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UTX $86.01

UTX target price
86.01
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United Technologies Corporation
Type
Public
Traded as NYSE: UTX
DJIA Component
S&P 100 Component
S&P 500 Component
Industry Conglomerate
Predecessor United Aircraft Corporation
Founded 1934; 83 years ago (1934)
Founders Frederick Rentschler
Headquarters Farmington, Connecticut, United States
Area served
Worldwide
Key people
Gregory J. Hayes
(President, Chairman and CEO)
Revenue Increase US$57.244 billion (2016)
Operating income
Increase US$8.172 billion (2016)
Net income
Decrease US$5.055 billion (2016)
Total assets Increase US$89.706 billion (2016)
Total equity Increase US$27.579 billion (2016)
Number of employees
201,600 (2016)
Website www.utc.com

United Technologies Corporation (UTC) is an American multinational conglomerate headquartered in Farmington, Connecticut. It researches, develops, and manufactures products in numerous areas, including aircraft engines, aerospace systems, HVAC, elevators and escalators, fire and security, building systems, and industrial products, among others. UTC is also a large military contractor, getting about 10% of its revenue from the U.S. government. Gregory J. Hayes is the CEO and chairman.

In 1974, Harry Gray left Litton Industries to become the CEO of United Aircraft. He pursued a strategy of growth and diversification, changing the parent corporation's name to United Technologies Corporation (UTC) in 1975 to reflect the intent to diversify into numerous high tech fields beyond aerospace. (The change became official on May 1, 1975.) The diversification was partially to balance civilian business against any overreliance on military business. UTC became a mergers and acquisitions (M&A)–focused organization, with various forced takeovers of unwilling smaller corporations. The next year (1976), UTC forcibly acquired Otis Elevator. In 1979, Carrier Refrigeration and Mostek were acquired; the Carrier deal was forcible, while the Mostek deal was a white knight move against hostile takeover designs by Gould.

At one point the military portion of UTC's business, whose sensitivity to "excess profits" and boom/bust demand drove UTC to diversify away from it, actually carried the weight of losses incurred by the commercial M&A side of the business. Although M&A activity was not new to United Aircraft, the M&A activity of the 1970s and 1980s was higher-stakes and arguably unfocused. Rather than aviation being the central theme of UTC businesses, high tech (of any type) was the new theme. Some Wall Street watchers questioned the true value of M&A at almost any price, seemingly for its own sake.

Mostek was sold in 1985 to the French electronics company Thomson.

UTC acquired Sundstrand Corporation in 1999, and merged it into UTC's Hamilton Standard unit to form Hamilton Sundstrand.

In 2003, UTC entered the fire and security business by purchasing Chubb Security.

In 2004, UTC acquired the Schweizer Aircraft Corporation which planned to operate as a wholly owned subsidiary under their Sikorsky Aircraft division.

In 2005, UTC further pursued its stake in the fire and security business by purchasing Kidde. Also in 2005, UTC acquired Boeing's Rocketdyne division, which was merged into the Pratt & Whitney business unit.

In 2007, UTC opened the Hawk Works, a Rapid Prototyping and Military Derivatives Completion Center (RPMDCC) located west of the Elmira-Corning Regional Airport in Big Flats, NY.

In March 2008, UTC made a $2.63 billion bid to acquire Diebold, a Canton, Ohio based manufacturer of banking and voting machines. Diebold rejected the buyout bid as inadequate.

In November 2008, UTC's Carrier Corporation acquired NORESCO, which is one of the nation's largest energy service companies.

In December 2009, it was announced that UTC would acquire a 49.5% stake in Clipper Windpower for $206 million.

In April 2010, UTC announced that it was investing €15 million ($20 million) to set up the United Technologies Research Centre Ireland in University College Cork which will carry out research on energy and security systems.

In October 2010, UTC agreed with Clipper to acquire the rest of the company.

In September 2011, UTC acquired a $18.4 billion deal (including $1.9 billion in net debt assumed) for aircraft components maker Goodrich Corporation.

In June 2012, it was discovered that UTC sold military technology to the Chinese. For pleading guilty to violating the Arms Export Control Act and making false statements, United Technologies and its subsidiaries were fined $75 million.

In July 2012, United Technologies acquired Goodrich and merged it with Hamilton Sundstrand; the resulting organization is UTC Aerospace Systems.

In February 2013, UTC Power was sold to ClearEdge Power.

In October 2014, Toshiba and United Technologies made a deal to expand their joint venture outside Japan.

In January 2015, UTC Building & Industrial Systems completed the acquisition of CIAT Group, a leading HVAC manufacturing company in France. In November, Lockheed Martin completed its $9.0 billion acquisition of Sikorsky Aircraft.

