RTX

RTX manufactures jet engines, defense missiles, and aerospace systems through Pratt & Whitney, Raytheon, and Collins Aerospace divisions. The company dominates commercial engine aftermarket services with 70%+ margins and multi-decade revenue visibility as airlines expand fleets globally. Pentagon spending acceleration and NATO defense budget increases following Ukraine create a multi-year tailwind for the Raytheon missile portfolio. Trading at 26x forward earnings despite sitting on a $200 billion commercial aerospace backlog that stretches into the 2030s. Free cash flow generation should accelerate meaningfully as supply chain constraints ease and aftermarket revenues compound.