TCW Group Inc. Sells 86,077 Shares of Textron Inc. (NYSE:TXT)

Key Points

• TCW Group Inc. reduced its stake in Textron Inc. by 19.4% during the first quarter, now holding 357,935 shares valued at approximately $25.86 million.
• Several institutional investors have increased their positions in Textron, with Wellington Management Group leading with a 50.2% increase in holdings.
• Textron's recent earnings report showed an EPS of $1.55, surpassing estimates, with revenue growth of 5.4% year-over-year, totaling $3.72 billion.

TCW Group Inc. cut its position in shares of Textron Inc. (NYSE:TXT - Free Report) by 19.4% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 357,935 shares of the aerospace company's stock after selling 86,077 shares during the period. TCW Group Inc. owned 0.20% of Textron worth $25,861,000 at the end of the most recent quarter.

Several other institutional investors also recently modified their holdings of the company. Wellington Management Group LLP grew its position in shares of Textron by 50.2% during the 4th quarter. Wellington Management Group LLP now owns 603,171 shares of the aerospace company's stock worth $46,137,000 after purchasing an additional 201,696 shares in the last quarter. Cambridge Investment Research Advisors Inc. lifted its stake in Textron by 31.0% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 38,424 shares of the aerospace company's stock valued at $2,776,000 after purchasing an additional 9,082 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. lifted its stake in Textron by 8.6% in the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 302,603 shares of the aerospace company's stock valued at $22,916,000 after purchasing an additional 24,053 shares during the last quarter. Graham Capital Management L.P. lifted its stake in Textron by 166.8% in the 4th quarter. Graham Capital Management L.P. now owns 67,000 shares of the aerospace company's stock valued at $5,125,000 after purchasing an additional 41,888 shares during the last quarter. Finally, Massachusetts Financial Services Co. MA raised its stake in shares of Textron by 12.3% during the fourth quarter. Massachusetts Financial Services Co. MA now owns 89,780 shares of the aerospace company's stock valued at $6,867,000 after acquiring an additional 9,807 shares during the last quarter. 86.03% of the stock is currently owned by institutional investors and hedge funds.

Textron Price Performance

Textron stock traded up $0.13 during midday trading on Thursday, reaching $78.18. 1,051,734 shares of the stock were exchanged, compared to its average volume of 1,552,000. The company's fifty day moving average is $79.16 and its 200-day moving average is $74.76. The company has a debt-to-equity ratio of 0.45, a quick ratio of 0.84 and a current ratio of 1.84. The firm has a market cap of $13.93 billion, a PE ratio of 17.68, a PEG ratio of 1.28 and a beta of 1.17. Textron Inc. has a 52 week low of $57.70 and a 52 week high of $93.98.

Textron (NYSE:TXT - Get Free Report) last released its quarterly earnings results on Thursday, July 24th. The aerospace company reported $1.55 EPS for the quarter, topping analysts' consensus estimates of $1.45 by $0.10. Textron had a net margin of 5.80% and a return on equity of 14.26%. The business had revenue of $3.72 billion during the quarter, compared to analysts' expectations of $3.64 billion. During the same quarter in the previous year, the company earned $1.54 EPS. The business's quarterly revenue was up 5.4% compared to the same quarter last year. On average, sell-side analysts forecast that Textron Inc. will post 6.12 EPS for the current year.

Textron Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be given a dividend of $0.02 per share. This represents a $0.08 annualized dividend and a yield of 0.10%. Textron's payout ratio is currently 1.81%.

Analysts Set New Price Targets

TXT has been the subject of several analyst reports. Wall Street Zen downgraded shares of Textron from a "strong-buy" rating to a "buy" rating in a research note on Saturday, July 26th. Morgan Stanley raised their price target on shares of Textron from $71.00 to $86.00 and gave the stock an "equal weight" rating in a report on Thursday, July 17th. UBS Group upgraded shares of Textron from a "sell" rating to a "neutral" rating and lifted their price objective for the company from $73.00 to $88.00 in a report on Monday. Citigroup dropped their price target on shares of Textron from $111.00 to $107.00 and set a "buy" rating on the stock in a research report on Thursday, April 10th. Finally, The Goldman Sachs Group reissued a "neutral" rating and set a $85.00 price target (down from $95.00) on shares of Textron in a research report on Tuesday, July 1st. Six research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $92.67.

Insiders Place Their Bets

In related news, EVP Julie G. Duffy sold 28,543 shares of the stock in a transaction dated Friday, July 25th. The shares were sold at an average price of $79.37, for a total value of $2,265,457.91. Following the completion of the transaction, the executive vice president directly owned 37,624 shares in the company, valued at $2,986,216.88. This trade represents a 43.14% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 1.70% of the stock is owned by insiders.

Textron Company Profile

Textron Inc operates in the aircraft, defense, industrial, and finance businesses worldwide. It operates through six segments: Textron Aviation, Bell, Textron Systems, Industrial, Textron eAviation, and Finance. The Textron Aviation segment manufactures, sells, and services business jets, turboprop and piston engine aircraft, and military trainer and defense aircraft; and offers maintenance, inspection, and repair services, as well as sells commercial parts.