Textron Inc. (NYSE:TXT) Short Interest Up 72.1% in July

Key Points

• Textron Inc. saw a significant increase in short interest of 72.1% in July, rising from 3,120,000 shares to 5,370,000 shares, indicating heightened investor pessimism.
• Research analysts have adjusted their target prices for Textron, with Barclays increasing it to $105.00, while Citigroup lowered it to $107.00, suggesting varied outlooks on the company's performance.
• The company reported earnings of $1.55 per share, exceeding analyst expectations, with revenue of $3.72 billion for the quarter, marking a 5.4% year-over-year increase.

Textron Inc. (NYSE:TXT - Get Free Report) was the target of a significant increase in short interest during the month of July. As of July 15th, there was short interest totaling 5,370,000 shares, anincreaseof72.1% from the June 30th total of 3,120,000 shares. Based on an average daily volume of 1,530,000 shares, the short-interest ratio is currently 3.5 days. Approximately3.0% of the shares of the company are short sold. Approximately3.0% of the shares of the company are short sold. Based on an average daily volume of 1,530,000 shares, the short-interest ratio is currently 3.5 days.

Analyst Ratings Changes

A number of research analysts recently issued reports on TXT shares. Barclays boosted their target price on shares of Textron from $95.00 to $105.00 and gave the company an "overweight" rating in a research report on Tuesday, July 29th. Wall Street Zen cut shares of Textron from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 26th. Morgan Stanley raised their price objective on Textron from $71.00 to $86.00 and gave the company an "equal weight" rating in a research note on Thursday, July 17th. Susquehanna upped their price objective on Textron from $90.00 to $95.00 and gave the company a "positive" rating in a research report on Friday, July 25th. Finally, Citigroup decreased their target price on shares of Textron from $111.00 to $107.00 and set a "buy" rating for the company in a research note on Thursday, April 10th. Six investment analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. According to data from MarketBeat.com, Textron currently has a consensus rating of "Moderate Buy" and an average price target of $92.67.

Textron Price Performance

NYSE TXT traded down $0.35 during trading hours on Wednesday, reaching $77.87. The company's stock had a trading volume of 191,704 shares, compared to its average volume of 1,542,903. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.84 and a quick ratio of 0.84. The company's 50-day moving average is $79.50 and its two-hundred day moving average is $74.72. The firm has a market capitalization of $13.88 billion, a price-to-earnings ratio of 17.62, a P/E/G ratio of 1.27 and a beta of 1.16. Textron has a 1-year low of $57.70 and a 1-year high of $91.48.

Textron (NYSE:TXT - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The aerospace company reported $1.55 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.45 by $0.10. The firm had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.64 billion. Textron had a return on equity of 14.26% and a net margin of 5.80%. The firm's quarterly revenue was up 5.4% on a year-over-year basis. During the same period last year, the company earned $1.54 EPS. On average, equities analysts predict that Textron will post 6.12 EPS for the current year.

Textron Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Friday, September 12th will be given a dividend of $0.02 per share. The ex-dividend date of this dividend is Friday, September 12th. This represents a $0.08 dividend on an annualized basis and a yield of 0.1%. Textron's payout ratio is presently 1.81%.

Insider Buying and Selling

In other news, EVP Julie G. Duffy sold 28,543 shares of the business's stock in a transaction on Friday, July 25th. The shares were sold at an average price of $79.37, for a total transaction 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. The trade was a 43.14% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders own 1.70% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Resona Asset Management Co. Ltd. lifted its stake in Textron by 2.6% in the 2nd quarter. Resona Asset Management Co. Ltd. now owns 59,013 shares of the aerospace company's stock valued at $4,739,000 after purchasing an additional 1,509 shares during the last quarter. Atlantic Union Bankshares Corp bought a new stake in shares of Textron in the 2nd quarter valued at $27,000. BNP PARIBAS ASSET MANAGEMENT Holding S.A. acquired a new position in Textron in the second quarter valued at approximately $132,000. ADG Wealth Management Group LLC bought a new stake in Textron in the 2nd quarter valued at about $217,000. Finally, Verity Asset Management Inc. boosted its holdings in shares of Textron by 7.2% in the 2nd quarter. Verity Asset Management Inc. now owns 19,282 shares of the aerospace company's stock worth $1,548,000 after buying an additional 1,298 shares during the last quarter. Institutional investors and hedge funds own 86.03% of the company's stock.

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.

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