RTX Corp (RTX) FY2025Q3 Earning Prediction
RTX Corp (RTX) is set to release its FY2025Q3 earnings performance on 10/21 06:55:00 ET in Pre-Market trading. Consensus forecasts predict a revenue of 21.32B and an earnings per share (EPS) of 1.42 for the FY2025Q3. With Intellectia's exclusive AI algorithms, users can predict whether the earnings will beat or miss expectations before the report drops. Leverage this powerful tool to strategize and position your trades ahead of the earnings release!
AI Earnings Prediction
The earnings forecast indicates a likely "Beat" driven by strong defense contract acquisitions and robust growth in the commercial aftermarket sector.
Scenario Analysis
Key Indicators Forecast
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Prediction Logic & Rational
The Fact Data highlights significant tailwinds across RTX’s defense and aerospace segments, offsetting lingering Pratt & Whitney headwinds. Key drivers:
Defense Contracts: Over $12B in new/modified contracts (e.g., $5B Coyote Missile System, $ 2.88B F135 propulsion systems, $ 1.7B missile defense) signal robust backlog growth and accelerating revenue recognition.
Commercial Aftermarket: GTF Advantage certification (improved durability) and Lufthansa’s 14-year APS5000 maintenance deal support sustained double-digit aftermarket growth.
Cost Controls: Bernstein notes future cash advantages post-2027 as GTF compensation costs ease, while recent cyber incidents (MUSE software breach, Collins check-in systems) are deemed non-material.
Tariff Risks Mitigated: No direct evidence of tariff relief, but supply chain improvements (GXO Logistics renewal, LTAMDS facility expansion) suggest operational resilience.
Tactical Strategy Recommendations
- Bullish Options: Buy October $160 calls (IV spike post-earnings likely).
- Pairs Trade: Long RTX vs. Short LHX (RTX’s defense momentum > LHX’s comms exposure).
- Hedge: Short-dated puts (e.g., $150 strike) to capitalize on low volatility (0.48% stock move vs. S&P +4.8% suggests muted expectations).
Rationale: Fact Data skews positively with defense backlog dominance and incremental aftermarket wins, while consensus underestimates operational efficiency gains post-Pratt & Whitney turbulence.
Earnings Surprise Analysis
RTX Transcript
The earnings call reveals strong financial performance, with significant revenue and net income growth, improved operating cash flow, and aggressive debt reduction. The raised guidance for sales and EPS, along with a robust order backlog, suggests positive future prospects. Despite inflationary pressures and supply chain risks, the company's strategic focus and successful HeatSponge projects contribute to an optimistic outlook. The Q&A session supports this sentiment, with no major concerns from analysts. Overall, the positive aspects outweigh the negatives, indicating a likely positive stock price reaction.
The earnings call revealed raised revenue and EPS guidance, alongside strong free cash flow and segment profit growth expectations. The Q&A section highlighted positive developments in fleet management, defense output, and strategic investments. Despite some conservative guidance and unclear timelines, the overall sentiment was positive, with tailwinds across all segments and a focus on margin expansion and debt reduction. The increased guidance and positive outlook in key areas suggest a positive stock price reaction.
The earnings call reflects a positive sentiment, with increased sales outlook, strong aftermarket performance, and significant new awards. Despite a slight EPS guidance reduction due to tariffs, the company's strategic partnerships and production improvements bolster confidence. The Q&A reveals robust demand and margin expansion potential, though supply chain issues pose some risks. Overall, the positive factors outweigh the negatives, suggesting a positive stock price movement.
RTX Slides
RTX Report
Frequently Asked Questions
What is the RTX Corp FY2025Q3 Earnings Release Date and Time?
RTX Corp (RTX) is scheduled to release its FY2025Q3 earnings report onOct 21, 2025, Pre-Market(approximately 4:00 PM ET). This timing allows investors to react during after-hours trading, with a conference call typically following shortly after.
What Are the Consensus Forecasts for RTX Corp FY2025Q3 Revenue and EPS?
Analysts' consensus predicts 21.32B in revenue and an EPS of 1.42 for RTX Corp's FY2025Q3.
What Does Intellectia's AI Predict for RTX Corp FY2025Q3 Earnings?
Intellectia's exclusive AI algorithms forecast a Beat forRTX Corp's FY2025Q3 earnings, with a prediction date of Oct 21, 2025. RTX Corp The earnings forecast indicates a likely "Beat" driven by strong defense contract acquisitions and robust growth in the commercial aftermarket sector.
How Can I Use This Earnings Prediction to Trade RTX Stock?
Leverage Intellectia's AI forecast to position trades ahead of theOct 21, 2025 release—consider calls for a beat scenario or protective puts for misses. Focus on pre-market volatility, and use the scenario probabilities to build strategies around revenue and guidance updates.
How Accurate Is Intellectia's AI for Earnings Predictions Like RTX Corp FY2025Q3?
Intellectia's predictions are backed by rigorous backtesting, showing a high hit rate for Beat and Miss calls compared to traditional analysis. While no forecast is 100% certain, we provide probability-based scenarios (e.g., 50% chance of a *Beat*) and detailed rationales to help you make informed decisions. Combine our insights with your strategy for the best results—it's like having a co-pilot for earnings season! Empowering users to strategize trades before reports drop.
How does AI Earnings Prediction generate its forecasts?
AI Earnings Prediction uses advanced Large Language Models (LLMs) to analyze a wealth of data, including past earnings transcripts, real-time market sentiment, analyst insights, and company news from the last three months. It focuses on key indicators like revenue, EPS, and margins to predict whether a company will *Beat*, *Miss*, or remain Neutral relative to market expectations. Think of it as a super-smart analyst crunching numbers and news 24/7 to give you a trading edge!
When are the predictions available, and how often are they updated?
Predictions are generated two days before a company’s earnings release (e.g., 5:00 PM ET on Feb 13 for a Feb 15 report) to capture the latest market and company data. They’re updated in real-time if significant news breaks, ensuring you get fresh insights.
Can I use AI Earnings Prediction for all types of stocks?
Currently, AI Earnings Prediction focuses on companies with market caps above $40 billion, covering major players like SPG, AAPL, MSFT, and NVDA for the 2025-2026 earnings seasons. We prioritize high-impact stocks with robust data to ensure reliable forecasts. Stay tuned as we expand coverage to more companies based on user demand!
