Raytheon Technologies vs. General Electric: Competition Is Heating Up

With the coronavirus pandemic set to negatively impact air travel for years to come, it's a good idea to reflect on what lies ahead for aircraft engine manufacturers General Electric (NYSE: GE) and Raytheon Technologies (NYSE: RTX). Here's a look at the key issues facing both companies in the coming years and how it could impact the investment proposition for both companies.

GE's joint venture with Safran, CFM International, produces the sole engine option (LEAP) on the Boeing 737 MAX. In addition, CFM's LEAP engine also competes with Raytheon's Pratt & Whitney (geared turbofan, or GTX) on the Airbus A320 NEO. Notwithstanding the issues with a return to service for the 737 MAX, it's clear that GE and Raytheon will be offering the engines on the workhorses of the aviation industry for at least the next decade.

The competition over aircraft engines is going to heat up. Image source: Getty Images.

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Source Fool.com