In February 2016, UTC subsidiary Carrier Air Conditioner announced to employees at its Indianapolis plant that Carrier is moving manufacturing to Mexico: “The best way to stay competitive and protect the business for long-term is to move production from our facility in Indianapolis to Monterrey, Mexico.” In December, Carrier agreed to keep the Indianapolis plant open, keeping 1,100 jobs in Indianapolis.

On September 4, 2017, proposed to acquire Rockwell Collins in cash and stock for $23 billion, $30 billion including Rockwell Collins' net debt, for $500+ million of synergies expected by year four.

Hartford's Gold Building served as UTC's headquarters from 1975–2015

Otis Elevator's former headquarters serve as UTC's headquarters since 2015

During the 2004 election cycle, UTC was the sixth largest defense industry donor to political campaigns, contributing a total of $789,561. Sixty-four percent of UTC's 2004 contributions went to Republicans. UTC was also the sixth largest donor to federal candidates and political parties in the 2006 election cycle. Thirty-five percent of those contributions went to Democrats; 53% of the funds were contributed to Republicans.

In 2005, United Technologies was among 53 entities that contributed the maximum of $250,000 to the second inauguration of President George W. Bush.

In 1981, a contribution from UTC made possible the exhibition "Paris/Magnum: Photographs 1935–1981", featuring photographs of Paris taken by photographers of Magnum Photos, the agency founded in 1947 by Robert Capa, George Rodger, Henri Cartier-Bresson, William Vandivert, and David Seymour. A volume of the same title, with text by Irwin Shaw and an introduction by Inge Morath, was also published in 1981.

UTC is the sponsor of the exhibition "Aphrodite and the Gods of Love" at Boston's Museum of Fine Arts that opened in fall 2011.

UTC and its subsidiaries are major contributors to museums such as the New England Air Museum.

Researchers at the University of Massachusetts Amherst have identified UTC as the 38th-largest corporate producer of air pollution in the United States as of 2008. UTC released roughly 110,000 pounds of toxic chemicals annually into the atmosphere including manganese, nickel, chromium and related compounds.

In the 2016 University of Massachusetts Amherst Toxic 100 Air Polluters Index, UTC was ranked 9th by a toxicity population exposure score. It was also reported they release 60,000 pounds of toxins into the air, the second lowest amount by the top 10 listed companies.

Q reports

Period Date Adjusted Actuals EPS GAAP EPS
Q4 2019 2020-01-28 1.94 1.32
Q3 2019 2019-10-22 2.21 1.33
Q2 2019 2019-07-23 2.20 2.20
Q1 2019 2019-04-23 1.91 1.56
Q4 2018 2019-01-23 1.95 0.83
Q3 2018 2018-10-23 1.93 1.54

