Textron (TXT) Surpasses Q3 Earnings Estimates

Core Insights - Textron (TXT) reported quarterly earnings of $1.55 per share, exceeding the Zacks Consensus Estimate of $1.47 per share, and showing an increase from $1.4 per share a year ago, resulting in an earnings surprise of +5.44% [1] - The company posted revenues of $3.6 billion for the quarter ended September 2025, which was below the Zacks Consensus Estimate by 2.81%, but an increase from $3.43 billion year-over-year [2] - Textron has surpassed consensus EPS estimates in all four of the last quarters, while it has topped revenue estimates twice during the same period [2] Earnings Outlook - The sustainability of Textron's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.84 on revenues of $4.07 billion, and for the current fiscal year, it is $6.15 on revenues of $14.8 billion [7] Industry Context - The Aerospace - Defense industry, to which Textron belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5][6]