Shares of RTX (RTX 0.80%) are jumping Tuesday. The firm's stock gained 2.5% as of 12:50 p.m. ET, but was up as much as 6% earlier in the day. The leg up comes as the S&P 500 (^GSPC 0.11%) and Nasdaq Composite (^IXIC +0.35%) gained 0.7% and 1.6%, respectively.
NYSE: RTX
Key Data Points
RTX -- formerly known as Raytheon -- reported earnings early Tuesday. The numbers were received relatively well, although investors may have hoped for slightly stronger guidance for the company.
Q4 was kind to RTX
Amidst what RTX president and CEO Chris Calio called "unprecedented demand," RTX delivered strong growth for both the quarter and fiscal year 2024 as a whole. The company boosted sales 9% year over year (YOY) for Q4 and delivered an adjusted earnings per share (EPS) of $1.54, up 19% YOY. Wall Street was expecting an adjusted EPS of $1.38 for the quarter. RTX handily clearing that bar impressed investors.
For 2024 as a whole, the company reported $80.7 billion in sales, up 9% YOY, as well as an adjusted EPS of $5.73, up 13% YOY, also exceeding Wall Street's targets.
2025 leaves something to be desired
However, despite the better-than-expected growth last year, the company set guidance for 2025 that underwhelmed investors. RTX set a sales target range of $83 billion to $84 billion for 2025, the high point of which is $500 million lower than what Wall Street was projecting. This slightly lower guidance is why, despite delivering such a strong Q4 and 2024, shares of RTX jumped higher Tuesday more modestly than might otherwise be expected.
