2026Q2 RTX Corporation (RTX)

RTX Corporation operates as a premier global aerospace and defense conglomerate, formed through the historic merger of equals between United Technologies Corporation's aerospace businesses and Raytheon Company. The fundamental resilience of RTX lies in its massive $289 billion backlog, which is strategically segmented into $170 billion in commercial orders and $119 billion in defense orders. This dual-market exposure insulates the company from isolated cyclical downturns in either commercial aviation or defense spending.

Primary Businesses and Operations

RTX is structured into three principal business segments, each operating at immense scale:

1. Collins Aerospace (Collins): A leading global provider of technologically advanced aerospace and defense products. Collins produces aerostructures, avionics, interiors, landing systems, and mission autonomy software10. Sales growth here has been driven by a structural rebound in both commercial original equipment (OE) and aftermarket services, heavily supported by volume increases across narrowbody and widebody aircraft platforms6. In 2025, Collins was notably awarded a $438 million contract by the Federal Aviation Administration (FAA) to support the Radar System Replacement program, a cornerstone of the agency's effort to modernize the U.S. National Airspace System
2. Pratt & Whitney: Specializes in the design, manufacture, and servicing of commercial and military aircraft engines. The segment is anchored by the Geared Turbofan (GTF) engine family for commercial narrowbodies and the F135 engine powering the F-35 Lightning II. Despite severe historical headwinds regarding a rare powder metal manufacturing defect that grounded portions of the GTF fleet, Pratt & Whitney has stabilized operations. Maintenance, Repair, and Overhaul (MRO) output has improved by over 40% year-over-year, significantly reducing Aircraft on Ground (AOG) metrics and mitigating further financial penalties to airline customers10. The segment recently secured FAA and European Union Aviation Safety Agency (EASA) certification for the GTF Advantage engine, paving the way for a 2026 entry into service.
3. Raytheon: Focused exclusively on defense, providing integrated air and missile defense systems, precision weapons, radars, and command and control systems. Key platforms include the Patriot missile system, Standard Missile, and AMRAAM. Raytheon has experienced a massive surge in global demand due to geopolitical conflicts in Eastern Europe and the Middle East, leading the segment to more than double its critical munitions output in the first half of 2026