Uncovering Potential: Textron's Earnings Preview

Textron TXT is preparing to release its quarterly earnings on Thursday, 2025-04-24. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Textron to report an earnings per share (EPS) of $1.16.

Anticipation surrounds Textron's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Past Earnings Performance

During the last quarter, the company reported an EPS beat by $0.09, leading to a 0.26% drop in the share price on the subsequent day.

Here's a look at Textron's past performance and the resulting price change:

Textron Share Price Analysis

Shares of Textron were trading at $65.45 as of April 22. Over the last 52-week period, shares are down 20.86%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Observations about Textron

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Textron.

A total of 5 analyst ratings have been received for Textron, with the consensus rating being Neutral. The average one-year price target stands at $87.4, suggesting a potential 33.54% upside.

Comparing Ratings Among Industry Peers

The below comparison of the analyst ratings and average 1-year price targets of Curtiss-Wright, Woodward and BWX Technologies, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Curtiss-Wright, with an average 1-year price target of $357.0, suggesting a potential 445.45% upside.
• Analysts currently favor an Neutral trajectory for Woodward, with an average 1-year price target of $197.8, suggesting a potential 202.22% upside.
• Analysts currently favor an Buy trajectory for BWX Technologies, with an average 1-year price target of $140.0, suggesting a potential 113.9% upside.

Comprehensive Peer Analysis Summary

The peer analysis summary presents essential metrics for Curtiss-Wright, Woodward and BWX Technologies, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Textron ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit. For Return on Equity, Textron is at the bottom compared to its peers.

All You Need to Know About Textron

Textron is a conglomerate that designs, manufactures, and services a range of specialty aircraft including small jets, propeller-driven airplanes, helicopters, and tilt-rotor aircraft. Textron Aviation manufactures and services Cessna and Beechcraft planes. Bell is a helicopter and tilt-rotor manufacturer and servicer for both commercial and military customers. Textron Systems produces uncrewed aircraft and armored vehicles for the military market as well as aircraft simulators and training for the commercial and military markets. Textron Industrial contains the Kautex business, which manufactures plastic fuel tanks for conventional and hybrid motor vehicles, and other subsidiaries that produce specialized vehicles such as golf carts and all-terrain vehicles.

Key Indicators: Textron's Financial Health

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Textron's revenue growth over a period of 3 months has faced challenges. As of 31 December, 2024, the company experienced a revenue decline of approximately -7.17%. This indicates a decrease in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Textron's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 3.9%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 1.99%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Textron's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.85%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Textron's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.5.

To track all earnings releases for Textron visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.