New York, January 31, 2026, 14:48 EST — The market has closed.
- RTX ended Friday roughly 0.5% higher, closing at $200.93.
- The U.S. Army boosted a Raytheon LTAMDS radar contract by roughly $1.03 billion.
- Next week, investors will focus on jet-engine supply bottlenecks and the capacity for missile-defense production.
RTX shares climbed 0.5% to close at $200.93 on Friday, following news of a $1.03 billion contract modification from the U.S. Army for its Raytheon division. The deal covers work on the Lower Tier Air and Missile Defense Sensor (LTAMDS) radar, scheduled to run through March 31, 2030. U.S. markets remained closed Saturday. (MarketScreener)
The stock outperformed the broader market. The S&P 500 dipped 0.43% and the Dow dropped 0.36% on Friday, yet GE Aerospace rose 2.65%. (MarketWatch)
That blend is key for RTX at the moment. The company is caught between two persistent themes traders are focused on: missile-defense demand pushing factories to their limits, and jet-engine supply chain issues holding up new aircraft deliveries.
Speaking at a Wings Club event in New York on Thursday, Pratt & Whitney president Rick Deurloo said the jet-engine supply-demand gap should begin to ease by decade’s end. “I do see normalization at the end of this decade,” he stated. Deurloo noted airlines are holding onto planes longer because “it’s become much harder to get a new aircraft delivery,” which boosts higher-margin “aftermarket” services like maintenance and repairs. (Reuters)
Airbus faces uncertainty over the engine choice for its proposed larger A220-500, which sources told Reuters could seat around 180 passengers and might be offered to airlines on a conditional basis. The A220’s current customers include Delta Air Lines, Air Canada, and Air France. Aviation analyst Rob Morris noted that regional jet stretch variants have a “mixed record,” but the engine decision will directly impact the A220’s future prospects. (Reuters)
Bernstein bumped its RTX price target to $204 from $189 while maintaining a Market Perform rating, citing strength at Raytheon. Analyst Douglas Harned singled out Raytheon as “the standout” with a record $75 billion backlog, though he noted continued headwinds for Pratt & Whitney’s outlook. (Investing)
RTX, reporting across Collins Aerospace, Pratt & Whitney, and Raytheon, projects adjusted sales between $92 billion and $93 billion for 2026, with adjusted earnings of $6.60 to $6.80 per share. The company also announced a $500 million plan to boost munitions capacity. Chris Calio commented, “We enter 2026 with great momentum as we successfully execute our strategic priorities, deliver for our customers and create value for shareowners.” (RTX)
Execution remains a key near-term risk. Delivery schedules can still be disrupted by engine parts shortages and limited shop capacity, while defense budgets hinge on political decisions. The Trump administration pushed contractors to boost production, even linking dividends and buybacks to meeting delivery targets — a tactic also seen with Lockheed Martin and Northrop Grumman. (Reuters)
On Monday, Feb. 2, when U.S. markets reopen, investors will be scanning for fresh contract updates and signals on engine repair capacity. The bigger event looms in July: the Farnborough International Airshow, set for July 20–24 in Farnborough, where Airbus might reveal more details on its A220-500. (Farnboroughairshow)
