Textron
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Textron Inc. operates in the aircraft, defense, industrial, and finance businesses worldwide. The last earnings update was 54 days ago. More info.
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TXT Share Price and Events
7 Day Returns
1 Year Returns
TXT Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Textron (TXT) | -0.6% | 0.3% | -5.3% | -27% | 26.8% | 25.8% |
| US Aerospace & Defense | -2.2% | 0.9% | 6% | 0.8% | 41.6% | 59% |
| US Market | 0.3% | 0.4% | 0.6% | 0.7% | 37.2% | 37.4% |
1 Year Return vs Industry and Market
- TXT underperformed the Aerospace & Defense industry which returned 0.8% over the past year.
- TXT underperformed the Market in United States of America which returned 0.7% over the past year.
TXT Value
Is Textron undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Textron
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Textron.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 10 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.2% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Aerospace & Defense Unlevered Beta | Simply Wall St/ S&P Global | 0.87 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.875 (1 + (1- 21%) (36.54%)) |
1.085 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.09 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.085 * 5.96%) |
9.2% |
Discounted Cash Flow Calculation for NYSE:TXT using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Textron is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9.2%) |
|
|---|---|---|---|
| 2019 | 727.80 | Analyst x5 | 666.50 |
| 2020 | 845.00 | Analyst x5 | 708.66 |
| 2021 | 944.00 | Analyst x4 | 725.01 |
| 2022 | 1,024.91 | Est @ 8.57% | 720.86 |
| 2023 | 1,094.80 | Est @ 6.82% | 705.16 |
| 2024 | 1,156.03 | Est @ 5.59% | 681.88 |
| 2025 | 1,210.75 | Est @ 4.73% | 654.01 |
| 2026 | 1,260.79 | Est @ 4.13% | 623.68 |
| 2027 | 1,307.58 | Est @ 3.71% | 592.35 |
| 2028 | 1,352.27 | Est @ 3.42% | 561.00 |
| Present value of next 10 years cash flows | $6,639.11 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $1,352.27 × (1 + 2.73%) ÷ (9.2% – 2.73%) |
$21,481.80 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $21,481.80 ÷ (1 + 9.2%)10 |
$8,911.93 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $6,639.11 + $8,911.93 |
$15,551.05 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $15,551.05 / 232.76 |
$66.81 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $66.81 |
| Current discount | Discount to share price of
$49.27
= -1 x ($49.27 - $66.81) / $66.81 |
26.3% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Textron's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Textron's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Textron's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Textron's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-30) in USD | $4.97 |
| NYSE:TXT Share Price ** | NYSE (2019-06-17) in USD | $49.27 |
| United States of America Aerospace & Defense Industry PE Ratio | Median Figure of 38 Publicly-Listed Aerospace & Defense Companies | 22.79x |
| United States of America Market PE Ratio | Median Figure of 3,093 Publicly-Listed Companies | 17.68x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Textron.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:TXT Share Price ÷ EPS (both in USD) = 49.27 ÷ 4.97 |
9.91x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Textron is good value based on earnings compared to the US Aerospace & Defense industry average.
- Textron is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Textron's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 9.91x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts |
1.3%per year |
| United States of America Aerospace & Defense Industry PEG Ratio | Median Figure of 33 Publicly-Listed Aerospace & Defense Companies | 1.92x |
| United States of America Market PEG Ratio | Median Figure of 2,125 Publicly-Listed Companies | 1.52x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 9.91x ÷ 1.3% |
7.53x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Textron is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Textron's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-30) in USD | $22.49 |
| NYSE:TXT Share Price * | NYSE (2019-06-17) in USD | $49.27 |
| United States of America Aerospace & Defense Industry PB Ratio | Median Figure of 55 Publicly-Listed Aerospace & Defense Companies | 2.69x |
| United States of America Market PB Ratio | Median Figure of 5,245 Publicly-Listed Companies | 1.79x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:TXT Share Price ÷ Book Value per Share (both in USD) = 49.27 ÷ 22.49 |
2.19x |
* Primary Listing of Textron.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Textron is good value based on assets compared to the US Aerospace & Defense industry average.
Value checks
We assess Textron's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Aerospace & Defense industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Aerospace & Defense industry average (and greater than 0)? (1 check) Textron has a total score of 4/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
TXT Future Performance
How is Textron expected to perform in the next 1 to 3 years based on estimates from 10 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Textron's earnings growth is positive but not above the low risk savings rate of 2.7%.
