Here’s Why You Should Consider Investing in Raytheon Technologies (RTX)

Davis Funds, an investment management firm, published its “Davis Opportunity Fund” third quarter 2021 investor letter – a copy of which can be downloaded here. In the year-to-date period through July 31, Davis Opportunity Fund returned 23.32%, outperforming the S&P 1500 Index’s 18.07% return. You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.

Davis Opportunity Fund, in its Q3 2021 investor letter, mentioned Raytheon Technologies Corporation (NYSE: RTX) and discussed its stance on the firm. Raytheon Technologies Corporation is a Waltham, Massachusetts-based multinational aerospace and defense company with a $122.2 billion market capitalization. RTX delivered a 13.42% return since the beginning of the year, while its 12-month returns are up by 9.74%. The stock closed at $81.11 per share on December 03, 2021.

Here is what Davis Opportunity Fund has to say about Raytheon Technologies Corporation  in its Q3 2021 investor letter:

“In the industrial space, we own a select list of well-entrenched market leaders, such as Raytheon Technologies in aerospace. These have recovered this year from their lulls in 2020, yet continue to trade at reasonable multiples of subdued earnings, creating a potential setup for the double play of recovering multiples on recovering earnings.”

Based on our calculations, Raytheon Technologies Corporation (NYSE: RTX) was not able to clinch a spot in our list of the 30 Most Popular Stocks Among Hedge Funds. RTX was in 48 hedge fund portfolios at the end of the third quarter of 2021, compared to 53 funds in the previous quarter. Raytheon Technologies Corporation (NYSE: RTX) delivered a -3.04% return in the past 3 months.

Disclosure: None. This article is originally published at Insider Monkey.