Textron (NYSE:TXT) Lowered to Hold Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Textron from “Buy” to “Hold.” Despite the downgrade, analysts’ overall consensus remains “Moderate Buy,” with an average price target of $102.44.
• Textron exceeded quarterly expectations, reporting $1.62 in EPS versus the $1.55 consensus and revenue of $3.83 billion. The company reaffirmed fiscal 2026 EPS guidance of $6.40–$6.60.
• Textron shares opened at $85.44, below the analyst consensus target, while institutional investors own a substantial 86.03% of outstanding shares.

Textron (NYSE:TXT - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Saturday.

Other equities research analysts also recently issued research reports about the company. Weiss Ratings raised Textron from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, July 13th. TD Cowen dropped their price target on shares of Textron from $115.00 to $105.00 and set a "hold" rating on the stock in a research report on Monday, July 13th. UBS Group reiterated a "neutral" rating and issued a $95.00 price target on shares of Textron in a research note on Wednesday. Morgan Stanley set a $98.00 price objective on shares of Textron in a research note on Wednesday. Finally, JPMorgan Chase & Co. upped their target price 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, three have given a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $102.44.

Textron Price Performance

NYSE:TXT opened at $85.44 on Friday. Textron has a 52-week low of $75.80 and a 52-week high of $101.57. The company has a market cap of $14.69 billion, a P/E ratio of 16.12, a P/E/G ratio of 1.26 and a beta of 0.90. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.87 and a current ratio of 1.86. The stock's 50-day simple moving average is $90.96 and its 200 day simple moving average is $91.98.

Textron (NYSE:TXT - Get Free Report) last issued its quarterly earnings results on Tuesday, July 28th. The aerospace company reported $1.62 EPS for the quarter, beating the consensus estimate of $1.55 by $0.07. The firm had revenue of $3.83 billion during the quarter, compared to analysts' expectations of $3.81 billion. Textron had a return on equity of 14.30% and a net margin of 6.12%.The business's quarterly revenue was up 3.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.55 earnings per share. Textron has set its FY 2026 guidance at 6.400-6.600 EPS. As a group, sell-side analysts forecast that Textron will post 6.51 EPS for the current fiscal year.

Insider Buying and Selling at Textron

In related news, Director R Kerry Clark sold 2,517 shares of the stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $93.09, for a total value of $234,307.53. Following the sale, the director owned 8,611 shares in the company, valued at approximately $801,597.99. This represents a 22.62% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.90% of the company's stock.

Hedge Funds Weigh In On Textron

Institutional investors and hedge funds have recently modified their holdings of the stock. State Street Corp lifted its stake in shares of Textron by 2.6% during the 4th quarter. State Street Corp now owns 9,464,324 shares of the aerospace company's stock worth $825,193,000 after buying an additional 244,017 shares during the last quarter. Invesco Ltd. grew its stake in Textron by 1.7% in the 3rd quarter. Invesco Ltd. now owns 8,270,901 shares of the aerospace company's stock valued at $698,808,000 after buying an additional 140,713 shares during the last quarter. Boston Partners raised its holdings in Textron by 0.9% in the 3rd quarter. Boston Partners now owns 7,257,533 shares of the aerospace company's stock valued at $613,327,000 after acquiring an additional 66,747 shares during the period. AQR Capital Management LLC raised its holdings in Textron by 51.1% in the 4th quarter. AQR Capital Management LLC now owns 5,357,182 shares of the aerospace company's stock valued at $466,986,000 after acquiring an additional 1,811,787 shares during the period. Finally, Dimensional Fund Advisors LP lifted its position in Textron by 18.9% during the fourth quarter. Dimensional Fund Advisors LP now owns 2,551,781 shares of the aerospace company's stock worth $222,455,000 after acquiring an additional 405,314 shares during the last quarter. 86.03% of the stock is currently owned by institutional investors and hedge funds.

Textron Company 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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