TLDR
- RTX shares climbed approximately 6.6% in Monday’s premarket session to $215.80 following weekend military strikes on Iran by U.S. and Israeli forces.
- Defense peers Lockheed Martin and Northrop Grumman advanced 6.9% and 5.8% respectively in premarket, while defense-focused ETF ITA also moved higher.
- Brent crude oil prices spiked nearly 10% as investors adopted risk-averse positioning, benefiting energy and defense sectors.
- The company exceeded Q4 expectations with earnings per share of $1.55 versus the anticipated $1.47, while revenues climbed 12.1% annually to $24.24 billion.
- Management established FY2026 EPS projections of $6.60–$6.80, significantly exceeding Wall Street’s consensus forecast of roughly $6.11.
RTX Corp experienced a substantial 6.6% premarket surge on Monday, hitting $215.80, following military operations conducted by the United States and Israel targeting Iran during the weekend.
The advancement occurred against a backdrop of declining broader U.S. equity futures, which dropped over 1% as market participants assessed the potential for prolonged regional conflict and elevated energy prices.
Israeli officials confirmed they executed what they characterized as a “pre-emptive” military operation against Iranian installations on Saturday. American military assets joined the campaign, with President Trump articulating objectives including regime transformation and the destruction of Iran’s nuclear infrastructure.
Iran retaliated by launching missile strikes targeting U.S. military installations and Israeli positions.
RTX concluded Friday’s trading session at $202.62, representing a 2.52% daily gain before the weekend’s geopolitical developments.
Defense industry stocks stood out as notable gainers in an otherwise weak market environment. Lockheed Martin advanced 6.9% during premarket hours, Northrop Grumman increased 5.8%, and the iShares U.S. Aerospace & Defense ETF (ITA) also registered gains.
Brent crude oil prices surged as much as 10% overnight. Precious metals like gold appreciated, and the U.S. dollar gained strength — classic indicators of risk-aversion among traders.
“At least in the short term, the disruption to global energy supply is substantial,” said Michael Langham, emerging markets economist at Aberdeen Investments.
Solid Financial Performance Supports Rally
Monday’s premarket surge extends momentum from a stock that was already demonstrating strength prior to the geopolitical developments.
RTX delivered fourth-quarter earnings per share of $1.55, surpassing Wall Street’s $1.47 consensus forecast. Revenues totaled $24.24 billion, representing a 12.1% year-over-year increase and comfortably exceeding analyst projections of $22.65 billion.
Management established fiscal 2026 EPS guidance ranging from $6.60 to $6.80, substantially above the analyst consensus hovering around $6.11.
The corporation also announced a quarterly dividend payment of $0.68 per share, translating to an annualized rate of $2.72 and yielding approximately 1.3%.
Following a U.S. military strike on Iran’s nuclear infrastructure in June 2025, the ITA defense ETF has appreciated 35%. Northrop Grumman shares have surged 46% during this period, while Lockheed Martin has advanced 40%.
Wall Street Perspectives and Institutional Holdings
The majority of Wall Street analysts maintain positive outlooks on RTX. Morgan Stanley carries an “overweight” designation with a $235 price objective. JPMorgan Chase elevated its target from $200 to $215, maintaining an “overweight” stance. The overall consensus rating stands at “Moderate Buy” with an average price target of $199.50.
Institutional investors control approximately 86.5% of RTX’s outstanding shares. Bahl & Gaynor reduced its holdings by 3.5% during Q3, concluding the quarter with 838,365 shares worth $140.28 million.
Regarding insider transactions, EVP Dantaya M. Williams divested 12,713 shares on February 23rd at $202.83 per share. EVP Neil G. Mitchill Jr. sold 35,755 shares on February 19th at $205.56 each. Aggregate insider dispositions over the preceding three months totaled approximately $18.15 million.
RTX recently secured a DARPA XENA contract through its BBN Technologies subsidiary for long-range X-ray situational awareness capabilities, and obtained an optics procurement agreement with the German Armed Forces via Raytheon ELCAN.
As of Friday’s market close, RTX posted a 12-month peak of $206.73 and maintained a market capitalization of $271.68 billion.
