RTX Corporation (NYSE: RTX) announced that its Pratt & Whitney division will invest $25 million to expand its manufacturing facility in Niepołomice, Poland.
The Niepołomice site produces complex tubular assemblies for both military and commercial engines, supporting several key programs across the company’s portfolio.
Engines supported at the facility include the F135, the Pratt & Whitney GTF, and the PW800, making the site a critical node in the company’s broader production network.
The expanded facility is expected to begin operations in 2028 and will create more than 120 jobs in the region.
The Niepołomice investment complements a $100 million commitment announced in April to boost production and enhance capabilities at the company’s separate facility in Rzeszów, Poland.
Poland already represents RTX’s largest presence outside the United States, with more than 9,500 employees based across the country.
The investment at Niepołomice is backed by the Polish government under the Polish Investment Zone Programme, which provides certain tax exemptions that help reduce overall expansion costs.
RTX’s confidence in the expansion is underpinned by a record backlog of $289 billion at the end of Q2, a figure that increased 22% year-over-year and signals sustained demand for both commercial and military engine production.
The additional capacity is expected to create operating leverage over coming years, allowing RTX to accelerate backlog conversion into revenue as production ramps up after 2028.
However, the 2028 start date means near-term revenue impact will be minimal, and hiring a new workforce ahead of meaningful output could pressure margins in the short term.
Hedge fund ownership in RTX stock edged slightly lower, declining from 95 funds in Q1 to 92 funds at the end of the second quarter, according to Insider Monkey.
Fisher Asset Management increased its stake 1.2% sequentially to remain the largest institutional investor in the company, with holdings worth $4.34 billion as of June 30.
Point72 Asset Management ranked second among major holders, raising its investment from $395 million in Q1 to nearly $626 million at the end of Q2.
D E Shaw held the third spot among prominent hedge fund investors, with holdings in RTX valued at $524 million.
RTX carries a forward P/E ratio of 27.29, well above the sector median of 19.59 and above peers including LMT, GD, and NOC, suggesting the stock’s valuation remains stretched relative to the broader defense sector.
Analysts and investors will likely weigh the company’s strong long-term demand story against execution risks tied to production constraints, supply chain management, and the inherent uncertainties of commercial aerospace cycles.
