Latest news with #Raytheon
Hindustan Times
6 hours ago
- Business
- Hindustan Times
The West's Insatiable Demand for Missiles Is Boosting U.S. Weapons Makers
It's a good time to be in the missile-making business. A Lockheed Martin Thaad interceptor system was included in an event at the White House in 2019. Western companies that build missiles, including offensive rockets and defensive interceptors, say they are fielding a surge in new orders. Heavy demand for Patriot antimissile arrays, Thaad interceptors and Sidewinder missiles is keeping defense contractors from Lockheed Martin to RTX busy while some other business lines stumble. Lockheed Martin on Tuesday reported an 11% increase in second-quarter sales within its missiles and firing control division, which makes Patriot air-defense missiles and high-end Thaad interceptors. Revenue rose 8% at RTX's Raytheon unit, powered by higher sales of its Patriot equipment and of Nasams, another surface-to-air missile system. The U.S. Army asked Lockheed to quadruple production of its PAC-3 missiles for Patriot batteries. The company said it expects backlogged orders for its weaponry to hit a record later this year. The backlog at Raytheon swelled to $63.5 billion at the end of June, nudged higher by Navy contracts for new ship-fired SM-3 projectiles and AIM-9X Sidewinder missiles. 'The demand is very durable,' said RTX finance chief Neil Mitchill, citing continuing talks with European customers. 'That's why we're investing. These are very complicated products and many require a long lead time.' The U.S. has been hoarding missiles for several years to strengthen its position in the Pacific region against China. But protracted fighting in Ukraine and the Middle East have drawn down Western missile supplies, according to Wes Rumbaugh, a fellow at the missile defense project at the Center for Strategic and International Studies. A Nasams surface-to-air missile launcher sat on a production floor in Norway in 2023. 'A lot of the spike in the demand recently that has stressed the U.S. industrial base is the pop up of conflicts that they weren't expecting,' he said. 'They're sending a very strong short-term signal. The long-term question is whether or not those investments will translate into sustainable funding.' The missile boom offers a contrast with other areas of the U.S. defense-industrial complex that are struggling to get off the ground. Lockheed surprised investors Tuesday by booking $1.8 billion in write-downs from big-budget jet-fighter and helicopter programs. The biggest loss came from a contract in the company's secretive Skunk Works unit, which designs advanced aircraft and other weaponry. The same program booked a $555 million loss last year. Aircraft makers are wrestling with changing orders and costly research and development overruns. Shipbuilders are finding it hard to keep construction costs in check. Drone warfare is changing the way countries around the world equip their armies. Still, the stepped-up demand for missiles is giving a jolt to the entire supply chain. Defense contractor Northrop Grumman said Tuesday it expects to pump out 25,000 solid rocket motors a year by 2029, up from 13,000 units today. Europe's largest missile maker, MBDA, has proven lucrative for its three listed owners, BAE Systems, Airbus and Leonardo. MBDA now represents 13% of BAE's $44.5 billion order book, up from 6.5% in 2021, just before Russia's full-scale invasion of Ukraine. In the first quarter of this year, growth for Norwegian technology company Kongsberg was mainly driven by increased delivery volumes for missiles—and defenses against them. Kongsberg's order backlog for missiles and air-defense systems now totals more than $8.4 billion, with sales of a naval strike missile to the U.S. being particularly lucrative. Missile makers could reap another windfall from the Trump administration's Golden Dome for America antimissile shield project. The president called for an extensive buildup of air and space defenses to protect the U.S. against ballistic missiles and newer threats such as hypersonic weapons. The Defense Department hasn't detailed the high-level design of the antimissile shield, but Trump's call for an operational system by the end of his term could end up boosting companies such as Lockheed, RTX and others ready to field more missile interceptors on short notice. Write to Drew FitzGerald at
Yahoo
2 days ago
- Business
- Yahoo
Why RTX Stock Is Down Today
