Following The Money: Institution’s Growing Stake In Raytheon Technologies Corporation (NYSE: RTX)


SSgA Funds Management, Inc. has recently announced that it has increased stake in Raytheon Technologies Corporation (NYSE:RTX) by 7.94%. After grabbing 127.18 million shares, the institutional investor is now in possession of 9.35 million shares of the Industrials Company. The new investment brought the stake of investor firm to 8.32% having worth around $7.21 billion. Moreover, The Vanguard Group, Inc. increased its share by 0.58 million to have a control over 122.0 million shares. And Wellington Management Co. LLP raised its holdings to 7.95 million shares by acquiring 43.69 million shares or 2.86% of the stake.

Raytheon Technologies Corporation (RTX) concluded trading on 08/26/20 at a closing price of $60.77, with 8.64 million shares of worth about $524.96 million changed hands on the day. Weekly performance of the stock remained negative as price took a plunge of -1.41% during that period and on Wednesday the price saw a loss of about -0.30%. Currently the company’s common shares owned by public are about 1.50B shares, out of which, 1.37B shares are available for trading.

A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 19 analysts are covering the RTX stock and their offered price forecasts bring an average price target of $78.25. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $101.00 and could fall to a lowest price of $62.00. Analysts also issued an outlook of 2.10 for the Raytheon Technologies Corporation stock for next 12 months. The stock’s current price level is 21.97% above of average price target set by the analysts, while a rise to estimated low would result in gain of 1.98 for the stock. However, touching the estimated high of $101.00 would mean a gain of 39.83% for the stock.

According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 147 times over the past 12 months. They bought 1,717,447 shares in 62 of the transactions. In 85 selling transactions, insiders dumped 891,326 shares.

Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and American Funds Investment Company are the top 3 mutual funds which are holding stakes in Raytheon Technologies Corporation Vanguard Total Stock Market Index is currently holding 43.11 million shares of worth totaling $2.44 billion. The company recently came selling -0.11 million shares which brought its stake up to 2.82% of the company’s outstanding shares. Vanguard 500 Index Fund sold -0.18 million shares, after which its hold over company’s outstanding shares shrunk to 1.99%, leaving 30.33 million shares with the mutual fund that have a worth of about $1.72 billion. American Funds Investment Company, after buying 15.93 million shares, have now control over 1.04% of the stake in the company. It holds 6.41 million shares of worth $902.78 million.

Raytheon Technologies Corporation (NYSE: RTX) started trading at $60.64, below -$0.31 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $60.77, or with a loss of -0.30%. Stock saw a price change of -1.41% in past 5 days and over the past one month there was a price change of -0.38%. Year-to-date (YTD), RTX shares are showing a performance of -31.20% which decreased to -17.29% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $40.71 but also hit the highest price of $93.45 during that period. While comparing its average daily trading volume of 9.74 million shares, we see that about 8.64 million changed hands on the day. The stock is currently trading -0.38% below its 20-day simple moving average (SMA20), while that difference is down -1.69% for SMA50 and it goes to -15.45% lower than SMA200.

SSgA Funds Management, Inc. acquired 127.18 million shares of Raytheon Technologies Corporation having value of about $7.21 billion. Data submitted at the U.S SEC by SSgA Funds Management, Inc. revealed that the firm now holds 9.35 million shares in the company valued at close to $568374031.44, or have control over 7.94% stake in the company. Raytheon Technologies Corporation (NYSE: RTX) currently have 1.50B outstanding shares and institutions hold larger chunk of about 76.40% of that. Holding of mutual funds in the company is about 38.40% while other institutional holders and individual stake holders have control over 38.67% and 0.05% of the stake respectively.

The stock has a current market capitalization of $93.94B and its 3Y-monthly beta is at 1.35. PE ratio of stock for trailing 12 months is 148.95, while it has posted earnings per share of $0.41 in the same period. It has Quick Ratio of 0.90 while making debt-to-equity ratio of 0.49. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for RTX, volatility over the week remained 2.25% while standing at 2.62% over the month.

Analysts are in expectations that Raytheon Technologies Corporation (RTX) stock would likely to be making an EPS of $0.5 in the current quarter, while forecast for next quarter ESPS is $0.75 and it is $3.85 for next year. For the current quarter EPS, analysts have given the company a lowest target $0.4 which is $0.62 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of $2.21 in the same quarter a year ago. Stock’s fiscal year EPS is expected to drop by -13.70% while it is estimated to increase by 34.76% in next year. EPS is likely to shrink at an annualized rate of -13.25% for next 5-years, compared to annual growth of -0.70% made by the stock over the past 5-years.

Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Argus on July 29, 2020 offering a Hold rating for the stock and assigned a target price of to it. Coverage by Vertical Research stated Raytheon Technologies Corporation (RTX) stock as a Buy in their note to investors on July 10, 2020, suggesting a price target of $77 for the stock. On May 21, 2020, RBC Capital Mkts Initiated their recommendations, while on April 15, 2020, Goldman Resumed their ratings for the stock with a price target of $76. Stock get a Neutral rating from JP Morgan on April 15, 2020.


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