Growth vs Market Checks
- Textron's earnings growth is positive but not above the United States of America market average.
- Textron's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:TXT Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts | 1.3% |
| NYSE:TXT Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts | 3.6% |
| United States of America Aerospace & Defense Industry Earnings Growth Rate | Market Cap Weighted Average | 10.6% |
| United States of America Aerospace & Defense Industry Revenue Growth Rate | Market Cap Weighted Average | 5.1% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.8% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.3% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 10 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 14,985 | 1,254 | 975 | 8 |
| 2020-12-31 | 14,525 | 1,167 | 907 | 10 |
| 2019-12-31 | 13,935 | 1,108 | 861 | 10 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-30 | 13,785 | 976 | 1,212 |
| 2018-12-29 | 13,972 | 1,107 | 1,222 |
| 2018-09-29 | 14,239 | 1,291 | 870 |
| 2018-06-30 | 14,523 | 1,089 | 466 |
| 2018-03-31 | 14,401 | 1,067 | 395 |
| 2017-12-30 | 14,198 | 936 | 306 |
| 2017-09-30 | 14,006 | 1,210 | 627 |
| 2017-07-01 | 13,773 | 1,287 | 767 |
| 2017-04-01 | 13,680 | 946 | 792 |
| 2016-12-31 | 13,788 | 925 | 843 |
| 2016-10-01 | 13,886 | 818 | 853 |
| 2016-07-02 | 13,815 | 857 | 730 |
| 2016-04-02 | 13,551 | 961 | 721 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 10 Analyst Estimates (S&P Global) | See Below |
All data from Textron Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 4.59 | 4.83 | 4.30 | 4.00 |
| 2020-12-31 | 4.10 | 4.20 | 3.90 | 6.00 |
| 2019-12-31 | 3.71 | 3.80 | 3.65 | 6.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-30 | 4.97 |
| 2018-12-29 | 4.88 |
| 2018-09-29 | 3.40 |
| 2018-06-30 | 1.79 |
| 2018-03-31 | 1.50 |
| 2017-12-30 | 1.15 |
| 2017-09-30 | 2.34 |
| 2017-07-01 | 2.84 |
| 2017-04-01 | 2.93 |
| 2016-12-31 | 3.11 |
| 2016-10-01 | 3.14 |
| 2016-07-02 | 2.67 |
| 2016-04-02 | 2.62 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Textron's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Textron has a total score of 0/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
TXT Past Performance
How has Textron performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Textron's year on year earnings growth rate has been positive over the past 5 years.
- Textron's 1-year earnings growth exceeds its 5-year average (207.6% vs 9.2%)
- Textron's earnings growth has exceeded the US Aerospace & Defense industry average in the past year (207.6% vs 31.1%).
Earnings and Revenue History
All data from Textron Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-30 | 13,785.00 | 1,212.00 | 1,169.00 | |
| 2018-12-29 | 13,972.00 | 1,222.00 | 1,199.00 | |
| 2018-09-29 | 14,239.00 | 870.00 | 1,286.00 | |
| 2018-06-30 | 14,523.00 | 466.00 | 1,326.00 | |
| 2018-03-31 | 14,401.00 | 395.00 | 1,312.00 | |
| 2017-12-30 | 14,198.00 | 306.00 | 1,305.00 | |
| 2017-09-30 | 14,006.00 | 627.00 | 1,321.00 | |
| 2017-07-01 | 13,773.00 | 767.00 | 1,316.00 | |
| 2017-04-01 | 13,680.00 | 792.00 | 1,297.00 | |
| 2016-12-31 | 13,788.00 | 843.00 | 1,278.00 | |
| 2016-10-01 | 13,886.00 | 853.00 | 1,284.00 | |
| 2016-07-02 | 13,815.00 | 730.00 | 1,264.00 | |
| 2016-04-02 | 13,551.00 | 721.00 | 1,275.00 | |
| 2016-01-02 | 13,423.00 | 698.00 | 1,304.00 | |
| 2015-10-03 | 13,596.00 | 686.00 | 1,371.00 | |
| 2015-07-04 | 13,846.00 | 670.00 | 1,372.00 | |
| 2015-04-04 | 14,104.00 | 646.00 | 1,396.00 | |
| 2015-01-03 | 13,878.00 | 605.00 | 1,361.00 | |
| 2014-09-27 | 13,288.00 | 563.00 | 1,265.00 | |
| 2014-06-28 | 12,762.00 | 501.00 | 1,206.00 | |
| 2014-03-29 | 12,096.00 | 470.00 | 1,121.00 | |
| 2013-12-28 | 12,104.00 | 498.00 | 1,098.00 | |
| 2013-09-28 | 11,960.00 | 473.00 | 1,105.00 | |
| 2013-06-29 | 12,056.00 | 517.00 | 1,124.00 | |
| 2013-03-30 | 12,236.00 | 576.00 | 1,132.00 | |
| 2012-12-29 | 12,237.00 | 581.00 | 1,165.00 | |
| 2012-09-29 | 12,129.00 | 418.00 | 1,185.00 | |
| 2012-06-30 | 11,943.00 | 412.00 | 1,172.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Textron has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
- Textron used its assets more efficiently than the US Aerospace & Defense industry average last year based on Return on Assets.