Key Points RTX beat expectations but lowered full-year guidance due to tariffs. The company had telegraphed the tariff effect, and RTX's long-term bull case remains in place. 10 stocks we like better than RTX › Aerospace conglomerate RTX (NYSE: RTX) beat quarterly expectations but warned today that tariffs and taxes will take their toll in the quarters to come. The stock is under pressure on Tuesday and is down 2% as of 12:30 ET. Strong commercial sales RTX was formed from the merger of defense-focused Raytheon and the largely commercial aerospace business of United Technologies. It earned $1.56 per share in the second quarter on revenue of $21.6 billion, topping Wall Street's consensus estimate for $1.43 per share on $20.6 billion in sales. Revenue was up 9% year over year, driven by strong double-digit growth on the commercial side. RTX and other commercial aerospace companies are benefiting from issues getting new planes to market, which has boosted demand for spare parts. The company's Pratt & Whitney aircraft engine business grew sales by 19% in the quarter, while its defense business was up 6%. The only issue was guidance. Management hiked its full-year sales guidance by nearly $2 billion to a range of $84.75 billion to $85.5 billion, above the $84.3 billion consensus. But guidance for earnings per share was reduced to a range of $5.80 to $5.95, from $6 to $6.15, on tariff impact and tax estimate revisions. Is RTX stock a buy? The new earnings guidance should not have come as a surprise. In its previous estimate, RTX had warned of upward of a $0.50 per share effect from tariffs. The new guidance is an attempt to be more precise, baking the impact into the forecast. Pratt & Whitney is a formidable franchise, and with a commercial-plane backlog stretching to near the end of the decade, there is a lot of potential for sales growth from here. Investors shouldn't dwell on the guidance revision when considering RTX stock. Do the experts think RTX is a buy right now? The Motley Fool's expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They've just revealed their to buy now — did RTX make the list? When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor's total average return is up 1,055% vs. just 180% for the S&P — that is beating the market by 874.27%!* Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $665,092!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,050,477!* The 10 stocks that made the cut could produce monster returns in the coming years. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool recommends RTX. The Motley Fool has a disclosure policy. Why RTX Stock Is Down Today was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
2 days ago
- Business
- Globe and Mail
Datavault AI Inc. (NASDAQ: DVLT) Enters Strategic Defense Partnership with Burke Products
Datavault AI (NASDAQ: DVLT), a leader in data visualization and monetization, announced a strategic partnership with Burke Products, a minority-owned Tier 1 defense supplier to Lockheed Martin (NYSE: LMT), Raytheon Technologies (NYSE: RTX), and other major defense entities. The alliance includes subcontracted 2025 revenues from Burke's existing contracts and aims to scale into productized offerings in 2026. Datavault AI will integrate its proprietary ADIO(R) tone technology, acoustic sciences, digital twin modeling, and blockchain-based supply chain tools with Burke's engineering and manufacturing capabilities. Executives cited shared innovation goals, defense modernization trends, and mutual strategic vision as key drivers. The collaboration marks Datavault AI's entry into military-grade solution deployment across multiple defense verticals. To view the full press release, visit About Datavault AI Inc. Datavault AI is leading the way in AI experience, valuation, and monetization of assets in the Web 3.0 environment. The company's cloud-based platform provides comprehensive solutions with a collaborative focus in its Acoustic Science and Data Science Divisions. Datavault AI's Acoustic Science Division features WiSA(R), ADIO(R) and Sumerian(R) patented technologies and industry first foundational spatial and multichannel wireless HD sound transmission technologies with IP covering audio timing, synchronization and multi-channel interference cancellation. The Data Science Division leverages the power of Web 3.0 and high-performance computing to provide solutions for experiential data perception, valuation and secure monetization. Datavault AI's cloud-based platform provides comprehensive solutions serving multiple industries, including