TXT EV/EBITDA Analysis

The EV/EBITDA ratio measures a company's total value (market cap plus debt minus cash) relative to its operating earnings, with a lower number indicating a cheaper valuation.

At 10.5x, TXT trades below the sector median of 13.8x, placing it in the 33rd percentile among peers — meaning roughly two-thirds of comparable firms carry higher multiples. This metric has been stable over the past eight quarters, with a year-over-year change of -0.3% and a quarter-over-quarter change of -3.2%. The combination of a below-median level and a stable-to-slightly-declining trend suggests limited valuation risk, as the stock is not expensive, but also no clear upside opportunity from a compression or expansion surprise. This supports the overall NEUTRAL verdict: the valuation is neither cheap enough to signal a bargain nor rich enough to warrant caution, and the lack of directional movement offers no fresh signal.

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