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RTX (RTX) Stock Moves -0.47%: What You Should Know

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The latest trading session saw RTX (RTX - Free Report) ending at $73.89, denoting a -0.47% adjustment from its last day's close. The stock's change was more than the S&P 500's daily loss of 0.85%. At the same time, the Dow lost 0.75%, and the tech-heavy Nasdaq lost 0.96%.

The an aerospace and defense company's shares have seen a decrease of 0.26% over the last month, surpassing the Aerospace sector's loss of 0.29% and the S&P 500's loss of 3.02%.

Investors will be eagerly watching for the performance of RTX in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 24, 2023. In that report, analysts expect RTX to post earnings of $1.19 per share. This would mark a year-over-year decline of 1.65%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.71 billion, up 10.37% from the year-ago period.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.01 per share and revenue of $73.75 billion. These totals would mark changes of +4.81% and +9.96%, respectively, from last year.

Investors should also pay attention to any latest changes in analyst estimates for RTX. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.3% higher. Currently, RTX is carrying a Zacks Rank of #3 (Hold).

From a valuation perspective, RTX is currently exchanging hands at a Forward P/E ratio of 14.83. This indicates a discount in contrast to its industry's Forward P/E of 16.02.

Also, we should mention that RTX has a PEG ratio of 1.57. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Aerospace - Defense industry stood at 1.8 at the close of the market yesterday.

The Aerospace - Defense industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 87, positioning it in the top 35% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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