Last year, United Technologies and Raytheon announced that they are going to merge their operations. The merger included the spin-off of Otis Worldwide Corporation (OTIS) and Carrier Global Corporation (CARR). The merged company is called Raytheon Technologies (RTX), and in this article, I will analyze it.

There is plenty of research that shows that spin-off companies outperform, so investors who look for short-to-medium-term high total returns should investigate Carrier and Otis. Personally, I usually look for more diversified companies, so I focus on Raytheon Technologies. I lack exposure to the industrial sector, and this company can help me fill the gap.

I sold my shares in the company in the past, and it was a mistake. I will now correct it while taking advantage of the market pullback. I will analyze the company for its fundamentals, valuation, opportunities, and risks. I will use the graph below for my analysis, as I try to show the case for Raytheon Technologies.

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