Is RTX Stock Beating the S&P 500?

rtx stock

The RTX stock performance narrative has strengthened significantly in 2025 as the aerospace and defense giant continues to outpace broader market benchmarks. RTX Corporation (NYSE:RTX), a mega-cap leader valued at $232.2 billion, delivers critical technologies across commercial aviation, military systems and government defense programs. Its diversified portfolio — spanning avionics, flight control systems, engine components, environmental controls and advanced communications — reinforces the company’s stability and competitive moat.

As one of the most influential players in the sector, RTX leverages its scale, brand equity and robust R&D investments to drive innovation and secure long-term government contracts. This solid foundation has enabled the company to generate market-beating returns, making RTX stock performance a focal point for investors seeking stability and upside.


RTX Stock Performance vs. the S&P 500

RTX has experienced a modest 4.5% pullback from its 52-week high of $181.31 (reached on Oct. 28), but the broader trend remains decisively positive. Over the past three months, RTX gained 8.5%, outperforming the S&P 500 Index ($SPX), which delivered 5.4% in the same period.

The longer-term RTX stock performance is even more impressive. Shares are up 49.7% year-to-date and 43.6% over the past 52 weeks, far exceeding the S&P 500’s YTD return of 15.8% and 13.1% gains over the past year. This sustained outperformance reflects both operational strength and favorable sector dynamics, particularly rising global defense spending.

From a technical standpoint, RTX has been trading consistently above its 50-day moving average since mid-January, with only minor dips. Its position above the 200-day moving average for over a year further confirms the stock’s bullish trend.


Earnings Momentum Strengthens RTX’s Position

Momentum in RTX stock performance accelerated following the company’s strong Q3 results. On Oct. 21, shares climbed 7.7% after RTX reported:

  • Adjusted EPS of $1.70, beating expectations of $1.42

  • Revenue of $22.5 billion, exceeding estimates of $21.5 billion

  • Full-year EPS guidance raised to a range of $6.10 to $6.20

Much of this growth is driven by robust defense demand, including higher Patriot missile system sales, and strong performance from Pratt & Whitney, which continues benefiting from elevated commercial aerospace activity.

These results highlight RTX’s ability to execute across business segments while capitalizing on rising geopolitical tensions and increased defense procurement.


How RTX Compares With Northrop Grumman

In the competitive aerospace and defense space, RTX continues to outperform major peers such as Northrop Grumman Corporation (NYSE:NOC). While NOC has posted respectable gains — up 20.8% year-to-date and 16.1% over the past 52 weeks — these figures lag significantly behind RTX stock performance.

RTX’s competitive edge stems from its diversified revenue base and strong alignment with both commercial and military spending cycles, giving it resilience even as individual segments fluctuate.


Analyst Outlook: More Upside Ahead?

Wall Street remains constructive on RTX stock performance, with the stock earning a “Moderate Buy” rating from 21 analysts. The average price target of $192.05 implies a 10.9% upside from current levels.

Analysts frequently highlight RTX’s:

  • Strong backlog

  • Consistent cash flow

  • Leadership in next-generation defense technologies

  • Steady commercial aviation recovery

These factors collectively support a bullish medium-term outlook.


Conclusion: RTX Continues to Outperform

The RTX stock performance story is defined by sustained market leadership, strong earnings execution and technical momentum. With rising global defense demand, solid commercial aviation trends and supportive analyst sentiment, RTX remains well-positioned to continue outperforming the S&P 500.

For investors seeking a mega-cap blend of stability, growth potential and consistent returns, RTX stands out as one of the most compelling names in the aerospace and defense sector.

Featured Image: Megapixl @ Wajan

Disclaimer

 
About the author: Stephanie Bédard-Châteauneuf has over seven years of experience writing financial content for various websites. Over the years, Stephanie has covered various industries, with a primary focus on tech stocks, consumer stocks, market news, and personal finance. She has an MBA in finance.