The stock of Textron Inc. (NYSE:TXT) increased by $3.88 on Wednesday to $79.52, up 5.13 percent. The last five days have seen an average of 1,972,106 shares of common stock traded. 14 times new highs were reached in the current year, with a gain of $8.79. The average number of shares traded over the last 20 days was 1,288,761, while the average volume over the last 50 days totaled 1,266,629.
TXT stock appreciated 5.25% since last month. On 09/07/23, the company’s shares reached a one-month low of $74.61. The stock touched a high of $80.10 on 08/07/23, after rallying from a low of $58.03 in 52 weeks. The price of TXT stock has risen by 12.32% or $8.79 this year, reaching a new high 14 times. Still, the stock price is down -0.72% from the 52-week high.
Insider Transactions
TXT stock investors should be aware that Textron Inc. (TXT) stock had its last reported insider trading activity 29 days ago on Aug 22. On Aug 22, Director CLARK R KERRY sold 5,000 shares at $75.33 each. This transaction resulted in the insider making $376,645. On Feb 21, DONNELLY SCOTT C sold 222,319 shares at a price of US$73.35. After the transaction, the insider now owns 683,136 shares. Executive Vice President & CFO Connor Frank T had earlier sold 63,361 shares on Feb 21 for $73.35 a share. The transaction was completed for $4,647,735.
Valuation Metrics
Textron Inc. (TXT) has a trailing price-to-earnings (P/E) ratio of 18.28. Beta for the stock is 1.50. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 1.20, the price-to-book (PB) ratio of 2.27, and the price-to-cash flow ratio of 16.59.
Company paid $0.02 per share in dividends, remained unchanged from $0.02 last year. A $0.23 dividend decrease was reported on Wednesday February 23 2022.
Financial Health
For the three months ended June 29, Textron Inc.’s quick ratio was 0.80, while its current ratio was 1.70, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.45, and the total debt to equity ratio is 0.50. As far as profitability goes, gross margin for the trailing twelve months is 16.10% percent. Textron Inc.’s operating margin stood at 7.00% for the same period. Based on annual data, it had gross profit of $2.07 billion and revenue of $12.87 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. TXT’s return on assets (ROA) during the last 12 months has been 5.60%. There was a 6.80% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 13.00%.
Earnings Surprise
According to Textron Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $3.42 billion, while revenues rose by 7.89% to $3.02 billion. It was predicted that Textron Inc.’s quarterly earnings would be $1.46, but it ended up being $1.21, beating the consensus by 20.70%. EBITDA was $390.0 million for the quarter. At the end of Textron Inc.’s most recent quarter ended June 29, its liabilities totaled 9.45 billion, while its total debt was $3.91 billion. Equity owned by shareholders amounts to $198.07 million.
Technical Picture
Here’s a quick look at Textron Inc.’s (TXT) price momentum from a technical perspective. As of 19 September, the RSI 9-day stood at 74.40%, suggesting the stock is Overbought, with a 27.82% historical volatility rate.
The stochastic %K and %D were 52.16% and 41.64% respectively, while the average true range (ATR) was 1.52. Based on the 14-day stochastic reading of 93.53%, the RSI (14) reading is 68.65%. On the 9-day MACD Oscillator, the stock is at 0.84, and the 14-day reading is at 0.63.
Analyst Ratings
In its analyst report released on July 06, 2023, Citigroup began covering Textron Inc. (NYSE: TXT). The stock was rated as a Buy by the brokerage firm. Analysts have assigned Textron Inc. (TXT) an Overweight rating. TXT is a stock that is recommended for selling by 0 brokerage firms, while 8 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 3 rates it overweight and 6 others recommend it as a buy.
What is TXT’s price target for the next 12 months?
The current consensus forecast for the stock is between $83.00 and $100.00, with a median target price of $86.00. In analyzing these forecasts, the average price target given by analysts for Textron Inc. (TXT) is $87.28.