- Textron has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Textron's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Aerospace & Defense industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Textron has a total score of 6/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
TXT Health
How is Textron's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Textron's finances.
The net worth of a company is the difference between its assets and liabilities.
- Textron is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Textron's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Textron Company Filings, last reported 2 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-30 | 5,233.00 | 4,190.00 | 646.00 |
| 2018-12-29 | 5,192.00 | 3,784.00 | 987.00 |
| 2018-09-29 | 5,543.00 | 3,866.00 | 1,150.00 |
| 2018-06-30 | 5,362.00 | 3,888.00 | 554.00 |
| 2018-03-31 | 5,692.00 | 3,918.00 | 688.00 |
| 2017-12-30 | 5,647.00 | 3,912.00 | 1,079.00 |
| 2017-09-30 | 5,818.00 | 4,283.00 | 1,104.00 |
| 2017-07-01 | 5,682.00 | 4,004.00 | 938.00 |
| 2017-04-01 | 5,582.00 | 4,115.00 | 858.00 |
| 2016-12-31 | 5,574.00 | 3,680.00 | 1,137.00 |
| 2016-10-01 | 5,651.00 | 3,822.00 | 589.00 |
| 2016-07-02 | 5,186.00 | 3,912.00 | 661.00 |
| 2016-04-02 | 4,989.00 | 3,997.00 | 723.00 |
| 2016-01-02 | 4,964.00 | 3,610.00 | 946.00 |
| 2015-10-03 | 4,696.00 | 3,772.00 | 497.00 |
| 2015-07-04 | 4,602.00 | 3,884.00 | 661.00 |
| 2015-04-04 | 4,390.00 | 3,845.00 | 561.00 |
| 2015-01-03 | 4,272.00 | 3,874.00 | 731.00 |
| 2014-09-27 | 4,572.00 | 3,971.00 | 430.00 |
| 2014-06-28 | 4,578.00 | 4,261.00 | 680.00 |
| 2014-03-29 | 4,363.00 | 4,477.00 | 682.00 |
| 2013-12-28 | 4,384.00 | 3,187.00 | 1,163.00 |
| 2013-09-28 | 3,580.00 | 3,304.00 | 444.00 |
| 2013-06-29 | 3,380.00 | 3,615.00 | 459.00 |
| 2013-03-30 | 3,148.00 | 3,740.00 | 701.00 |
| 2012-12-29 | 2,991.00 | 3,995.00 | 1,378.00 |
| 2012-09-29 | 3,308.00 | 4,082.00 | 1,232.00 |
| 2012-06-30 | 3,102.00 | 4,135.00 | 898.00 |
- Textron's level of debt (74.3%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (102.4% vs 74.3% today).
- Debt is well covered by operating cash flow (25.1%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 8.4x coverage).
Financial health checks
We assess Textron's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Textron has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
TXT Dividends
What is Textron's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Textron
shares you are expected to receive
$3
in your first year as a dividend.
Dividend Amount
- Textron's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.46%).
