Aerospace and defense company Raytheon (NYSE: RTX) will be reporting results this Tuesday before the bell. Here’s what to expect.
RTX beat analysts’ revenue expectations by 4.4% last quarter, reporting revenues of $21.58 billion, up 9% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ organic revenue estimates and an impressive beat of analysts’ EBITDA estimates.
Is RTX a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting RTX’s revenue to grow 6.1% year on year to $21.32 billion, in line with the 6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.41 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. RTX has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3.4% on average.
Looking at RTX’s peers in the aerospace and defense segment, some have already reported their Q3 results, giving us a hint as to what we can expect. AAR delivered year-on-year revenue growth of 11.8%, beating analysts’ expectations by 7.4%, and Byrna reported revenues up 35.1%, in line with consensus estimates. AAR traded up 4.2% following the results while Byrna was also up 15.6%.
Read our full analysis of AAR’s results here and Byrna’s results here.
Investors in the aerospace and defense segment have had steady hands going into earnings, with share prices flat over the last month. RTX’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $175.33 (compared to the current share price of $158.56).
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