RTX Stock Surged 60%, Here’s Why
RTX (RTX)’s stock surged 64%, fueled by standout Q4 and full-year 2025 results, impressive margin gains, and a record backlog that’s fueling optimism. With a bullish 2026 outlook and strong segment growth driving an 18% valuation lift, investors are clearly betting big on RTX (RTX)’s momentum.
Below is an analytical breakdown of stock movement into key contributing metrics.
| 1272025 | 1272026 | Change | |
|---|---|---|---|
| Stock Price ($) | 122.8 | 201.3 | 64.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 79,042.0 | 85,988.0 | 8.8% |
| Net Income Margin (%) | 6.0% | 7.7% | 28.4% |
| P/E Multiple | 34.7 | 41.0 | 18.2% |
| Shares Outstanding (Mil) | 1,333.2 | 1,343.1 | -0.7% |
| Cumulative Contribution | 64.0% |
So what is happening here? The stock jumped 64%, driven by an 8.8% boost in revenue, a 28% lift in net margin, and an 18% rise in P/E multiple. These shifts set the stage for the key developments ahead.
Here Is Why RTX Stock Moved
- Strong Q4 2025 Earnings: RTX reported Q4 2025 adjusted EPS of $1.55 and revenue of $24.2B, beating forecasts.
- Robust FY 2025 Results: Full-year 2025 adjusted sales were $88.6B, with adjusted EPS of $6.29 and FCF of $7.9B.
- Record Backlog Growth: RTX ended 2025 with a record backlog of $268B, a 23% increase, indicating strong future demand.
- Positive 2026 Outlook: Company projected strong 2026 adjusted sales ($92-93B), EPS ($6.60-6.80), and FCF ($8.25-8.75B).
- Segment Growth: All segments showed strong Q4 2025 organic sales growth; Pratt & Whitney up 25%, Raytheon up 7%.
Our Current Assesment Of RTX Stock
Opinion: We currently find RTX stock unattractive. Why so? Have a look at the full story. Read Buy or Sell RTX Stock to see what drives our current opinion.
Risk: A good way to gauge risk with RTX is to check its worst falls in major market shakeouts. It slid about 52% in the Dot-Com Bubble and dropped similarly, around 53%, during the Global Financial Crisis. The Covid selloff saw a 52% dip too. Even less severe events like the 2018 Correction and Inflation Shock caused drops of roughly 28% and 33%. So, despite any strengths the company shows, these numbers remind us that RTX isn’t immune when markets turn south.
RTX stock may have seen strong gains recently, but investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.