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TXT

TextronNYSE:TXT Stock Report

Market Cap

US$16.0b

7D

-3.5%

1Y

55.2%

Updated

26 Nov, 2021

Data

Company Financials +
TXT fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance4/6
Financial Health6/6
Dividends0/6

TXT Stock Overview

Textron Inc. operates in the aircraft, defense, industrial, and finance businesses worldwide.

Textron Competitors

Lockheed Martin

NYSE:LMT

US$94.5b

General Dynamics

NYSE:GD

US$53.9b

L3Harris Technologies

NYSE:LHX

US$42.2b

TransDigm Group

NYSE:TDG

US$31.0b

Price History & Performance

Summary of all time highs, changes and price drops for Textron
Historical stock prices
Current Share PriceUS$72.73
52 Week HighUS$78.13
52 Week LowUS$44.36
Beta1.75
1 Month Change2.81%
3 Month Change-0.22%
1 Year Change55.17%
3 Year Change29.55%
5 Year Change53.15%
Change since IPO1,063.68%

Recent News & Updates

Oct 11
Is It Time To Consider Buying Textron Inc. (NYSE:TXT)?

Is It Time To Consider Buying Textron Inc. (NYSE:TXT)?

Let's talk about the popular Textron Inc. ( NYSE:TXT ). The company's shares saw a double-digit share price rise of...

Sep 28
A Look At The Fair Value Of Textron Inc. (NYSE:TXT)

A Look At The Fair Value Of Textron Inc. (NYSE:TXT)

Today we will run through one way of estimating the intrinsic value of Textron Inc. ( NYSE:TXT ) by estimating the...

Sep 15
Does Textron (NYSE:TXT) Have A Healthy Balance Sheet?

Does Textron (NYSE:TXT) Have A Healthy Balance Sheet?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

TXTUS Aerospace & DefenseUS Market
7D-3.5%-1.8%-2.7%
1Y55.2%8.7%21.3%

Return vs Industry: TXT exceeded the US Aerospace & Defense industry which returned 8.7% over the past year.

Return vs Market: TXT exceeded the US Market which returned 21.3% over the past year.

Price Volatility

Is TXT's price volatile compared to industry and market?
TXT volatility
TXT Average Weekly Movement3.3%
Aerospace & Defense Industry Average Movement5.6%
Market Average Movement5.9%
10% most volatile stocks in US Market15.1%
10% least volatile stocks in US Market2.2%

Stable Share Price: TXT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: TXT's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192333,000Scott Donnellyhttps://www.textron.com

Textron Inc. operates in the aircraft, defense, industrial, and finance businesses worldwide. The company’s Textron Aviation segment manufactures, sells, and services business jets, turboprop and piston engine aircraft, and military trainer and defense aircraft; and commercial parts, as well as offers maintenance, inspection, and repair services. Its Bell segment supplies military and commercial helicopters, tiltrotor aircraft, and related spare parts and services.

Textron Fundamentals Summary

How do Textron's earnings and revenue compare to its market cap?
TXT fundamental statistics
Market CapUS$16.03b
Earnings (TTM)US$776.00m
Revenue (TTM)US$12.73b

20.7x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TXT income statement (TTM)
RevenueUS$12.73b
Cost of RevenueUS$10.67b
Gross ProfitUS$2.04b
ExpensesUS$1.26b
EarningsUS$776.00m

Last Reported Earnings

Oct 02, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.52
Gross Margin16.01%
Net Profit Margin6.10%
Debt/Equity Ratio62.5%

How did TXT perform over the long term?

See historical performance and comparison

Dividends

0.1%

Current Dividend Yield

2%

Payout Ratio

Does TXT pay a reliable dividends?

See TXT dividend history and benchmarks
When do you need to buy TXT by to receive an upcoming dividend?
Textron dividend dates
Ex Dividend DateDec 09 2021
Dividend Pay DateJan 01 2022
Days until Ex dividend11 days
Days until Dividend pay date34 days

Does TXT pay a reliable dividends?

