ARLINGTON, Va., April 22, 2026, 11:12 AM EDT
- RTX bumped up its 2026 adjusted EPS outlook to $6.70–$6.90, and now sees sales landing between $92.5 billion and $93.5 billion. That follows a 9% rise in first-quarter revenue and a 21% jump in adjusted EPS.
- Missiles from Raytheon and strong aftermarket gains at Pratt & Whitney pushed the upgrade, with backlog climbing to $271 billion.
- The stock slipped another 2.5% Wednesday morning, following a 4.4% drop the day before.
RTX boosted its 2026 forecast following better-than-expected first-quarter earnings, with upticks in missile orders at Raytheon and steady demand for aircraft repairs driving results. Even so, shares slipped another 2.5% in early Wednesday trading, adding to Tuesday’s 4.4% slide.
RTX is seeing gains on two fronts right now. On one side, the Pentagon’s rebuilding weapons inventories after heavy usage in Iran, Ukraine, and Gaza. On the other, production setbacks at Boeing and Airbus are forcing airlines to stick with older jets, which boosts demand for aftermarket services — an area known for stronger profit margins.
RTX posted first-quarter sales of $22.08 billion, up from $20.31 billion a year ago. Adjusted earnings per share hit $1.78, improving on last year’s $1.47. The company bumped its full-year adjusted EPS forecast to a $6.70-$6.90 range, previously $6.60-$6.80, and now expects adjusted sales between $92.5 billion and $93.5 billion—$500 million higher than before. Free-cash-flow guidance stays put at $8.25 billion to $8.75 billion.
Raytheon posted a 10% jump in sales, reaching $6.95 billion, fueled by strength in air-defense and naval munitions lines. Pratt & Whitney sales climbed 11%, lifted by a 19% leap in commercial aftermarket. Collins Aerospace managed a 5% gain. The company’s backlog swelled to $271 billion—a record—of which $109 billion comes from defense.
Chief Executive Chris Calio described the quarter as a “very strong start to 2026,” noting that the company is putting money into expanded production. On the earnings call, Chief Financial Officer Neil Mitchill pegged roughly $350 million of the improved sales outlook to Raytheon’s performance early in the year. He added that pending multi-year Pentagon supply deals should give vendors “the kind of long-term visibility” they need to invest. RTX
Even so, buyers stayed cautious. On the call, Citi’s John Godyn called the updated guidance “a bit conservative.” That sentiment rippled through peers: Northrop Grumman slipped after sticking with its 2026 sales target. GE Aerospace, despite a solid quarter, also kept its outlook steady, citing fuel price uncertainty. The Motley Fool
The main uncertainty is commercial. GE CEO Larry Culp described these cycles as ones where delayed weakness can turn around quickly, saying demand may “come roaring back.” Over at RTX, executives told analysts there’s no clear drop yet, but provisioning and cabin mods might fade if airlines cut spending. Reuters
Costs remain under scrutiny. RTX disclosed roughly $500 million already paid in tariffs under the International Emergency Economic Powers Act—those are the U.S. emergency-trade duties—and the company might go after refunds. Airbus, meanwhile, is seeking possible damages tied to claims over Pratt engine shipments. As for tariffs, Mitchill indicated RTX’s forecast for 2026 hasn’t shifted.
RTX ended up as the outlier this week among major aerospace and defense names posting results. Northrop stuck to a cautious tone, GE maintained its guidance, while RTX said it might update its forecast in July—provided the supply chain can match delivery targets.
