Raytheon (RTX) Stock Gets a $1.3 Billion Boost From Pentagon on Friday

TLDR

• Raytheon secured two U.S. military contracts worth a combined $1.3 billion, announced Friday by the Department of Defense.
• The larger deal is a $745.4 million contract to manufacture Standard Missile-3 Block IIA All-Up Rounds for the U.S. and Japan.
• The second is a $536 million modification to an existing TOW Weapon System contract, bringing its total value to $750.8 million.
• The SM-3 contract was awarded by the Missile Defense Agency and obligates over $553 million in funds at time of award.
• Work will be performed in Tucson, Arizona and Huntsville, Alabama across both contracts.

RTX stock was down 0.10% on the day as the Department of Defense announced the two new contracts on Friday.

RTX Corporation, RTX

The first contract, valued at $745.4 million, covers the manufacture and assembly of Standard Missile-3 Block IIA All-Up Rounds. The award supports both U.S. government requirements and Japan Ministry of Defense foreign military sales.

The Missile Defense Agency in Huntsville, Alabama issued the noncompetitive, undefinitized contract. At the time of award, it obligated $275.6 million in fiscal 2026 procurement funds and $277.7 million in Japan Ministry of Defense foreign military sales funds.

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