RTX Stock Up on Results, Outlook; Lockheed Martin Shares Down on Sales, Guidance

Shares of RTX (RTX) and Lockheed Martin (LMT) headed in opposite directions Tuesday after the two big defense contractors reported quarterly results.

RTX shares advanced more than 2% when the maker of Pratt & Whitney engines posted fourth-quarter adjusted earnings per share (EPS) of $1.54, with revenue up 9% year-over-year to $21.62 billion. Both were above analysts’ forecasts compiled by Visible Alpha.

Sales at the Pratt & Whitney division jumped 18% to $7.57 billion, rose 6% to $7.54 billion at Collins Aerospace, and gained 4% to $7.16 billion at Raytheon.

RTX sees full-year adjusted EPS of $6.00 to $6.15, and adjusted sales of $83 billion to $84 billion.

Existing Classified Programs Loss Hits Lockheed Martin Results

Lockheed Martin shares sank nearly 8% as the company missed sales estimates and issued weaker-than-expected profit guidance as it took a big charge in the quarter.

Adjusted EPS came in at $7.67, but that excluded an after-tax loss of $5.45 per share for classified programs. Revenue fell 1.3% to $18.62 billion. Analysts surveyed by Visible Alpha expected $18.86 billion.

The loss for existing classified programs at its Aeronautics and Missiles and Fire Control (MFC) business segments came after a review that determined the company would have higher costs in order to meet required milestones.

Lockheed Martin expects full-year EPS in the range of $27.00 to $27.30. The Visible Alpha forecast was for $27.44.

RTX shares traded at an all-time high. Shares of Lockheed Martin remained nearly 8% higher over the last year despite today’s selloff.