RTX Stock: Bull vs. Bear
Geopolitical tensions remain excessively strained, and they don't seem poised to ease anytime soon. Investors attuned to this situation, moreover, are taking a closer look at defense stocks such as (NYSE: RTX).
But opinions regarding the advantages and disadvantages of picking up shares of RTX (formerly Raytheon Technologies) right now vary widely. To help make sense of the different viewpoints, two Fool.com contributors look at the bull and bear cases for buying RTX stock.
Lee Samaha: RTX's recent earnings were well received, but the company faces challenges in its end markets. The company is known for having a fair exposure split between commercial aerospace and defense. The former is more cyclical, while the defense businesses are seen as low growth but solid cash generators. The two combined well during the worst of the pandemic, when the defense business supported the commercial aerospace side. Now that the economy is recovering from the lockdowns, the commercial aerospace side is carrying the earnings growth baton.
Source Fool.com