- Textron's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 10 Analyst Estimates (S&P Global) | See Below |
| United States of America Aerospace & Defense Industry Average Dividend Yield | Market Cap Weighted Average of 22 Stocks | 1.9% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2011 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.5% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | 0.08 | 4.00 |
| 2020-12-31 | 0.08 | 6.00 |
| 2019-12-31 | 0.08 | 6.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-04-24 | 0.080 | 0.161 |
| 2019-02-27 | 0.080 | 0.154 |
| 2018-10-24 | 0.080 | 0.154 |
| 2018-07-24 | 0.080 | 0.118 |
| 2018-04-25 | 0.080 | 0.121 |
| 2018-02-28 | 0.080 | 0.135 |
| 2017-10-25 | 0.080 | 0.142 |
| 2017-07-25 | 0.080 | 0.157 |
| 2017-04-26 | 0.080 | 0.169 |
| 2017-02-22 | 0.080 | 0.169 |
| 2016-10-26 | 0.080 | 0.172 |
| 2016-07-26 | 0.080 | 0.202 |
| 2016-04-27 | 0.080 | 0.210 |
| 2016-02-24 | 0.080 | 0.222 |
| 2015-10-21 | 0.080 | 0.207 |
| 2015-07-21 | 0.080 | 0.198 |
| 2015-04-22 | 0.080 | 0.178 |
| 2015-02-25 | 0.080 | 0.179 |
| 2014-10-22 | 0.080 | 0.189 |
| 2014-07-22 | 0.080 | 0.218 |
| 2014-04-23 | 0.080 | 0.205 |
| 2014-02-26 | 0.080 | 0.206 |
| 2013-10-23 | 0.080 | 0.238 |
| 2013-07-23 | 0.080 | 0.287 |
| 2013-04-24 | 0.080 | 0.298 |
| 2013-02-27 | 0.080 | 0.276 |
| 2012-10-24 | 0.080 | 0.310 |
| 2012-07-24 | 0.080 | 0.303 |
| 2012-04-25 | 0.080 | 0.329 |
| 2012-02-22 | 0.080 | 0.294 |
| 2011-10-26 | 0.080 | 0.393 |
| 2011-07-26 | 0.080 | 0.456 |
| 2011-04-27 | 0.080 | 0.346 |
| 2011-02-23 | 0.080 | 0.300 |
| 2010-10-27 | 0.080 | 0.333 |
| 2010-07-29 | 0.080 | 0.406 |
| 2010-04-28 | 0.080 | 0.405 |
| 2010-02-24 | 0.080 | 0.365 |
| 2009-10-21 | 0.080 | 0.405 |
| 2009-07-22 | 0.080 | 0.495 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Textron is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
- Textron is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Income/ dividend checks
We assess Textron's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Textron afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Textron has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
TXT Management
CEO
| COMPENSATION | $13,948,917 |
| AGE | 56 |
| TENURE AS CEO | 9.5 years |
CEO Bio
Mr. Scott C. Donnelly has been the Chairman, Chief Executive Officer and President of Textron Inc. since September 1, 2010, December 1, 2009 and January 2009 respectively. Mr. Donnelly serves Co-President of Textron Systems Corporation. He has more than two decades of business experience in innovation, manufacturing, sales and marketing, and business processes. He served as the Chief Operating Officer of Bell Helicopter Textron Inc. He served as Senior Vice President of GE Global Research. He served as the Chief Operating Officer of Textron Financial Corp. since June 2008. He served as the Chief Operating Officer of Textron Inc. since June 2008 until December 2009 and also served as its Executive Vice President from June 2008 to January 2009. He served as the Chief Executive Officer and President of Aviation for GE Infrastructure Aviation, Inc., since July 2005. He served as the President and Chief Executive Officer of Aviation at GE Infrastructure, Inc. He served as an Executive Officer of GEFS (Suisse) AG since August 2000. He serves as Unit President and Chief Executive Officer of General Electric Capital Corp. He served as Chief Executive Officer and President of GE Aviation Systems LLC and GE Aviation. He served as Senior Vice President of Global, Corporate Research and Development of General Electric Company, holding company of GEFS (Suisse) AG. Mr. Donnelly served as Vice President of Commercial Engines for GE Aviation since 2003. He served as General Manager of the small commercial engine operation of GE Aviation. He joined GE in 1980 as a Product engineer and spent 15 years in design and development of GE's commercial and military engines. He also held positions in customer and product support and in quality. He served as Senior Vice President, GE Aviation of General Electric Co. He served as Senior Vice President of Global Research at General Electric Co., one of the world's largest and most diversified industrial research organizations, with facilities in the United States, India, China and Germany. He served as Vice President, Global Technology Operations for GE Medical Systems in 1997. Mr. Donnelly served as Vice President of General Electric since 1997 and was responsible for Global Technology Operations at GE Healthcare. He joined GE in 1989 as Manager of Electronics Design Engineering for GE's Ocean Systems Division in Syracuse, NY. He served in leadership roles for the GE, including engineering management positions with then-GE division of Martin Marietta in both Australia and the US. In 1995, Mr. Donnelly moved to GE's Industrial Control Systems