Skip to main content

Textron Upgraded; Morgan Stanley Lauds Vertical-Liftoff Unit

Morgan Stanley upgraded Textron, citing strength in business jets and its urban air mobility/electric vertical takeoff and landing unit.
  • Author:
  • Publish date:

Textron  (TXT) - Get Free Report shares on Tuesday rose after the aircraft-and-defense company was upgraded to overweight from equal weight at Morgan Stanley.

Analyst Kristine Liwag affirmed her price target at $87--a Wall Street high, according to Bloomberg. 

She cited strength in its business-jet side and its urban air mobility/electric vertical takeoff and landing industry, Bloomberg reports.

Textron stock recently traded at $69.40, up 3.3%, and has jumped 41% in the six months through Monday.

The stock is up 39% in 2021 through Monday's close. The target indicates nearly 30% upside from Monday's closing price.

Liwag and her colleagues “now see stars align for a strong recovery,” after prior caution on a business-jet rebound.

Textron should best competitors in the electrical vertical takeoff and landing industry, because most of those competitors haven’t yet certified an aircraft, Liwag said.

In other air transport news Tuesday, United Airlines UAL confirmed plans to buy 270 new planes from Boeing  (BA) - Get Free Report and Airbus  (EADSY) - Get Free Report for around $30 billion. That’s the largest single aircraft deal in the carrier's history.

United will buy 50 Boeing 737 MAX 8 jets and a further 150 Max 10s, with the first of the MAX 8s expected to begin carrying passengers this summer. 

United will also buy 70 Airbus A331 Neos, the plane maker's narrow-body rival to the MAX.

In May, American Airlines  (AAL) - Get Free Report extended its suspension of alcohol sales in the main cabin. It had first taken the step in late March 2020, and the service will remain suspended through Sept. 13, a spokesperson for the airline confirmed to TheStreet.

Boeing is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Cramer buys or sells BA? Learn more now.