Zacks Research Has Optimistic Outlook of Textron Q2 Earnings

Key Points

• Zacks Research has raised its Q2 2027 earnings estimate for Textron Inc. to $1.35 per share, up from a previous forecast of $1.33.
• Textron's recent quarterly earnings exceeded expectations with an EPS of $1.55, beating the consensus estimate of $1.45 by $0.10.
• Institutional investors own 86.03% of Textron's stock, indicating strong interest in the company among large investment firms.

Textron Inc. (NYSE:TXT - Free Report) - Research analysts at Zacks Research lifted their Q2 2027 earnings estimates for shares of Textron in a research report issued to clients and investors on Tuesday, October 14th. Zacks Research analyst Team now expects that the aerospace company will earn $1.35 per share for the quarter, up from their previous forecast of $1.33. The consensus estimate for Textron's current full-year earnings is $6.12 per share.

Textron (NYSE:TXT - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The aerospace company reported $1.55 EPS for the quarter, topping the consensus estimate of $1.45 by $0.10. Textron had a net margin of 5.80% and a return on equity of 14.26%. The company had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.64 billion. During the same quarter in the prior year, the business posted $1.54 EPS. Textron's quarterly revenue was up 5.4% on a year-over-year basis. Textron has set its FY 2025 guidance at 6.000-6.200 EPS.

Several other brokerages have also commented on TXT. Weiss Ratings restated a "hold (c+)" rating on shares of Textron in a research note on Wednesday, October 8th. Wall Street Zen upgraded shares of Textron from a "buy" rating to a "strong-buy" rating in a research note on Saturday, October 11th. The Goldman Sachs Group reiterated a "neutral" rating and issued a $85.00 target price (down from $95.00) on shares of Textron in a research note on Tuesday, July 1st. Morgan Stanley raised their target price on shares of Textron from $71.00 to $86.00 and gave the company an "equal weight" rating in a research note on Thursday, July 17th. Finally, Barclays raised their target price on shares of Textron from $95.00 to $105.00 and gave the company an "overweight" rating in a research note on Tuesday, July 29th. Six equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $92.45.

Textron Stock Performance

Shares of TXT opened at $82.65 on Thursday. The company's fifty day moving average is $81.92 and its 200-day moving average is $77.30. Textron has a 12 month low of $57.70 and a 12 month high of $91.30. The firm has a market cap of $14.73 billion, a price-to-earnings ratio of 18.70, a price-to-earnings-growth ratio of 1.36 and a beta of 1.13. The company has a quick ratio of 0.84, a current ratio of 1.84 and a debt-to-equity ratio of 0.45.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. T. Rowe Price Investment Management Inc. lifted its stake in Textron by 0.7% in the first quarter. T. Rowe Price Investment Management Inc. now owns 11,410,481 shares of the aerospace company's stock valued at $824,408,000 after buying an additional 76,972 shares in the last quarter. State Street Corp increased its holdings in Textron by 2.5% during the second quarter. State Street Corp now owns 9,007,450 shares of the aerospace company's stock worth $723,384,000 after buying an additional 217,401 shares during the last quarter. Invesco Ltd. increased its holdings in shares of Textron by 5.6% in the first quarter. Invesco Ltd. now owns 8,166,902 shares of the aerospace company's stock valued at $590,059,000 after purchasing an additional 433,567 shares during the last quarter. Boston Partners increased its holdings in shares of Textron by 1.5% in the second quarter. Boston Partners now owns 7,190,786 shares of the aerospace company's stock valued at $577,304,000 after purchasing an additional 109,277 shares during the last quarter. Finally, LSV Asset Management grew its stake in shares of Textron by 7.2% in the second quarter. LSV Asset Management now owns 4,153,321 shares of the aerospace company's stock valued at $333,470,000 after acquiring an additional 279,237 shares in the last quarter. Institutional investors and hedge funds own 86.03% of the company's stock.

Insiders Place Their Bets

In other Textron news, EVP Julie G. Duffy sold 28,543 shares of the firm's 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 sale, the executive vice president owned 37,624 shares in the company, valued at approximately $2,986,216.88. This trade represents a 43.14% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 1.70% of the company's stock.

Textron Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th were given a $0.02 dividend. This represents a $0.08 annualized dividend and a yield of 0.1%. The ex-dividend date was Friday, September 12th. Textron's dividend payout ratio (DPR) is presently 1.81%.

About Textron

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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