RTX Corporation’s RTX business segment, Raytheon, recently secured an order worth $1.03 billion to supply its Lower Tier Air and Missile Defense Sensor (“LTAMDS”) system.
The contract is expected to be completed on March 31, 2030. The award has been provided by the Army Contracting Command, Redstone Arsenal, AL. The work related to the contract will be carried out in Andover, MA.
Benefits of RTX’s Contract Win
The contract supports long-term revenue visibility for RTX, as the program runs through March 2030 and involves steady production work. The deal strengthens RTX’s role as a key supplier of air and missile defense sensors to the U.S. Army.
The contract also reinforces RTX’s position in advanced radar technology and supports its ongoing relationship with the U.S. military. In addition, growing interest in LTAMDS from other countries could create opportunities for future orders and international expansion.
RTX: Leading the Way in Cutting-Edge Radar Technology
Raytheon develops and delivers advanced capabilities in integrated air and missile defense, along with modern sensors and radar systems across land, air, sea and space. The company uses its strong radar expertise to offer a broad portfolio of systems that support air defense, missile defense and maritime surveillance missions.
RTX’s LTAMDS radar is designed to address advanced and emerging threats, including hypersonic weapons that travel at speeds of more than a mile per second. The system features three antenna arrays, with one main array at the front and two arrays at the back, enabling it to detect, track and engage multiple threats from all directions at the same time.
RTX’s radar portfolio also includes systems such as the GhostEye Radar, AN MPQ 64 Sentinel Radar and Ku band Radio Frequency Sensor. These systems continue to see steady demand in the global military radar market.
Growth Potential
Per a Mordor Intelligence report, rising geopolitical tensions, higher defense spending and the growing need for advanced threat detection are driving demand for military radars. The report projects the market to expand at a CAGR of 4.55% between 2026 and 2031. Such growth projections bode well for prominent radar manufacturers like RTX.
Other defense contractors that produce radar systems and are expected to benefit from the expanding global military radar market are highlighted below:
Lockheed Martin Corp. LMT: The company’s radar systems are trusted by more than 45 nations across six continents. Its portfolio includes a diverse range of radars, such as the TPY-4, AN/TPQ-53 Radar System, Long Range Discrimination Radar, TPS-77, Sentinel A4 and several others.
LMT boasts a long-term (three to five years) earnings growth rate of 11.9%. The Zacks Consensus Estimate for 2026 sales stands at $78.08 billion, which calls for an increase of 4%.
L3Harris Technologies, Inc. LHX: The company’s SPS-48 land-based surveillance radar is a versatile, high-performance system that detects and tracks airborne targets, guides weapon systems and delivers reliable hazardous weather detection and display capabilities.
LHX boasts a long-term earnings growth rate of 12.9%. The Zacks Consensus Estimate for 2026 sales stands at $23.31 billion, which calls for an increase of 6.6%.
Northrop Grumman Corp. NOC: The company is a leader in Active Electronically Scanned Array radar technology, backed by more than 60 years of experience. Its broad product lineup also features radar systems such as the AN/TPS-80 Ground/Air Task-Oriented Radar, Highly Adaptable Multi-Mission Radar and AN/TPS-78 Advanced Capability Multi-Mode Radar.
NOC has a long-term earnings growth rate of 4.8%. The Zacks Consensus Estimate for 2026 sales stands at $43.87 billion, which calls for an increase of 4.6%.
RTX Stock Price Movement
In the past year, shares of RTX have risen 56.7% compared with the industry’s growth of 29.3%.
Image Source: Zacks Investment Research
RTX’s Zacks Rank
RTX currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
