Textron (TXT) Stock Closed Up on Solid Q2 Results
Bloomberg News
NEW YORK (TheStreet) -- Shares of Textron (TXT) - Get Report closed higher by 1.56% to $39.82 on heavy trading volume Friday after the company reported earnings and revenue that topped analysts' estimates for the 2016 second quarter.
Before today's market open, the Providence, RI-based company posted earnings of 66 cents per share, beating analysts' forecasts of 64 cents per share.
Revenue increased 8.1% to $3.5 billion year-over-year and was above analysts' expectations of $3.36 billion.
"Revenues were up at systems, industrial and Textron aviation despite a challenging global environment, reflecting our continued investment in new products and acquisitions," CEO Scott Donnelly said in a statement.
For 2016, Textron sees earnings per share between $2.60 and $2.80. Analysts are modeling earnings of $2.72 per share.
The company is engaged in the aircraft, defense, industrial and finance businesses. Its brands include Bell Helicopter, Cessna, Beechcraft and Hawker.
About 2.24 million of the company's shares changed hands today compared to its average volume of 1.73 million shares per day.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.
The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, growth in earnings per share and increase in net income.
The team believes its strengths outweigh the fact that the company shows low profit margins.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: TXT