HPC software licensing for sports & entertainment, events & venues, biotech, education, fintech, real estate, healthcare, energy and more. The Information Data Exchange(R) (IDE) enables Digital Twins, licensing of name, image, and likeness (NIL) by securely attaching physical real-world objects to immutable metadata objects, fostering responsible AI with integrity. Datavault AI's technology suite is completely customizable and offers AI and Machine Learning (ML) automation, third-party integration, detailed analytics and data, marketing automation and advertising monitoring. The company is headquartered in Beaverton, OR. Learn more about Datavault AI at . About TechMediaWire TechMediaWire ('TMW') is a specialized communications platform with a focus on pioneering public and private companies driving the future of technology. It is one of 70+ brands within the Dynamic Brand Portfolio @ IBN that delivers: (1) access to a vast network of wire solutions via InvestorWire to efficiently and effectively reach a myriad of target markets, demographics and diverse industries; (2) article and editorial syndication to 5,000+ outlets; (3) enhanced press release enhancement to ensure maximum impact; (4) social media distribution via IBN to millions of social media followers; and (5) a full array of tailored corporate communications solutions. With broad reach and a seasoned team of contributing journalists and writers, TMW is uniquely positioned to best serve private and public companies that want to reach a wide audience of investors, influencers, consumers, journalists, and the general public. By cutting through the overload of information in today's market, TMW brings its clients unparalleled recognition and brand awareness. TMW is where breaking news, insightful content and actionable information converge. To receive SMS alerts from TechMediaWire, text 'TECH' to 888-902-4192 (U.S. Mobile Phones Only) For more information, please visit Please see full terms of use and disclaimers on the TechMediaWire website applicable to all content provided by TMW, wherever published or re-published: TechMediaWire is powered by IBN
Yahoo
2 days ago
- Business
- Yahoo
RTX (NYSE:RTX) Surprises With Strong Q2, Full-Year Outlook Slightly Exceeds Expectations
Aerospace and defense company Raytheon (NYSE:RTX) reported Q2 CY2025 results beating Wall Street's revenue expectations , with sales up 9% year on year to $21.58 billion. The company's full-year revenue guidance of $85.13 billion at the midpoint came in 1% above analysts' estimates. Its non-GAAP profit of $1.56 per share was 9.1% above analysts' consensus estimates. Is now the time to buy RTX? Find out in our full research report. RTX (RTX) Q2 CY2025 Highlights: Revenue: $21.58 billion vs analyst estimates of $20.65 billion (9% year-on-year growth, 4.5% beat) Adjusted EPS: $1.56 vs analyst estimates of $1.43 (9.1% beat) Adjusted EBITDA: $3.34 billion vs analyst estimates of $3.25 billion (15.5% margin, 2.5% beat) The company lifted its revenue guidance for the full year to $85.13 billion at the midpoint from $83.5 billion, a 1.9% increase Management lowered its full-year Adjusted EPS guidance to $5.88 at the midpoint, a 3.3% decrease due to the company's "current assessment of the impact of tariffs" Operating Margin: 9.9%, up from 2.7% in the same quarter last year Free Cash Flow was -$72 million, down from $2.2 billion in the same quarter last year Organic Revenue rose 9% year on year, in line with the same quarter last year Market Capitalization: $202.5 billion Company Overview Originally focused on refrigeration technology, Raytheon (NSYE:RTX) provides a a variety of products and services to the aerospace and defense industries. Revenue Growth A company's long-term sales performance can indicate its overall quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. Unfortunately, RTX's 5.7% annualized revenue growth over the last five years was tepid. This fell short of our benchmark for the industrials sector and is a tough starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. RTX's annualized revenue growth of 8.8% over the last two years is above its five-year trend, suggesting some bright spots. We can dig further into the company's sales dynamics by analyzing its organic revenue, which strips out one-time events like acquisitions and currency fluctuations that don't accurately reflect its fundamentals. Over the last two years, RTX's organic revenue averaged 10.6% year-on-year growth. Because this number is better than its normal revenue growth, we can see that some mixture of divestitures and foreign exchange rates dampened its headline results. This quarter, RTX reported year-on-year revenue growth of 9%, and its $21.58 billion of revenue exceeded Wall Street's estimates by 4.4%. Looking ahead, sell-side analysts expect revenue to grow 3.4% over the next 12 months, a deceleration versus the last two years. This projection doesn't excite us and indicates its products and services will face some demand challenges. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) stock benefiting from the rise of AI. Click here to access our free report one of our favorites growth stories. Operating Margin RTX was profitable over the last five years but held back by its large cost base. Its average operating margin of 7% was weak for an industrials business. On the plus side, RTX's operating margin rose by 5.4 percentage points over the last five years, as its sales growth gave it operating leverage. In Q2, RTX generated an operating margin profit margin of 9.9%, up 7.3 percentage points year on year. This increase was a welcome development and shows it was more efficient. Earnings Per Share We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. RTX's unimpressive 4.8% annual EPS growth over the last five years aligns with its revenue performance. On the bright side, this tells us its incremental sales were profitable. Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business. For RTX, its two-year annual EPS growth of 10% was higher than its five-year trend. This acceleration made it one of the faster-growing industrials companies in recent history. In Q2, RTX reported EPS at $1.56, up from $1.41 in the same quarter last year. This print beat analysts' estimates by 9.1%. Over the next 12 months, Wall Street expects RTX's full-year EPS of $6.02 to grow 2.6%. Key Takeaways from RTX's Q2 Results We liked how RTX beat analysts' organic revenue expectations this quarter. On the other hand, its full-year EPS guidance was lowered and missed expectations due to the company's "current assessment of the impact of tariffs". This weighed on shares, and the stock traded down 2.1% to $148.50 immediately following the results. Is RTX an attractive investment opportunity at the current price? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free.
Yahoo
2 days ago
- Business
- Yahoo
RTX cuts 2025 profit forecast as tariff costs weigh
By Mike Stone (Reuters) -RTX cut its 2025 profit forecast on Tuesday, as the aerospace and defense giant took a hit from U.S. President Donald Trump's trade war despite strong demand for its engines and aftermarket services. Trump's imposition of tariffs on imports of aluminum and steel has shrouded the markets with uncertainty, threatening to add pressure on an already-strained supply chain. RTX had warned of an $850 million hit from the trade war, though it was based on the assumption that steel and aluminum tariffs remain at 25%, China tariffs remain at 145% and global reciprocal tariffs remain at 10%. Since then, levies on steel and aluminum have doubled to 50% and Trump has unveiled new tariffs on most trading partners, but those on China have significantly reduced. RTX now expects adjusted profit between $5.80 and $5.95 per share for 2025, down from its prior forecast of $6.00 and $6.15 per share. Maintenance and repair service providers for commercial aircraft have banked on a shortage of new jets, as production delays force airlines to operate an older, cost-intensive fleet. Demand in its defense business has remained strong in the face of growing geopolitical tensions around the world. RTX's Patriot air defense systems have been widely used on the battlefield in Ukraine to counter missile threats from Russia. Raytheon, RTX's defense unit, reported sales that rose 8% to $7 billion in the second quarter. The company raised its adjusted 2025 sales forecast to between $84.75 and $85.5 billion, from $83 billion to $84 billion. RTX's Pratt and Whitney unit, which produces engines for Airbus' A320neo jets and competes with CFM International, saw sales rise 12%. Pratt has struggled with output problems in recent years and is in the middle of an inspection drive for potentially flawed components in its geared turbofan engines that have grounded hundreds of planes in recent months. The Arlington, Virginia-based company reported a 9% rise in total revenue to $21.6 billion. Its adjusted per-share profit stood at $1.56 in the quarter, compared with $1.41 last year.
