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 houses 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.
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The chart shows the growth of an initial investment of $10,000 in Textron, Inc., comparing it to the performance of the S&P 500 index.
All prices have been adjusted for splits and dividends.
Textron, Inc. (TXT) has returned 0.62% so far this year and 46.09% over the past 12 months. Looking at the last ten years, TXT has achieved an annualized return of 9.15%, underperforming the Benchmark (SPY), which averaged 12.23% per year.
The table below presents the monthly returns of Textron, Inc. (TXT) with color gradation from worst to best to easily spot seasonal factors.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 0.63% | 12.54% | -11.86% | 0.17% | ||||||||
| 2025 | -0.57% | -0.80% | -4.29% | -2.30% | 5.05% | 8.84% | -1.38% | 4.48% | 6.57% | -3.83% | 3.42% | 5.83% |
| 2024 | 5.33% | 4.76% | 7.70% | -11.80% | 3.71% | -2.39% | 7.42% | -1.77% | -2.02% | -8.41% | 5.70% | -10.71% |
| 2023 | 2.74% | 0.18% | -2.32% | -5.10% | -7.49% | 8.69% | 15.42% | 0.31% | -0.19% | -2.30% | 0.47% | 4.92% |
| 2022 | -12.20% | 7.53% | 1.89% | -7.65% | -5.81% | -7.06% | 8.17% | -4.40% | -5.62% | 15.63% | 3.11% | -1.31% |
| 2021 | -6.02% | 10.15% | 9.17% | 14.73% | 5.60% | -0.33% | 0.06% | 4.40% | -3.98% | 4.63% | -4.32% | 6.67% |
| 2020 | 1.95% | -12.14% | -34.70% | 5.44% | 20.93% | 6.57% | 5.72% | 12.75% | -7.32% | 0.48% | 24.21% | 4.20% |
| 2019 | 17.58% | 1.69% | -7.47% | 3.58% | -14.83% | 17.32% | -8.26% | -8.42% | 9.90% | -6.64% | -0.96% | -4.33% |
| 2018 | 3.11% | 1.96% | -1.50% | 5.77% | 7.37% | -1.63% | 4.45% | 1.32% | 3.55% | -25.35% | 4.43% | -19.40% |
| 2017 | -2.91% | -0.78% | -0.77% | -1.89% | 2.33% | -1.63% | 3.67% | -0.41% | 9.29% | -2.35% | 5.09% | 1.58% |
| 2016 | 7.44% | -1.88% | -3.23% | 5.61% | 4.96% | -2.76% | 1.60% | 14.47% | 4.72% |
The charts below present risk-adjusted performance metrics for Textron, Inc. (TXT) and compare them to a Benchmark (SPY). These indicators evaluate an investment's returns against its associated risks.
The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.
These values reflect how efficiently the investment has delivered returns relative to its volatility over different time periods. All figures are annualized and based on daily total returns.
The chart below shows the rolling Sharpe ratio of TXT compared to the benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.
The current Textron, Inc. volatility is 1.38%, representing the standart deviation of percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.
The Drawdowns chart displays portfolio losses from any high point along the way. It shows the maximum percentage drop from a peak to a trough over a specified period, indicating the risk of significant losses.
Although chart shows positive values, it represents the percentage drop from the peak, so a value of 10% means the portfolio has dropped 10% from its highest point.
The income statement provides a summary of a company's revenues, expenses, and profits over a specific period. It shows how much money the company earned (revenues) and how much it spent (expenses), leading to the net income or profit. This statement is crucial for understanding a company's financial performance and profitability.