business, where he held leadership positions as Manager of Technology and System Development. He started his career in the aerospace and semiconductor industries as a Design engineer developing advanced computer architecture for special purpose processors and systems. He joined GE Aerospace in Syracuse, New York, in 1989 and led large engineering organizations in the Ocean, Radar and Sensor Systems business. In 1995, he transferred to GE Industrial Systems, where he became General Manager, Industrial System Technology. He served as the Chairman of Board of Governors at Aerospace Industries Association from January 2010 to December 31, 2010. Mr. Donnelly served as a Member of Board of Governors at Aerospace Industries Association. He serves as a Member of the Board of Trustees of Siena College and the Board of Directors of the United Way of Greater Cincinnati. He has been a Director of Textron Inc. since October 2009. He has been an Independent Director of Medtronic plc since 2013 and serves as its Lead Independent Director since July 1, 2017. He served as a Director of Medtronic, Inc., since July 1, 2013 until January 26, 2015. He served as a Director of GE Global Research, Inc. He served as a Director of General Electric Capital Corporation. He serves on the Industrial Advisory Committee of several engineering colleges, the Research Foundation of the Medical College of Wisconsin and the Center for Innovation in Minimally Invasive Therapy at Massachusetts General Hospital. He serves on the Engineering Advisory Committees at Colorado, Stanford and Cornell Universities and is a member of the NIST Visiting Committee on Advanced Technology. Mr. Donnelly attended the University of Colorado and graduated with a Bachelors degree in Electrical and Computer engineering in 1984.
CEO Compensation
- Scott's compensation has been consistent with company performance over the past year, both up more than 20%.
- Scott's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Textron management team in years:
- The tenure for the Textron management team is about average.
Management Team
Scott Donnelly
Chairman
$14M
56
9.5 yrs
Frank Connor
Executive VP & CFO
$5M
58
9.8 yrs
Bob Lupone
Executive VP
$3M
58
7.3 yrs
Julie Duffy
Executive Vice President of Human Resources
$2M
52
1.9 yrs
Mark Bamford
VP, Corporate Controller & Principal Accounting Officer
54
Kimberly Mackenroth
Vice President & Chief Information Officer
1.4 yrs
Eric Salander
Vice President of Investor Relations & Treasurer
2.5 yrs
James Takats
Senior Vice President of Global Simulation & Training Strategy TRU Simulation + Training Inc
3.8 yrs
Stewart Holmes
Senior Vice President of Washington Operations
2.3 yrs
Ee Soon-Kiong
President of Textron China
16.3 yrs
Board of Directors Tenure
Average tenure and age of the Textron board of directors in years:
- The average tenure for the Textron board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors
Scott Donnelly
Chairman
$14M
56
8.8 yrs
Ronal Clark
Independent Director
$298K
65
15.7 yrs
Jim Ziemer
Independent Director
$277K
68
12.3 yrs
James Conway
Independent Director
$284K
70
8.2 yrs
Paul Gagné
Lead Director
$295K
71
1.2 yrs
Larry Fish
Independent Director
$269K
73
20.4 yrs
Kathleen Bader
Independent Director
$292K
67
15.4 yrs
Lloyd Trotter
Independent Director
$286K
72
11.3 yrs
Maria Zuber
Director
$260K
60
2.6 yrs
Ralph Heath
Director
$275K
69
2.4 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess Textron's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Textron has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
TXT News
Simply Wall St News
Do Institutions Own Shares In Textron Inc. (NYSE:TXT)?
As you can see, institutional investors own 86% of Textron. … Insider Ownership Of Textron The definition of an insider can differ slightly between different countries, but members of the board of directors always count. … It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.
Simply Wall St - – Full articleTextron Inc. (NYSE:TXT): Time For A Financial Health Check
With this increase in debt, the current cash and short-term investment levels stands at US$646m to keep the business going. … Moreover, TXT has produced cash from operations of US$976m over the same time period, leading to an operating cash to total debt ratio of 23%, indicating that TXT’s current level of operating cash is high enough to cover debt. … Next Steps: TXT’s debt and cash flow levels indicate room for improvement.
Simply Wall St - – Full articleThe Textron (NYSE:TXT) Share Price Is Up 38% And Shareholders Are Holding On
Textron was able to grow its EPS at 24% per year over three years, sending the share price higher. … This EPS growth is higher than the 11% average annual increase in the share price. … Before deciding if you like the current share price, check how Textron scores on these 3 valuation metrics.
