Curtiss-Wright Corporation (CW) vs Textron Inc. (TXT)

Curtiss-Wright Corporation and Textron Inc. are both Aerospace & Defense companies. Curtiss-Wright Corporation is the larger, with a market value of $20.1B against $13.0B — 1.5× the size. Textron Inc. trades at the lower P/E: 14.5× against 36.9×. Curtiss-Wright Corporation grew revenue faster over the last twelve months: 10.5% against 8.80%. Curtiss-Wright Corporation has the higher net margin (14.8% vs 6.12%) and the higher return on invested capital (13.2% vs 6.25%). Both pay a dividend; Curtiss-Wright Corporation yields more (0.35% vs 0.09%). Across the 23 metrics below, Curtiss-Wright Corporation leads on 13 and Textron Inc. on 10.

Valuation

Metric CW TXT Aerospace & Defense median
P/E 36.94 14.45 33.00
P/S 5.46 0.87 3.63
P/B 7.20 1.65 3.24
Price to free cash flow 31.40 17.37 34.01
EV/EBITDA 25.34 10.87 18.69
EV/Sales 5.59 1.01 3.94
Earnings yield 2.71% 6.92% 1.31%
Free cash flow yield 3.19% 5.76% 0.00%

Profitability

Metric CW TXT Aerospace & Defense median
Gross margin 37.73% 17.77% 25.48%
Operating margin 18.78% 6.71% 4.54%
Net margin 14.81% 6.12% 2.22%
Free cash flow margin 17.38% 5.00% 0.00%
Return on equity 19.75% 12.10% 6.43%
Return on assets 10.16% 5.32% 2.70%
Return on invested capital 13.20% 6.25% 1.56%

Growth

Metric CW TXT Aerospace & Defense median
Revenue growth (TTM) 10.54% 8.80% 18.43%
EPS growth (last fiscal year) 21.99% 18.01% —
Revenue growth, 5-year CAGR 7.91% 4.90% 9.62%
Net income growth, 5-year CAGR 19.18% 24.41% 0.00%

Health

Metric CW TXT Aerospace & Defense median
Debt to equity 0.35 0.47 0.24
Current ratio 1.60 1.86 2.72
Net debt to EBITDA 0.77 1.32 1.12

Dividend

Metric CW TXT Aerospace & Defense median
Dividend yield 0.35% 0.09% 1.04%
Payout ratio 0.09 0.02 0.00

Size

Metric CW TXT Aerospace & Defense median
Market cap 20.10b 13.00b 2.52b

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