Raytheon stock is set for a rebound says Wolfe and upgrades to Outperform

By Senad Karaahmetovic

Wolfe Research analysts upgraded Raytheon Technologies (NYSE:) to Outperform from Peer Perform with the price target of $117 per share, signaling an upside potential of ~17%.

The analysts believe the RTX stock is set for a rebound following a period of relative underperformance (down 1.2% year-to-date). The run-up in shares is likely to be supported by a strong aero backdrop and defense performance while the upcoming investor day could serve as a catalyst.

“RTX is hosting a 4hr investor day at the Paris Air Show that will include the roll-out of the new look and feel of the company’s reporting units and include new targets and a likely reiterated $9B FCF goal for 2025 despite Street estimates that remain 10% under that bogey,” analysts said in a client note.

“Both BA and GE found their deep dive investor days as positive catalysts for shares and we’re cautiously optimistic the same could be the case for RTX given relative skepticism on the company’s targets/performance.”

Raytheon shares are up almost 1% today.