Textron Q3 revenue slightly misses estimates

Overview

• U.S. multi-industry manufacturer's Q3 revenue up 4% yr/yr, slight miss vs analyst expectations

• Adjusted EPS for Q3 rose to $1.76 from $1.55 a year ago

• Company raised full-year adjusted EPS and cash flow outlook

Outlook

• Textron raises 2026 adjusted EPS outlook to $6.55-$6.65 from $6.40-$6.60

• Company lifts 2026 GAAP EPS forecast to $5.64-$5.74 from $5.39-$5.59

• Textron increases 2026 manufacturing cash flow before pension contributions outlook to $800-$900 mln

Result Drivers

• JET DELIVERIES - Higher Citation jet deliveries drove revenue growth at Textron Aviation

• AFTERMARKET SALES - Higher volume and pricing in aftermarket parts and services contributed to Textron Aviation revenue growth

• PROGRAM EXECUTION - Improved program execution at Textron Systems, especially armored land vehicles and military training, supported segment revenue and profit growth

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the aerospace & defense peer group is "buy"

• Wall Street's median 12-month price target for Textron Inc is $99.62, about 27.2% above its October 28 closing price of $78.32

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 13 three months ago

Reuters Recommended Reads

• Oct 29 - L3Harris beats Q3 revenue estimates, raises FY guidance range

• Oct 27 - Boeing Q3 revenue beats estimates on defense volumes

• Oct 28 - Honeywell Aerospace lifts second-half cash flow view, tops quarterly estimates

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)