Ratings

2016-07-09 Reiterated Rating Credit Suisse Group AG Hold
2016-07-05 Reiterated Rating Jefferies Group Buy
2016-06-14 Reiterated Rating RBC Capital Sector Perform $108.00
2016-06-14 Reiterated Rating Royal Bank Of Canada Sector Perform $108.00
2016-06-01 Downgrade Sterne Agee CRT Buy to Neutral
2016-05-05 Reiterated Rating Argus Buy
2016-05-03 Downgrade RBC Capital Outperform to Sector Perform $109.00 to $108.00
2016-05-02 Downgrade Goldman Sachs Buy to Neutral $103.00 to $107.00
2016-05-02 Downgrade Goldman Sachs Group Inc. Buy to Neutral $103.00 to $107.00
2016-03-28 Boost Price Target RBC Capital Outperform $129.00 to $132.00
2016-03-28 Boost Price Target Jefferies Group Buy $120.00 to $132.00
2016-03-21 Reiterated Rating Credit Suisse Neutral $102.00
2016-03-13 Reiterated Rating Deutsche Bank Hold $102.00
2016-03-13 Reiterated Rating Deutsche Bank AG Hold $102.00
2016-03-07 Lower Price Target Morgan Stanley Overweight $111.00 to $107.00
2016-02-26 Reiterated Rating Sterne Agee CRT Hold $100.00 to $115.00
2016-02-26 Reiterated Rating Cowen and Company Outperform $116.00
2016-02-26 Lower Price Target Goldman Sachs $106.00 to $103.00
2016-02-23 Reiterated Rating Sanford C. Bernstein Market Perform $104.00
2016-02-05 Lower Price Target JPMorgan Chase & Co. $104.00 to $100.00
2016-01-28 Lower Price Target Argus Buy $125.00 to $105.00
2016-01-28 Lower Price Target RBC Capital Sector Perform $104.00 to $100.00
2016-01-08 Downgrade Sanford C. Bernstein Outperform to Market Perform $116.00 to $104.00
2016-01-06 Downgrade Sterne Agee CRT Buy to Neutral $100.00
2015-12-14 Lower Price Target Credit Suisse Neutral $108.00 to $104.00
2015-12-14 Lower Price Target Credit Suisse Group AG Neutral $108.00 to $104.00
2015-12-13 Reiterated Rating RBC Capital Sector Perform $100.00 to $102.00
2015-12-11 Boost Price Target JPMorgan Chase & Co. Neutral $102.00 to $105.00
2015-12-10 Reiterated Rating Jefferies Group Buy $118.00
2015-11-30 Reiterated Rating Cowen and Company Outperform $116.00
2015-11-16 Reiterated Rating Credit Suisse Neutral $108.00
2015-10-21 Lower Price Target Morgan Stanley Overweight $109.00 to $108.00
2015-10-13 Downgrade RBC Capital Outperform to Sector Perform $113.00 to $100.00
2015-10-08 Initiated Coverage JPMorgan Chase & Co. Neutral $104.00
2015-10-07 Lower Price Target Morgan Stanley $113.00 to $109.00
2015-09-21 Reiterated Rating Deutsche Bank Hold $112.00 to $102.00
2015-09-20 Reiterated Rating Morgan Stanley Outperform
2015-09-10 Lower Price Target Citigroup Inc. Buy $119.00 to $107.00
2015-08-31 Reiterated Rating Cowen and Company Outperform $119.00 to $116.00
2015-08-31 Downgrade Barclays Overweight to Equal Weight $120.00 to $100.00
2015-08-31 Downgrade Barclays PLC Overweight to Equal Weight $120.00 to $100.00
2015-08-25 Reiterated Rating Deutsche Bank Hold $112.00
2015-07-23 Downgrade Tigress Financial Buy to Neutral
2015-07-23 Upgrade Cowen and Company Market Perform to Outperform $125.00 to $119.00
2015-07-22 Lower Price Target Sterne Agee CRT Buy $140.00 to $122.00
2015-07-22 Lower Price Target Jefferies Group Buy $137.50 to $118.00
2015-07-22 Lower Price Target Argus Buy $137.00 to $125.00
2015-07-22 Reiterated Rating Barclays Buy $130.00 to $120.00
2015-07-22 Lower Price Target Citigroup Inc. Buy $139.00 to $119.00
2015-07-22 Downgrade Atlantic Securities Overweight to Neutral $128.00 to $110.00
2015-07-22 Downgrade Deutsche Bank Buy to Hold $128.00 to $112.00
2015-07-22 Lower Price Target RBC Capital Outperform $141.00 to $114.00
2015-07-21 Upgrade S&P Equity Research Hold to Buy $134.00
2015-07-10 Reiterated Rating Deutsche Bank Buy $130.00 to $128.00
2015-06-24 Lower Price Target Credit Suisse Outperform $137.00 to $135.00
2015-05-23 Reiterated Rating Cowen and Company Market Perform $125.00
2015-05-04 Reiterated Rating Deutsche Bank Buy $130.00
2015-04-15 Boost Price Target Citigroup Inc. Buy $136.00 to $139.00
2015-03-13 Set Price Target Credit Suisse Buy $138.00
2015-03-05 Downgrade Standpoint Research Hold
2015-02-26 Boost Price Target RBC Capital Outperform $125.00 to $138.00
2015-02-12 Reiterated Rating Deutsche Bank Buy $130.00
2015-02-03 Boost Price Target Argus Buy $132.00 to $137.00
2015-01-27 Downgrade S&P Equity Research Hold
2015-01-23 Initiated Coverage Citigroup Inc. Buy $139.00