Simply Wall St - – Full articleA Closer Look At Textron Inc.'s (NYSE:TXT) Impressive ROE
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.23 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleA Look At The Intrinsic Value Of Textron Inc. (NYSE:TXT)
I will be using the Discounted Cash Flow (DCF) model. … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model? … We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows
Simply Wall St - – Full articleWhat Should You Know About Textron Inc.'s (NYSE:TXT) Future?
Based on Textron Inc.'s (NYSE:TXT) earnings update in December 2018, … with earnings expected to decline by -30% in the upcoming year
Simply Wall St - – Full articleWhy Textron Inc. (NYSE:TXT) Could Be Worth Watching
As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … However, could the stock still be trading at a relatively cheap price … Let’s examine Textron’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.
Simply Wall St - – Full articleDoes Textron Inc.'s (NYSE:TXT) P/E Ratio Signal A Buying Opportunity?
The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … Textron has a price to earnings ratio of 10.53, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleWhy Textron Inc. (NYSE:TXT) Could Have A Place In Your Portfolio
Looking at the company as a whole, as a potential stock investment, I believe TXT has a lot to offer. … is a company with great financial health as well as a. … Below, I've touched on some key aspects you should know on a high level
Simply Wall St - – Full articleWas Textron Inc's (NYSE:TXT) Earnings Growth Better Than The Industry's?
For investors with a long-term horizon, assessing earnings trend over time and against industry benchmarks is more valuable than looking at a single earnings announcement in one point in time. … TXT's trailing twelve-month earnings (from 29 September 2018) of US$870m has. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 3.6%, indicating the rate at which TXT is growing has accelerated
Simply Wall St - – Full articleTXT Company Info
Description
Textron Inc. operates in the aircraft, defense, industrial, and finance businesses worldwide. The company’s Textron Aviation segment manufactures and sells business jets, turboprop and piston engine aircraft, and military trainer and defense aircraft; and commercial parts, as well as provides maintenance, inspection, and repair services. Its Bell segment provides military and commercial helicopters, tiltrotor aircraft, and related spare parts and services. The company’s Textron Systems segment offers unmanned, marine, and land systems; simulation, training, and other defense and aviation mission support products and systems; airborne and ground-based sensors and surveillance systems, and protection systems; precision guided weapons systems; armored vehicles, turrets, and related subsystems, as well as marine craft; test equipment and electronic warfare test, and training solutions; piston aircraft engines; and intelligence software solutions. This segment also designs, develops, manufactures, installs, and maintains full flight simulators; and offers logistics support services. Its Industrial segment offers blow-molded plastic fuel systems and fuel systems, including pressurized fuel tanks for hybrid applications, clear-vision systems, catalytic reduction systems, cast iron engine components, and other fuel system components primarily to automobile OEMs, as well as plastic bottles and containers for various uses; golf cars, off-road utility vehicles, recreational side-by-side and all-terrain vehicles, snowmobiles, light transportation vehicles, aviation ground support equipment, professional turf-maintenance equipment, and turf-care vehicles that are marketed to golf courses and resorts, government agencies and municipalities, consumers, and commercial and industrial users. The company’s Finance segment provides financing to purchase new and pre-owned aircraft and helicopters. Textron Inc. was founded in 1923 and is headquartered in Providence, Rhode Island.
Details
| Name: | Textron Inc. |
| TXT | |
| Exchange: | NYSE |
| Founded: | 1923 |
| $11,468,196,599 | |
| 232,762,261 | |
| Website: | http://www.textron.com |
| Address: |
Textron Inc. 40 Westminster Street, Providence, Rhode Island, 02903, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | TXT | Common Stock | New York Stock Exchange | US | USD | 02. Jan 1968 | |
| DB | TXT | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1968 | |
| LSE | 0LF0 | Common Stock | London Stock Exchange | GB | USD | 02. Jan 1968 | |
| BMV | TXT * | Common Stock | Bolsa Mexicana de Valores | MX | MXN | 02. Jan 1968 |
Number of employees
Current staff
Industry
| Aerospace and Defense | |
| Capital Goods |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/06/17 23:45 |
| End of day share price update: | 2019/06/17 00:00 |
| Last estimates confirmation: | 2019/06/08 |
| Last earnings filing: | 2019/04/24 |
| Last earnings reported: | 2019/03/30 |
| Last annual earnings reported: | 2018/12/29 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
