Daiwa: Aerospace stocks welcome valuation expansion, raising target price for Raytheon Technologies (RTX.US) to $165.

Zhijing Financial APP learned that Morgan Stanley recently raised its target price for Raytheon Technologies (RTX.US) from $135 to $165, while maintaining an "overweight" rating on the stock. Morgan Stanley stated that the aerospace sector is currently experiencing a phase of valuation expansion, as valuation multiples for aerospace stocks are at historical highs, reflecting the sector's resilience. The firm expects the overall development trend of the industry to "remain basically unchanged." Morgan Stanley also noted that the aerospace supply chain is continuing to improve, passenger demand for air travel remains strong, and Boeing's production is also maintaining momentum. The firm believes these factors continue to support its optimistic outlook on the aerospace sector, especially for companies that combine aftermarket services with original equipment businesses.