheon ramps missiles
The stock remains above its 50-day and 200-day moving averages, even after a recent slide, following a $1.1 billion U.S. Navy AIM-9X Block II contract.
RTX Corporation, a mega-cap aerospace and defense company headquartered in Arlington, Virginia, is valued at about $280 billion by market cap, with sales tied to systems and services for commercial, military, and government customers, including avionics, communications and navigation equipment, and missile and aircraft components.
Despite that scale, the stock is down 8.4% from its 52-week high of $226.88 reached on Aug. 10. Over the past three months, RTX has gained 18.8%, outperforming the State Street Industrial Select Sector SPDR ETF, XLI, which posted marginal gains over the same period.
RTX has also gained 13% year to date and climbed 30.7% over the past 52 weeks, beating XLI’s 12.2% YTD return and 14.5% one-year return. The shares have traded above both their 50-day and 200-day moving averages since mid-June, with only minor fluctuations.
Recent demand drivers include aircraft maintenance and missile defense systems, along with momentum from Raytheon. According to Yahoo Finance, Raytheon’s unit secured a $1.1 billion contract from the U.S. Navy to produce AIM-9X Block II missiles, with Raytheon scaling production capacity to 2,500 missiles per year to meet demand. The article also notes RTX shares rose 7.3% on Jul. 23 after the company reported Q2 results, with adjusted EPS of $1.89 beating expectations of $1.66.