RTX Corp. Shares Surge 1.74% as $12.5B Radar Contract Boosts Sector Momentum

Shares of RTX Corp. hit their highest level so far this month, surging 1.74% intraday on Jan. 6 as optimism over government contracts and sector momentum lifted the industrial giant. The stock has climbed 2.65% over the past two trading days, extending a recent rally fueled by renewed investor confidence in defense and aerospace infrastructure spending.

The move follows a key U.S. Department of Transportation award on Jan. 5 for modernizing air traffic control radar systems, with RTX and Indra Sistemas set to replace up to 612 aging units by mid-2028. The $12.5 billion congressional initiative underscores RTX’s role in critical infrastructure upgrades, while its $250 billion backlog of defense and commercial contracts provides long-term revenue visibility. Analysts have increasingly upgraded the stock, with Bank of America and Citigroup raising price targets to $215 and $211, respectively, citing strong earnings potential and operational efficiency in the industrials sector.

RTX’s institutional ownership of 86.5% highlights sustained backing from large investors, who view its strategic position in defense modernization and geopolitical tailwinds as a hedge against market volatility. With a focus on radar systems, missile defense, and aerospace engineering—distinct from NVIDIA’s RTX brand—the company is capitalizing on global defense spending trends. Analysts note that RTX’s technological leadership and contract pipeline position it to outperform in a sector already up 61% in 2025, suggesting the rally could extend as infrastructure projects gain momentum.