Textron (NYSE:TXT) Rating Increased to Buy at TD Cowen

TD Cowen upgraded shares of Textron (NYSE:TXT) from a hold rating to a buy rating in a research report report published on Thursday, Marketbeat Ratings reports.

A number of other research firms have also recently issued reports on TXT. Jefferies Financial Group reduced their price objective on Textron from $115.00 to $110.00 and set a “buy” rating for the company in a research report on Tuesday, April 7th. Morgan Stanley set a $92.00 price objective on Textron in a research report on Thursday, January 29th. Wells Fargo & Company started coverage on Textron in a research report on Wednesday, April 1st. They set an “equal weight” rating and a $92.00 price objective for the company. JPMorgan Chase & Co. lifted their price objective on Textron from $88.00 to $90.00 and gave the company a “neutral” rating in a research report on Thursday, January 29th. Finally, Sanford C. Bernstein lifted their price objective on Textron from $94.00 to $108.00 and gave the company a “market perform” rating in a research report on Thursday, February 19th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $98.18.

Textron Stock Performance

Shares of Textron stock opened at $95.83 on Thursday. The stock has a market cap of $16.68 billion, a PE ratio of 18.75, a price-to-earnings-growth ratio of 1.35 and a beta of 0.97. The business has a fifty day simple moving average of $92.01 and a 200-day simple moving average of $88.94. The company has a quick ratio of 0.99, a current ratio of 1.97 and a debt-to-equity ratio of 0.49. Textron has a 12 month low of $69.46 and a 12 month high of $101.57.

Textron (NYSE:TXT) last issued its earnings results on Thursday, April 30th. The aerospace company reported $1.45 EPS for the quarter, topping the consensus estimate of $1.30 by $0.15. The business had revenue of $3.70 billion during the quarter, compared to analysts’ expectations of $3.50 billion. Textron had a return on equity of 14.63% and a net margin of 6.22%.Textron’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, sell-side analysts anticipate that Textron will post 6.55 EPS for the current fiscal year.

Textron Dividend Announcement

The business also recently announced 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. This represents a $0.08 annualized dividend and a yield of 0.1%. The ex-dividend date is Friday, June 12th. Textron’s dividend payout ratio (DPR) is 1.57%.

Insider Activity at Textron

In other Textron news, Chairman Scott C. Donnelly sold 219,619 shares of the firm’s stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $98.41, for a total transaction of $21,612,705.79. Following the transaction, the chairman directly owned 742,418 shares in the company, valued at $73,061,355.38. This trade represents a 22.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Julie G. Duffy sold 19,857 shares of the firm’s stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $98.70, for a total value of $1,959,885.90. Following the transaction, the executive vice president owned 37,039 shares in the company, valued at approximately $3,655,749.30. This trade represents a 34.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 304,473 shares of company stock valued at $29,976,723. Insiders own 1.90% of the company’s stock.

Hedge Funds Weigh In On Textron

Several institutional investors have recently bought and sold shares of TXT. AQR Capital Management LLC raised its holdings in Textron by 51.1% during the fourth quarter. AQR Capital Management LLC now owns 5,357,182 shares of the aerospace company’s stock valued at $466,986,000 after buying an additional 1,811,787 shares in the last quarter. Adage Capital Partners GP L.L.C. raised its holdings in Textron by 270.7% during the second quarter. Adage Capital Partners GP L.L.C. now owns 1,005,843 shares of the aerospace company’s stock valued at $80,759,000 after buying an additional 734,478 shares in the last quarter. Balyasny Asset Management L.P. bought a new position in Textron during the third quarter valued at about $56,255,000. SG Americas Securities LLC increased its stake in shares of Textron by 8,087.0% in the fourth quarter. SG Americas Securities LLC now owns 429,492 shares of the aerospace company’s stock worth $37,439,000 after purchasing an additional 424,246 shares during the period. Finally, Dimensional Fund Advisors LP increased its stake in shares of Textron by 18.9% in the fourth quarter. Dimensional Fund Advisors LP now owns 2,551,781 shares of the aerospace company’s stock worth $222,455,000 after purchasing an additional 405,314 shares during the period. 86.03% of the stock is currently owned by institutional investors.

More Textron News

Here are the key news stories impacting Textron this week:

• Positive Sentiment: Q1 results beat consensus — Textron reported adjusted EPS of $1.45 vs. $1.30 expected and revenue (~$3.69–3.70B) above estimates; revenue rose ~11.8% Y/Y and management set FY?2026 EPS guidance of $6.40–$6.60 (near/above Street). Strong deliveries and segment performance drove the upside. Business Wire – Q1 Results
• Positive Sentiment: Planned separation of Industrial segment (~$3B revenue) — Textron said it will explore sale or a tax?free spinoff within ~12–18 months to create a “New Textron” focused on aerospace & defense (~$12B revenue), a move that investors often view as value?enhancing through simpler comps and potential multiple expansion. IndustryWeek – Separation
• Positive Sentiment: Defense/Aircraft win for Bell — Bell (a Textron company) was selected by Near Earth Autonomy to provide the Bell 505 airframe for the U.S. Marine Corps MARV?EL uncrewed logistics program, supporting backlog and aerospace momentum. Financial Post – Bell Contract
• Positive Sentiment: Analyst upgrade — TD Cowen upgraded TXT from Hold to Buy following the quarter and strategic announcement, which can amplify positive investor sentiment. The Fly – Upgrade
• Neutral Sentiment: Dividend declared — Textron declared a quarterly dividend of $0.02 per share (small yield); modestly supportive but unlikely to be a major driver. Business Wire – Dividend
• Neutral Sentiment: Investor materials available — Company released press release, slide deck and earnings call transcript for Q1, useful for modeling the split and updated guidance. Q1 Slide Deck
• Negative Sentiment: Separation risks and uncertainty — Spinoff/sale execution carries timing, tax, accounting and integration/distraction risks plus potential one?time costs; outcomes (structure, proceeds, capital allocation) remain uncertain and could create volatility until completed. WSJ – Separation Risks

About Textron

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.