Gautam Khanna, an analyst from TD Cowen, maintained the Hold rating on Textron. The associated price target was lowered to $90.00.
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Gautam Khanna has given his Hold rating due to a combination of factors impacting Textron’s financial performance. The company’s third-quarter results showed weaker-than-expected aviation deliveries, which fell short of projections and increased the pressure for a strong fourth quarter to meet annual sales targets. The aviation segment’s book-to-bill ratio was below the desired level, indicating challenges in meeting future demand expectations.
On the positive side, Textron’s defense segment, particularly Bell, showed strong performance with significant new orders and a high book-to-bill ratio, suggesting potential future growth. However, the overall mixed results across different segments, along with the adjustment of the price target from $95 to $90, reflect a cautious outlook. These factors combined led to the decision to maintain a Hold rating, as the company faces both opportunities and challenges in the near term.
Khanna covers the Industrials sector, focusing on stocks such as Boeing, Carpenter Technology, and General Dynamics. According to TipRanks, Khanna has an average return of 17.4% and a 71.89% success rate on recommended stocks.
In another report released on October 15, TR | OpenAI – 4o also downgraded the stock to a Hold with a $92.00 price target.