Textron TXT
Textron scores weak on business quality (4.5 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Textron does
Textron designs and builds aviation, defense, and industrial products, generating revenue by selling Bell helicopters, Cessna and Beechcraft jets, and specialized equipment to commercial and government buyers. The company is leaning into new aircraft models and defense programs to capture demand in business aviation and military procurement.
- What it does best
Textron dominates niche aviation manufacturing through iconic brands like Cessna and Bell, securing a 17.8% gross margin that outpaces sector peers like WWD at 29.5% only in specific legacy product lines supported by entrenched manufacturing scale.
- The main risk
Supply chain bottlenecks and production delays across its aerospace lines threaten delivery schedules, putting pressure on operating margins currently sitting at a thin 6.7%.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin stands at 6.7% with a net margin of 6.1%, reflecting tight profitability where scale does not yet translate into high earnings power.
Its moat rests on high switching costs in aviation maintenance and training, though a gross margin ranking in the sector bottom decile limits pricing power against deep-pocketed defense rivals.
Revenue grew 8.0% over the latest period to $15.3 billion, continuing a steady upward trend from $13.7 billion in 2024 as aviation demand holds.
Debt-to-equity sits at 0.5 with interest coverage at 7.7x, leaving debt manageable while free cash flow reached $759 million: financial reality is holding steady.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
No open market buys or unplanned sales by executives or directors.
Our sealed record on TXT
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Textron scores weak on the Cluenex quality check (4.5 of 10), measured against its own industry. Profitability is weak, moat weak, growth steady and financial health fair.
In the last 90 days of SEC Form 4 filings: No open market buys or unplanned sales by executives or directors.
Oct 29, 2026, before the open.
See TXT today
- Today's verdict on TXT, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Textron (TXT)”, https://cluenex.com/stocks/txt/, data as of Oct 10, 2026.