Zacks Investment Research downgraded shares of Raytheon (NYSE:RTN) from a buy rating to a hold rating in a research note released on Wednesday morning.
According to Zacks, “Raytheon is one of the best-positioned large-cap defense players due to its non-platform centric focus. Due to its wide range of combat-proven defense products, the company continues to receive numerous orders from both Pentagon as well as foreign allies. Raytheon's Patriot missile-defense systems have seen a number of buyers in recent times including international customers from Europe as well as the Middle East. The company is also investing consistently in next-generation sensor technologies. However, factors like tough competition and political uncertainty continue to be major headwind for Raytheon. The company’s sales from international markets are subject to country-specific risk related to political stability and regime change.Its international sales are also subject to local government laws, regulations, and procurement policies and practices. Its share price also underperformed the industry in the last one year.”
Several other brokerages have also issued reports on RTN. ValuEngine lowered shares of Raytheon from a buy rating to a hold rating in a report on Friday, June 15th. Morgan Stanley reduced their price objective on shares of Raytheon from $245.00 to $238.00 and set an overweight rating on the stock in a report on Thursday, April 12th. Cowen restated a buy rating and issued a $235.00 price objective on shares of Raytheon in a report on Tuesday, April 17th. Barclays initiated coverage on shares of Raytheon in a report on Thursday, March 29th. They issued an equal weight rating and a $239.00 price objective on the stock. Finally, Credit Suisse Group restated a neutral rating and issued a $219.00 price objective (down from $250.00) on shares of Raytheon in a report on Tuesday, May 22nd. Six equities research analysts have rated the stock with a hold rating and fifteen have assigned a buy rating to the company’s stock. Raytheon currently has an average rating of Buy and a consensus target price of $220.23.
Shares of Raytheon opened at $193.18 on Wednesday, Marketbeat.com reports. The company has a debt-to-equity ratio of 0.46, a quick ratio of 1.52 and a current ratio of 1.62. The stock has a market cap of $55.42 billion, a PE ratio of 25.35, a PEG ratio of 1.70 and a beta of 0.69. Raytheon has a twelve month low of $160.20 and a twelve month high of $229.75.
Raytheon (NYSE:RTN) last announced its quarterly earnings results on Thursday, April 26th. The aerospace company reported $2.20 earnings per share for the quarter, beating the consensus estimate of $2.10 by $0.10. The firm had revenue of $6.27 billion for the quarter, compared to analysts’ expectations of $6.21 billion. Raytheon had a net margin of 8.40% and a return on equity of 22.69%. The company’s revenue was up 4.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.74 EPS. analysts forecast that Raytheon will post 9.87 earnings per share for the current year.
The firm also recently declared a quarterly dividend, which will be paid on Thursday, August 2nd. Shareholders of record on Wednesday, July 11th will be paid a dividend of $0.8675 per share. The ex-dividend date of this dividend is Tuesday, July 10th. This represents a $3.47 dividend on an annualized basis and a yield of 1.80%. Raytheon’s dividend payout ratio (DPR) is presently 45.54%.
In other Raytheon news, VP Taylor W. Lawrence sold 1,241 shares of the business’s stock in a transaction dated Monday, June 4th. The shares were sold at an average price of $212.14, for a total transaction of $263,265.74. Following the sale, the vice president now directly owns 46,999 shares in the company, valued at $9,970,367.86. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Dinesh C. Paliwal purchased 1,219 shares of the business’s stock in a transaction on Monday, April 30th. The shares were acquired at an average price of $205.00 per share, for a total transaction of $249,895.00. Following the completion of the purchase, the director now directly owns 2,752 shares of the company’s stock, valued at $564,160. The disclosure for this purchase can be found here. Insiders have sold 15,916 shares of company stock worth $3,373,281 over the last quarter. Insiders own 0.19% of the company’s stock.
Several institutional investors have recently made changes to their positions in RTN. BlackRock Inc. grew its position in shares of Raytheon by 1.8% during the first quarter. BlackRock Inc. now owns 21,631,795 shares of the aerospace company’s stock worth $4,668,574,000 after buying an additional 390,856 shares in the last quarter. Royal Bank of Canada grew its position in shares of Raytheon by 23.7% during the first quarter. Royal Bank of Canada now owns 1,855,895 shares of the aerospace company’s stock worth $400,539,000 after buying an additional 356,086 shares in the last quarter. Alkeon Capital Management LLC acquired a new position in shares of Raytheon during the first quarter worth about $70,142,000. Winslow Capital Management LLC grew its position in shares of Raytheon by 26.2% during the first quarter. Winslow Capital Management LLC now owns 1,516,593 shares of the aerospace company’s stock worth $327,311,000 after buying an additional 314,561 shares in the last quarter. Finally, Millennium Management LLC grew its position in shares of Raytheon by 100.0% during the fourth quarter. Millennium Management LLC now owns 591,173 shares of the aerospace company’s stock worth $111,052,000 after buying an additional 295,616 shares in the last quarter. 72.69% of the stock is owned by institutional investors and hedge funds.
Raytheon Company develops integrated products, services, and solutions for defense and other government markets worldwide. It operates through five segments: Integrated Defense Systems (IDS); Intelligence, Information and Services (IIS); Missile Systems (MS); Space and Airborne Systems (SAS); and Forcepoint.
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