(TXT) Textron - Ratings and Ratios
Aircraft, Helicopters, Defense Systems, Industrial Products, Finance Services
TXT EPS (Earnings per Share)
TXT Revenue
Description: TXT Textron
Textron Inc. is a diversified conglomerate with a presence in the aerospace, defense, industrial, and finance sectors globally, operating through six distinct business segments. The companys diversified portfolio includes the manufacture and sale of aircraft, helicopters, and related parts and services, as well as industrial products such as golf cars and turf-care vehicles. Its business segments cater to a wide range of customers, including military and commercial aviation, automobile OEMs, and consumers.
From a strategic perspective, Textrons business is well-positioned to capitalize on the growing demand for sustainable aviation solutions, with its Textron eAviation segment focusing on electric and hybrid-electric propulsion systems. Additionally, the companys Finance segment provides financing options for customers purchasing its aircraft and helicopters, supporting revenue growth. Key performance indicators (KPIs) to watch include revenue growth, segment-wise profit margins, and return on equity (ROE), which currently stands at 11.74%. Other relevant KPIs include debt-to-equity ratio and interest coverage ratio, which can provide insights into the companys capital structure and ability to service its debt.
The companys diversified business model and presence in various end-markets provide a degree of stability and resilience, although its exposure to the defense sector may be subject to fluctuations in government spending. Key drivers of future growth include the demand for business jets, helicopters, and other industrial products, as well as the success of its sustainable aviation initiatives. With a market capitalization of $14.8 billion and a forward P/E ratio of 13.25, Textrons valuation appears reasonable compared to its peers in the aerospace and defense industry.
To further analyze Textrons potential, it is essential to monitor its order backlog, which can provide insights into future revenue visibility. Additionally, tracking the companys research and development (R&D) expenses can help assess its commitment to innovation and staying ahead of the competition. Other relevant metrics include the companys cash conversion cycle and working capital management, which can impact its liquidity and ability to invest in growth initiatives.
TXT Stock Overview
| Market Cap in USD | 14,493m |
| Sub-Industry | Aerospace & Defense |
| IPO / Inception | 1984-10-24 |
TXT Stock Ratings
| Growth Rating | 21.3% |
| Fundamental | 63.5% |
| Dividend Rating | 23.0% |
| Return 12m vs S&P 500 | -21.2% |
| Analyst Rating | 3.78 of 5 |
TXT Dividends
| Dividend Yield 12m | 0.10% |
| Yield on Cost 5y | 0.21% |
| Annual Growth 5y | 0.00% |
| Payout Consistency | 73.5% |
| Payout Ratio | 1.4% |
TXT Growth Ratios
| Growth Correlation 3m | 7.1% |
| Growth Correlation 12m | -30.9% |
| Growth Correlation 5y | 72.9% |
| CAGR 5y | 10.57% |
| CAGR/Max DD 3y | 0.28 |
| CAGR/Mean DD 3y | 1.11 |
| Sharpe Ratio 12m | -0.15 |
| Alpha | 0.02 |
| Beta | 0.646 |
| Volatility | 23.61% |
| Current Volume | 2065.8k |
| Average Volume 20d | 1137.6k |
| Stop Loss | 80.2 (-3%) |
| Signal | -0.13 |
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (816.0m TTM) > 0 and > 6% of Revenue (6% = 843.7m TTM) |
| FCFTA 0.03 (>2.0%) and ΔFCFTA -1.41pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 25.96% (prev 25.31%; Δ 0.66pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.05 (>3.0%) and CFO 917.0m > Net Income 816.0m (YES >=105%, WARN >=100%) |
| Net Debt (2.30b) to EBITDA (1.43b) ratio: 1.61 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.84 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (182.4m) change vs 12m ago -4.94% (target <= -2.0% for YES) |
| Gross Margin 19.46% (prev 17.70%; Δ 1.76pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 83.94% (prev 84.60%; Δ -0.65pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 9.26 (EBITDA TTM 1.43b / Interest Expense TTM 112.0m) >= 6 (WARN >= 3) |
Altman Z'' 3.62
| (A) 0.21 = (Total Current Assets 8.01b - Total Current Liabilities 4.36b) / Total Assets 17.08b |
| (B) 0.35 = Retained Earnings (Balance) 6.05b / Total Assets 17.08b |
| (C) 0.06 = EBIT TTM 1.04b / Avg Total Assets 16.75b |
| (D) 0.61 = Book Value of Equity 5.91b / Total Liabilities 9.64b |
| Total Rating: 3.62 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 63.52
| 1. Piotroski 6.0pt = 1.0 |
| 2. FCF Yield 3.34% = 1.67 |
| 3. FCF Margin 3.99% = 1.00 |
| 4. Debt/Equity 0.50 = 2.38 |
| 5. Debt/Ebitda 2.61 = -1.14 |
| 6. ROIC - WACC (= 1.51)% = 1.89 |
| 7. RoE 11.31% = 0.94 |
| 8. Rev. Trend 38.99% = 2.92 |
| 9. EPS Trend 57.18% = 2.86 |
What is the price of TXT shares?