2015-01-20 Boost Price Target Barclays Overweight $117.00 to $135.00
2014-12-08 Reiterated Rating Jefferies Group Buy $120.00 to $124.00
2014-12-08 Upgrade Sanford C. Bernstein Market Perform to Outperform $119.00 to $133.00
2014-12-04 Reiterated Rating RBC Capital Outperform $123.00
2014-11-26 Reiterated Rating Scotiabank Buy
2014-11-25 Reiterated Rating S&P Equity Research Buy
2014-11-25 Upgrade Wells Fargo & Co. Market Perform to Outperform
2014-11-25 Upgrade Wells Fargo Market Perform to Outperform
2014-11-24 Initiated Coverage RBC Capital Outperform
2014-10-10 Initiated Coverage Morgan Stanley Buy
2014-10-10 Initiated Coverage Tigress Financial Buy
2014-10-09 Reiterated Rating Deutsche Bank Hold $130.00 to $120.00
2014-10-08 Reiterated Rating Jefferies Group Buy $132.00 to $120.00
2014-10-01 Reiterated Rating JPMorgan Chase & Co. Overweight $130.00 to $120.00
2014-09-26 Reiterated Rating Morgan Stanley Overweight $129.00 to $124.00
2014-09-25 Upgrade Scotiabank Buy
2014-09-17 Initiated Stifel Hold $118
2014-09-16 Initiated Coverage Stifel Nicolaus Hold $118.00
2014-09-10 Boost Price Target Sterne Agee CRT $8.00 to $120.00
2014-09-02 Lower Price Target RBC Capital $138.00 to $131.00
2014-08-12 Downgrade Cowen and Company Outperform to Market Perform $135.00 to $118.00
2014-07-23 Boost Price Target RBC Capital Outperform $132.00 to $138.00
2014-07-23 Lower Price Target Barclays Overweight $135.00 to $129.00
2014-07-23 Reiterated Rating Citigroup Inc. Neutral $125.00 to $123.00
2014-07-23 Reiterated Rating Bank of America Buy $130.00
2014-07-23 Downgrade Wells Fargo & Co. Outperform to Market Perform
2014-07-23 Downgrade Wells Fargo Outperform to Market Perform
2014-07-23 Reiterated Rating Bank of America Corp. Buy $130.00
2014-07-09 Reiterated Rating Deutsche Bank Buy $127.00 to $130.00
2014-07-09 Boost Price Target JPMorgan Chase & Co. $125.00 to $130.00
2014-06-19 Boost Price Target Morgan Stanley Overweight $129.00
2014-04-23 Reiterated Rating JPMorgan Chase & Co. Overweight $125.00
2014-04-23 Reiterated Rating Deutsche Bank Buy $127.00
2014-04-23 Boost Price Target Morgan Stanley Overweight $128.00
2014-04-23 Boost Price Target Cowen and Company $128.00 to $135.00
2014-04-23 Boost Price Target Barclays Overweight $131.00 to $135.00
2014-03-21 Upgrade Goldman Sachs Neutral to Buy $123.00 to $138.00
2014-03-18 Boost Price Target Morgan Stanley Overweight $123.00
2014-01-27 Upgrade Ned Davis Research Neutral to Buy
2014-01-24 Boost Price Target Argus Buy $120.00 to $128.00
2014-01-23 Boost Price Target Barclays Overweight $117.00 to $131.00
2014-01-23 Boost Price Target Deutsche Bank Buy $120.00 to $123.00
2014-01-23 Boost Price Target RBC Capital Outperform $129.00 to $132.00
2014-01-16 Reiterated Rating Morgan Stanley Overweight $121.00
2014-01-08 Downgrade Citigroup Inc. Buy to Neutral $124.00 to $125.00
2013-12-31 Boost Price Target FBR & Co. Market Perform $110.00 to $128.00
2013-12-16 Lower Price Target Morgan Stanley $119.00 to $118.00
2013-12-13 Boost Price Target RBC Capital Outperform $121.00 to $122.00
2013-12-13 Downgrade William Blair Outperform to Market Perform $116.00
2013-12-04 Reiterated Rating Sterne Agee CRT Buy $128.00 to $109.69
2013-11-13 Reiterated Rating RBC Capital Outperform $118.00
2013-11-06 Boost Price Target Argus Buy $120.00
2013-10-24 Reiterated Rating FBR & Co. Market Perform $110.00
2013-10-23 Boost Price Target Morgan Stanley Overweight $114.00 to $115.00
2013-10-23 Boost Price Target JPMorgan Chase & Co. Overweight $110.00 to $113.00
2013-10-02 Reiterated Rating RBC Capital Outperform $118.00
2013-09-30 Boost Price Target Credit Suisse Outperform $114.00 to $120.00
2013-01-31 Reiterated Argus Buy $92 to $100
2012-09-28 Downgrade Oppenheimer Outperform to Perform
2012-03-16 Reiterated Oppenheimer Outperform $85 to $100
2011-12-29 Downgrade Argus Buy to Hold
2016-07-09 Reiterated Rating Credit Suisse Group AG Hold
2016-07-05 Reiterated Rating Jefferies Group Buy
2016-06-14 Reiterated Rating RBC Capital Sector Perform $108.00
2016-06-14 Reiterated Rating Royal Bank Of Canada Sector Perform $108.00
2016-06-01 Downgrade Sterne Agee CRT Buy to Neutral

There is presents forecasts of rating agencies and recommendations for investors about this ticker

Major Shareholders

Name Relationship Total Shares Holding stocks