Textron Inc. (TXT), headquartered in Providence, Rhode Island, is a diversified multi-industry corporation with a market cap of $14.1 billion. The company operates across aerospace, defense, and industrial markets, offering a wide-ranging portfolio that includes commercial and military helicopters, light and mid-size business jets, golf carts, utility vehicles, turf-care equipment, plastic fuel tanks, automotive components, industrial pumps and gears, engineered fastening systems, and other specialized products.
This aerospace and defense company has underperformed the broader market over the past 52 weeks. Shares of TXT have fallen 10.1% over this time frame, while the broader S&P 500 Index ($SPX) has gained 14.3%. Moreover, on a YTD basis, the stock is up 4.2%, compared to SPX’s 9% return.
Narrowing the focus, TXT has also considerably lagged behind the iShares U.S. Aerospace & Defense ETF’s (ITA) 33.7% rise over the past 52 weeks and 33% uptick on a YTD basis.
On Jul. 24, Textron reported Q2 2025 results, and its shares dipped 7.2%. The company posted revenue of $3.7 billion, a 5% increase year-over-year. Its adjusted EPS of $1.55 came slightly above estimates, thanks to substantial contributions from Bell and Aviation. The company reaffirmed its full-year EPS outlook but raised its manufacturing cash flow guidance, underscoring continued operational strength and investor confidence.
For the current fiscal year, ending in December, analysts expect Textron’s EPS to grow 11.5% year over year to $6.11. The company’s earnings surprise history is mixed. It topped the consensus estimates in three of the last four quarters, while missing on another occasion.
Among the 15 analysts covering the stock, the consensus rating is a “Moderate Buy,” which is based on six “Strong Buy” and nine “Hold” ratings.
The configuration is less bullish than two months ago, when seven analysts gave the stock a “Strong Buy” rating.
On July 29, Barclays plc (BCS) analyst David Strauss reaffirmed an “Overweight” rating on Textron, while raising the price target from $95 to $105, which is also the Street-high price target. The revision underscores Barclays’ confidence in Textron’s growth prospects and signals expectations that the stock will outperform its industry peers.
