RTX - Why RTX's Engine Troubles Spell Bad News: BofA Analyst Lowers Rating To Underperform | Benzinga
BofA Securities analyst Ronald Epstein downgraded the shares of RTX Corporation (NYSE: RTX) to Underperform from Neutral and lowered the price target from $95 to $75.
RTX anticipates a ~$3 billion csh headwind from 2023-2025 due to the impact on the Pratt & Whitney GTF fleet arising from the previously disclosed rare condition in powder metal used to manufacture certain engine parts.
The analyst thinks RTX will underperform the coverage universe until there is a clearer understanding of the necessary fixes, customer concessions and even organizational changes in the wake of this egregious manufacturing oversight.
The ...