JPMorgan Sees Clearer Growth Path for RTX Heading into 2026

RTX Corporation (NYSE:RTX) is included among the 20 Best Performing Dividend Stocks in 2025.

On December 19, JPMorgan analyst Seth Seifman raised the firm’s price target on RTX Corporation (NYSE:RTX) to $200 from $195 and kept an Overweight rating on the shares as part of its aerospace and defense outlook for 2026. The outlook for the sector remains mostly positive into 2026, the analyst said in a research note. In aerospace, JPMorgan expects strong demand and a gradual increase in supply to support “visible growth.” The defense picture is “more nuanced,” the firm added.

Operational momentum continues to show up in contracts. On December 2, RTX said it secured a $1.6 billion sustainment contract tied to its F135 engines, which power multiple variants of Lockheed Martin’s F-35 fighter jets. The work includes depot-level maintenance and repair, engineering support, and the replenishment of spare parts for US and international customers. Pratt & Whitney, RTX’s engine business, has now delivered more than 1,300 F135 engines to the U.S. and 20 allied nations. In August, the company also landed a separate $2.8 billion contract for F135 engine production, reinforcing the long runway tied to the program.

Financial performance has followed the same direction. In the third quarter of 2025, RTX Corporation (NYSE:RTX) raised its full-year adjusted earnings outlook to a range of $6.10 to $6.20, up from its prior guidance of $5.80 to $5.95. Adjusted sales expectations moved higher as well. The company lifted its forecast to $86.5 billion to $87 billion, compared with an earlier range of $84.75 billion to $85.5 billion.

Management pointed to its ability to manage tariff impacts and broader macro uncertainty as a positive signal for the business. Earlier in July, RTX had estimated a $500 million hit from tariff-related costs and reduced its outlook at the time, making the later revisions stand out.

RTX Corporation (NYSE:RTX) operates across aerospace and defense, supplying advanced systems and services to commercial, military, and government customers around the world.

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