Shares of Raytheon were gaining 0.1% to $103.65 in morning trading.
The analyst firm raised its revenue estimates for the aerospace company's Intelligence and Information Systems segment by about $150 million for 2015 and about $160 million in 2016.
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"We figure that amortization expense and the short term cost of funds offset any operating contribution to 2015 results," analysts Howard A. Rubel, Sheila Kahyaoglu, and Greg Konrad wrote. "The business should make a modest contribution to the bottom line in 2016. We have also assumed a somewhat smaller share count for 2015 and 2016 than in prior models."
The analysts also noted that Raytheon is on track to repurchase more than $900 million in stock in 2014.
Separately, TheStreet Ratings team rates RAYTHEON CO as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate RAYTHEON CO (RTN) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."