Brandes Investment Partners LP Cuts Stake in Textron Inc. $TXT

Key Points

• Brandes Investment Partners LP cut its Textron stake by 4.6% in the fourth quarter, selling 132,616 shares and leaving it with 2.74 million shares valued at about $238.4 million.
• Textron reported better-than-expected quarterly results, with EPS of $1.45 versus $1.30 expected and revenue of $3.70 billion versus $3.50 billion estimated. Revenue rose 11.8% year over year, and the company provided FY2026 EPS guidance of 6.4 to 6.6.
• Insider activity was mixed: Director R. Kerry Clark sold shares, while Director Thomas A. Kennedy bought 10,300 shares. Analysts currently have a consensus rating of Hold with an average price target of $101.18.

Brandes Investment Partners LP trimmed its position in shares of Textron Inc. (NYSE:TXT - Free Report) by 4.6% during the 4th quarter, according to its most recent 13F filing with the SEC. The fund owned 2,735,047 shares of the aerospace company's stock after selling 132,616 shares during the quarter. Textron comprises about 1.8% of Brandes Investment Partners LP's holdings, making the stock its 13th biggest holding. Brandes Investment Partners LP owned 1.55% of Textron worth $238,415,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Activest Wealth Management grew its position in Textron by 3,255.6% during the 4th quarter. Activest Wealth Management now owns 302 shares of the aerospace company's stock valued at $26,000 after purchasing an additional 293 shares during the last quarter. Elyxium Wealth LLC purchased a new stake in Textron during the 4th quarter valued at about $30,000. Accredited Wealth Management LLC grew its position in Textron by 804.0% during the 3rd quarter. Accredited Wealth Management LLC now owns 452 shares of the aerospace company's stock valued at $38,000 after purchasing an additional 402 shares during the last quarter. Assetmark Inc. grew its position in Textron by 52.2% during the 3rd quarter. Assetmark Inc. now owns 493 shares of the aerospace company's stock valued at $42,000 after purchasing an additional 169 shares during the last quarter. Finally, Optiver Holding B.V. purchased a new stake in Textron during the 3rd quarter valued at about $45,000. 86.03% of the stock is owned by hedge funds and other institutional investors.

Textron Stock Performance

TXT opened at $93.13 on Wednesday. The company has a current ratio of 1.84, a quick ratio of 0.87 and a debt-to-equity ratio of 0.43. The company has a market cap of $16.19 billion, a price-to-earnings ratio of 17.81, a PEG ratio of 1.37 and a beta of 0.90. The company's 50 day moving average is $90.63 and its 200 day moving average is $90.90. Textron Inc. has a 12-month low of $75.75 and a 12-month high of $101.57.

Textron (NYSE:TXT - Get Free Report) last posted its quarterly earnings data on Thursday, April 30th. The aerospace company reported $1.45 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.30 by $0.15. The company had revenue of $3.70 billion for the quarter, compared to the consensus estimate of $3.50 billion. Textron had a net margin of 6.15% and a return on equity of 14.56%. The firm's revenue was up 11.8% compared to the same quarter last year. During the same quarter last year, the firm posted $1.28 earnings per share. Textron has set its FY 2026 guidance at 6.400-6.600 EPS. On average, equities research analysts predict that Textron Inc. will post 6.6 EPS for the current year.

Textron Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, July 1st. Shareholders of record on Friday, June 12th will be issued a dividend of $0.02 per share. The ex-dividend date of this dividend is Friday, June 12th. This represents a $0.08 annualized dividend and a yield of 0.1%. Textron's payout ratio is currently 1.53%.

Insider Activity at Textron

In other Textron news, Director R Kerry Clark sold 2,517 shares of Textron stock in a transaction that occurred on Wednesday, May 6th. The shares were sold at an average price of $93.09, for a total transaction of $234,307.53. Following the transaction, the director owned 8,611 shares of the company's stock, valued at $801,597.99. The trade was a 22.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Thomas A. Kennedy purchased 10,300 shares of the stock in a transaction on Friday, May 1st. The shares were purchased at an average cost of $95.98 per share, for a total transaction of $988,594.00. Following the acquisition, the director directly owned 20,162 shares of the company's stock, valued at approximately $1,935,148.76. This represents a 104.44% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 1.90% of the stock is owned by insiders.

Analyst Ratings Changes

TXT has been the topic of a number of recent analyst reports. Wells Fargo & Company initiated coverage on shares of Textron in a report on Wednesday, April 1st. They set an "equal weight" rating and a $92.00 price target on the stock. UBS Group raised their price target on shares of Textron from $99.00 to $100.00 and gave the company a "buy" rating in a report on Monday, May 4th. Sanford C. Bernstein raised their price target on shares of Textron from $94.00 to $108.00 and gave the company a "market perform" rating in a report on Thursday, February 19th. Weiss Ratings downgraded shares of Textron from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, May 20th. Finally, JPMorgan Chase & Co. raised their price target on shares of Textron from $90.00 to $105.00 and gave the company a "neutral" rating in a report on Monday, May 4th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $101.18.

Textron Profile

Textron Inc is a global, multi-industry manufacturing company headquartered in Providence, Rhode Island. The company designs, manufactures and services a diverse range of products for the aerospace, defense and industrial markets. Textron operates through four primary business segments—Textron Aviation, Bell, Textron Systems and Industrial—each of which serves customers around the world.

Textron Aviation is known for its Cessna and Beechcraft branded business jets and turboprop aircraft, offering models that range from light jets and turboprops to larger cabin aircraft designed for corporate and charter use.

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