| 2025 | 2023 | 2022 | 2021 | 2019 | 2018 | 2017 | 2016 | 2014 | 2013 | 2012 | 2011 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Liabilities And Equity (USD) | 18.13B | 16.86B | 16.29B | 15.44B | 15.02B | 14.26B | 15.34B | 15.36B | 14.61B | 12.94B | 13.03B | 13.62B |
| Equity Attributable To Parent (USD) | 7.88B | 6.99B | 7.11B | 5.85B | 5.52B | 5.19B | 5.65B | 5.57B | 4.27B | 4.38B | 2.99B | 2.75B |
| Equity Attributable To Noncontrolling Interest (USD) | - | - | - | - | - | - | - | - | - | - | - | - |
| Equity (USD) | 7.88B | 6.99B | 7.11B | 5.85B | 5.52B | 5.19B | 5.65B | 5.57B | 4.27B | 4.38B | 2.99B | 2.75B |
| Noncurrent Liabilities (USD) | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Current Liabilities (USD) | - | - | - | - | - | - | - | - | - | 8.31B | 9.76B | 10.59B |
| Wages (USD) | - | - | - | - | - | - | - | - | - | 246.00M | 282.00M | 282.00M |
| Current Liabilities (USD) | 10.25B | 9.87B | 9.18B | 9.60B | 9.50B | 9.07B | 9.69B | 9.78B | 10.33B | 8.56B | 10.04B | 10.87B |
| Liabilities (USD) | 10.25B | 9.87B | 9.18B | 9.60B | 9.50B | 9.07B | 9.69B | 9.78B | 10.33B | 8.56B | 10.04B | 10.87B |
| Intangible Assets (USD) | 338.00M | 399.00M | 461.00M | 489.00M | 589.00M | 658.00M | 765.00M | 767.00M | 833.00M | - | - | - |
| Fixed Assets (USD) | - | 2.48B | 2.52B | 2.52B | 2.53B | 2.62B | 2.72B | 2.58B | 2.50B | - | 2.15B | 2.01B |
| Noncurrent Assets (USD) | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Current Assets (USD) | 13.85B | 12.94B | 12.74B | 11.93B | 10.95B | 10.45B | 11.19B | 10.89B | 10.68B | 9.98B | 10.32B | 11.21B |
| Inventory (USD) | 4.28B | 3.91B | 3.55B | 3.51B | 4.07B | 3.82B | 4.15B | 4.46B | 3.93B | 2.96B | 2.71B | 2.40B |
| Current Assets (USD) | 18.13B | 16.86B | 16.29B | 15.44B | 15.02B | 14.26B | 15.34B | 15.36B | 14.61B | 12.94B | 13.03B | 13.62B |
| Assets (USD) | 18.13B | 16.86B | 16.29B | 15.44B | 15.02B | 14.26B | 15.34B | 15.36B | 14.61B | 12.94B | 13.03B | 13.62B |
Northrop Grumman beat Q4 2025 earnings expectations with $7.23 adjusted EPS and $11.7B in sales, causing shares to rise 7.3%. However, the company's 2026 guidance disappointed, forecasting only 4% sales growth and flat free cash flow. With a 30.5x price-to-free cash flow ratio and a book-to-bill ratio of 1.0 indicating limited growth ahead, analyst Rich Smith rates the stock as a sell despite strong near-term performance.
Textron stock dropped nearly 8% after reporting Q4 2025 results that beat revenue and met earnings expectations. However, investors reacted negatively to the company's 2026 profitability guidance of $6.40-$6.60 per share, which fell below analyst consensus of $6.84. Despite strong growth in its Bell helicopter military segment and overall business expansion, the lower-than-expected forward guidance disappointed the market.
Textron stock fell 3.96% in premarket trading after reporting below-consensus fiscal 2026 earnings guidance of $6.40-$6.60 EPS versus consensus of $6.84. While Q4 results beat expectations with $4.175B in revenue and $1.73 adjusted EPS, the company's conservative 2026 outlook citing higher Bell program investments and near-term cash flow pressure drove the decline.
Defense stocks have become significantly overvalued, with enterprise value-to-sales ratios nearly tripling since the early 2000s. While geopolitical tensions drive investor interest, the author warns that current valuations leave little room for multiple expansion and could lead to significant underperformance in 2026 if tensions ease or if the sector simply cannot justify further price increases.
The global UTV parts and accessories market is experiencing robust growth, expanding from $7.67 billion in 2024 to $8.3 billion in 2025, with projections reaching $11.23 billion by 2029 at a 7.8% CAGR. Growth is driven by increased off-road recreational activities, demand for high-performance customizable vehicles, electric drivetrain advancements, and e-commerce expansion. However, trade tensions and tariff increases are pressuring manufacturers' margins and prompting shifts toward local suppliers.
The drone industry is experiencing explosive growth driven by military demand, AI-powered autonomy, and expanding commercial applications. Five companies are highlighted as strong investment opportunities: AeroVironment dominates tactical drones with 20% upside potential; Textron offers balanced drone exposure with 28% upside; Kratos Defense excels in AI-powered military drones with 63% upside; Ondas provides critical drone connectivity infrastructure with strong growth projections; and Red Cat Holdings is a small-cap disruptor in counter-drone technology with 10-65% upside potential.
North America's helicopters market is projected to grow from $18.53 billion in 2024 to $33.75 billion by 2033, driven by increased demand for emergency medical services, military modernization programs, and offshore operations. However, high operating costs and stringent regulatory standards pose significant challenges to market expansion.
The article recommends two relatively affordable defense stocks: Textron (TXT) and Huntington Ingalls Industries (HII), both trading near 1.1x sales valuations. Textron produces aircraft and military vehicles through divisions like Cessna, Beechcraft, and Bell Helicopter. Huntington Ingalls, a former Northrop Grumman spinoff, is a primary U.S. Navy shipbuilder specializing in aircraft carriers and submarines. The author favors Huntington Ingalls due to a recent Navy contract award for a new small surface combatant warship design, which could lead to significant revenue growth as it potentially replaces a canceled frigate program.
Analysis reveals defense stocks are currently trading at nearly twice their historical fair value, suggesting potential future price declines despite ongoing global military tensions.
Textron reported quarterly earnings beating analyst forecasts, with sales growing 5.4% year-over-year. However, profit margins declined, and earnings growth remained minimal, leading to a stock price drop of 7.1%.