See TXT dividend history and benchmarks

Valuation

Is Textron undervalued compared to its fair value and its price relative to the market?

16.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TXT ($72.73) is trading below our estimate of fair value ($87.15)

Significantly Below Fair Value: TXT is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TXT is poor value based on its PE Ratio (20.7x) compared to the US Aerospace & Defense industry average (18.7x).

PE vs Market: TXT is poor value based on its PE Ratio (20.7x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: TXT is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: TXT is good value based on its PB Ratio (2.7x) compared to the US Aerospace & Defense industry average (3.1x).


Future Growth

How is Textron forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

16.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TXT's forecast earnings growth (16.3% per year) is above the savings rate (2%).

Earnings vs Market: TXT's earnings (16.3% per year) are forecast to grow faster than the US market (14.3% per year).

High Growth Earnings: TXT's earnings are forecast to grow, but not significantly.

Revenue vs Market: TXT's revenue (7.4% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: TXT's revenue (7.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TXT's Return on Equity is forecast to be low in 3 years time (15.6%).


Past Performance

How has Textron performed over the past 5 years?

-5.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TXT has high quality earnings.

Growing Profit Margin: TXT's current net profit margins (6.1%) are higher than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: TXT's earnings have declined by 5.7% per year over the past 5 years.

Accelerating Growth: TXT's earnings growth over the past year (184.1%) exceeds its 5-year average (-5.7% per year).

Earnings vs Industry: TXT earnings growth over the past year (184.1%) exceeded the Aerospace & Defense industry 12.1%.


Return on Equity

High ROE: TXT's Return on Equity (12.9%) is considered low.


Financial Health

How is Textron's financial position?


Financial Position Analysis

Short Term Liabilities: TXT's short term assets ($8.1B) exceed its short term liabilities ($3.1B).

Long Term Liabilities: TXT's short term assets ($8.1B) exceed its long term liabilities ($6.2B).


Debt to Equity History and Analysis

Debt Level: TXT's net debt to equity ratio (29.9%) is considered satisfactory.

Reducing Debt: TXT's debt to equity ratio has reduced from 67.6% to 62.5% over the past 5 years.

Debt Coverage: TXT's debt is well covered by operating cash flow (46.2%).

Interest Coverage: TXT's interest payments on its debt are well covered by EBIT (7.6x coverage).


Balance Sheet


Dividend

What is Textron current dividend yield, its reliability and sustainability?

0.11%

Current Dividend Yield


Upcoming Dividend Payment

TodayNov 27 2021Ex Dividend DateDec 09 2021Dividend Pay DateJan 01 202223 days from Ex DividendBuy in the next 11 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TXT's dividend (0.11%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: TXT's dividend (0.11%) is low compared to the top 25% of dividend payers in the US market (3.58%).


Stability and Growth of Payments

Stable Dividend: TXT is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: TXT is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: TXT is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TXT's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.2yrs

Average management tenure


CEO

Scott Donnelly (59 yo)

11.92yrs

Tenure

US$17,770,781

Compensation

Mr. Scott C. Donnelly has been the Chairman, Chief Executive Officer, President and Director of Textron Inc. since September 1, 2010, December 1, 2009, January 2009 and October 2009 respectively. Mr. Donne...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD17.77M) is above average for companies of similar size in the US market ($USD11.11M).

Compensation vs Earnings: Scott's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TXT's management team is seasoned and experienced (6.2 years average tenure).


Board Members

Experienced Board: TXT's board of directors are considered experienced (7.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Textron Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Textron Inc.
  • Ticker: TXT
  • Exchange: NYSE
  • Founded: 1923
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: US$16.032b
  • Shares outstanding: 220.43m
  • Website: https://www.textron.com

Number of Employees


Location

  • Textron Inc.
  • 40 Westminster Street
  • Providence
  • Rhode Island
  • 2903
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/26 23:23
End of Day Share Price2021/11/26 00:00
Earnings2021/10/02
Annual Earnings2021/01/02


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.