Over the past week, the price has changed by +2.11%, over one month by +4.63%, over three months by +7.64% and over the past year by -6.65%.
Is Textron a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of TXT is around 80.27 USD . This means that TXT is currently overvalued and has a potential downside of -2.95%.
Is TXT a buy, sell or hold?
- Strong Buy: 7
- Buy: 2
- Hold: 8
- Sell: 0
- Strong Sell: 1
What are the forecasts/targets for the TXT price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 91.8 | 11% |
| Analysts Target Price | 91.8 | 11% |
| ValueRay Target Price | 88.2 | 6.7% |
Last update: 2025-09-06 04:50
TXT Fundamental Data Overview
CCE Cash And Equivalents = 1.43b USD (last quarter)
P/E Trailing = 17.9536
P/E Forward = 11.5207
P/S = 1.0307
P/B = 1.9108
P/EG = 0.8293
Beta = 1.146
Revenue TTM = 14.06b USD
EBIT TTM = 1.04b USD
EBITDA TTM = 1.43b USD
Long Term Debt = 3.38b USD (from longTermDebt, last quarter)
Short Term Debt = 356.0m USD (from shortTermDebt, last quarter)
Debt = 3.73b USD (Calculated: Short Term 356.0m + Long Term 3.38b)
Net Debt = 2.30b USD (from netDebt column, last quarter)
Enterprise Value = 16.79b USD (14.49b + Debt 3.73b - CCE 1.43b)
Interest Coverage Ratio = 9.26 (Ebit TTM 1.04b / Interest Expense TTM 112.0m)
FCF Yield = 3.34% (FCF TTM 561.0m / Enterprise Value 16.79b)
FCF Margin = 3.99% (FCF TTM 561.0m / Revenue TTM 14.06b)
Net Margin = 5.80% (Net Income TTM 816.0m / Revenue TTM 14.06b)
Gross Margin = 19.46% ((Revenue TTM 14.06b - Cost of Revenue TTM 11.33b) / Revenue TTM)
Tobins Q-Ratio = 2.84 (Enterprise Value 16.79b / Book Value Of Equity 5.91b)
Interest Expense / Debt = 0.83% (Interest Expense 31.0m / Debt 3.73b)
Taxrate = 12.51% (118.0m / 943.0m)
NOPAT = 907.2m (EBIT 1.04b * (1 - 12.51%))
Current Ratio = 1.84 (Total Current Assets 8.01b / Total Current Liabilities 4.36b)
Debt / Equity = 0.50 (Debt 3.73b / last Quarter total Stockholder Equity 7.43b)
Debt / EBITDA = 2.61 (Net Debt 2.30b / EBITDA 1.43b)
Debt / FCF = 6.66 (Debt 3.73b / FCF TTM 561.0m)
Total Stockholder Equity = 7.22b (last 4 quarters mean)
RoA = 4.78% (Net Income 816.0m, Total Assets 17.08b )
RoE = 11.31% (Net Income TTM 816.0m / Total Stockholder Equity 7.22b)
RoCE = 9.79% (Ebit 1.04b / (Equity 7.22b + L.T.Debt 3.38b))
RoIC = 8.34% (NOPAT 907.2m / Invested Capital 10.88b)
WACC = 6.83% (E(14.49b)/V(18.23b) * Re(8.40%)) + (D(3.73b)/V(18.23b) * Rd(0.83%) * (1-Tc(0.13)))
Shares Correlation 3-Years: -100.00 | Cagr: -1.41%
Discount Rate = 8.40% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 73.91% ; FCFE base≈645.0m ; Y1≈537.6m ; Y5≈396.1m
Fair Price DCF = 38.33 (DCF Value 6.83b / Shares Outstanding 178.2m; 5y FCF grow -20.11% → 3.0% )
EPS Correlation: 57.18 | EPS CAGR: 14.82% | SUE: 0.88 | # QB: 2
Revenue Correlation: 38.99 | Revenue CAGR: 7.09% | SUE: 1.34 | # QB: 1
Additional Sources for TXT Stock
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