ETN vs. TXT: Eaton vs. Textron Stock Comparison
How do Eaton (ETN) and Textron (TXT) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Eaton (ETN) and Textron (TXT) both fall under the Capital Goods industry group, but ETN is classified in Electrical Equipment while TXT is classified in Aerospace & Defense.
| Profile Item | ETN | TXT |
|---|---|---|
| Name | Eaton Corporation plc | Textron Inc. |
| Country/Region | Ireland | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry Group | Capital Goods | Capital Goods |
| GICS Industry | Electrical Equipment | Aerospace & Defense |
| GICS Sub-Industry | Electrical Components & Equipment | Aerospace & Defense |
| Market Capitalization | 132.76 billion USD | 14.15 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | June 1, 1972 | February 21, 1973 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ETN | TXT |
|---|---|---|
| Total Return (1Y) | -2.33% | 3.94% |
| Total Return (3Y, Annualized) | 19.68% | 4.49% |
| Total Return (5Y, Annualized) | 17.50% | 2.30% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | ETN | TXT |
|---|---|---|
| Volatility (1Y, Annualized) | 43.57% | 29.18% |
| Beta (5Y) | 1.14 | 0.87 |
| Max Drawdown (5Y) | -34.46% | -37.33% |
| Avg. Volume (3M) | 2.32M | 1.72M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ETN | TXT |
|---|---|---|
| Sharpe Ratio (1Y) | -0.15 | -0.01 |
| Sortino Ratio (1Y) | -0.21 | -0.02 |
Profitability
ROE (TTM)
Eaton (ETN) at 19.55% sits in the top ROE quartile, while Textron (TXT) at 12.48% is closer to the peer norm — stronger capital efficiency for ETN.
ETN
Capital Goods industry group
19.55%
- Max
- 40.55%
- ETN
- 19.55%
- Q3
- 19.29%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
TXT
Capital Goods industry group
12.48%
- Max
- 40.55%
- Q3
- 19.29%
- TXT
- 12.48%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
Net Margin (TTM)
Eaton (ETN) at 12.18% retains a top-quartile share of revenue as profit, ahead of Textron (TXT) at 6.30%, which keeps about the industry-typical share.
ETN
Capital Goods industry group
12.18%
- Max
- 27.47%
- ETN
- 12.18%
- Q3
- 12.10%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
TXT
Capital Goods industry group
6.30%
- Max
- 27.47%
- Q3
- 12.10%
- TXT
- 6.30%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
Operating Margin (TTM)
Both Eaton (ETN) at 17.85% and Textron (TXT) at 9.33% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.
ETN
Capital Goods industry group
17.85%
- Max
- 36.60%
- Q3
- 18.33%
- ETN
- 17.85%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
TXT
Capital Goods industry group
9.33%
- Max
- 36.60%
- Q3
- 18.33%
- Median
- 11.12%
- TXT
- 9.33%
- Q1
- 5.14%
- Min
- -12.63%
Profitability Metrics
| Metric | ETN | TXT |
|---|---|---|
| ROE (TTM) | 19.55% | 12.48% |
| ROA (TTM) | 7.22% | 4.51% |
| Net Margin (TTM) | 12.18% | 6.30% |
| Operating Margin (TTM) | 17.85% | 9.33% |
| Gross Margin (TTM) | 35.16% | 17.53% |
Growth
Revenue Growth
Both Eaton (ETN) at 10.33% and Textron (TXT) at 8.01% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Both Eaton (ETN) at 10.00% and Textron (TXT) at 18.02% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | ETN | TXT |
|---|---|---|
| Revenue Growth (YoY) | 10.33% | 8.01% |
| Revenue Growth (3Y CAGR) | 9.77% | 4.77% |
| EPS Growth (YoY) | 10.00% | 18.02% |
| EPS Growth (3Y CAGR) | 19.39% | 8.42% |
Financial Strength
Current Ratio (MRQ)
Textron (TXT) at 1.80 keeps current ratio within its industry’s typical mid-range, while Eaton (ETN) at 1.23 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for ETN.
ETN
Capital Goods industry group
1.23
- Max
- 5.22
- Q3
- 2.95
- Median
- 2.08
- Q1
- 1.43
- ETN
- 1.23
- Min
- 0.36
TXT
Capital Goods industry group
1.80
- Max
- 5.22
- Q3
- 2.95
- Median
- 2.08
- TXT
- 1.80
- Q1
- 1.43
- Min
- 0.36
Debt / Equity (MRQ)
Both Eaton (ETN) at 1.00 and Textron (TXT) at 0.52 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
ETN
Capital Goods industry group
1.00
- Max
- 2.33
- Q3
- 1.12
- ETN
- 1.00
- Median
- 0.60
- Q1
- 0.29
- Min
- 0.00
TXT
Capital Goods industry group
0.52
- Max
- 2.33
- Q3
- 1.12
- Median
- 0.60
- TXT
- 0.52
- Q1
- 0.29
- Min
- 0.00
Financial Strength Metrics
| Metric | ETN | TXT |
|---|---|---|
| Current Ratio (MRQ) | 1.23 | 1.80 |
| Debt / Equity (MRQ) | 1.00 | 0.52 |
| Net Debt / EBITDA | 2.85 | 1.54 |
Dividends
Dividend Yield (TTM)
Eaton (ETN) at 1.33% delivers top-quartile income for its industry, while Textron (TXT) at 0.09% pays a more typical yield — both are credible income propositions, ETN the richer one.
ETN
Capital Goods industry group
1.33%
- Max
- 2.66%
- ETN
- 1.33%
- Q3
- 1.14%
- Median
- 0.24%
- Q1
- 0.00%
- Min
- 0.00%
TXT
Capital Goods industry group
0.09%
- Max
- 2.66%
- Q3
- 1.14%
- Median
- 0.24%
- TXT
- 0.09%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Textron (TXT) at 1.44% pays out a band-typical share of earnings, while Eaton (ETN) at 43.36% distributes more than its industry norm — less retained, thinner cover.
ETN
Capital Goods industry group
43.36%
- Max
- 67.39%
- ETN
- 43.36%
- Q3
- 28.02%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
TXT
Capital Goods industry group
1.44%
- Max
- 67.39%
- Q3
- 28.02%
- Median
- 6.86%
- TXT
- 1.44%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ETN | TXT |
|---|---|---|
| Dividend Yield (TTM) | 1.33% | 0.09% |
| Dividend Payout Ratio (TTM) | 43.36% | 1.44% |
Valuation
P/E Ratio (TTM)
Textron (TXT) at 15.03 sits in the cheaper P/E ratio quartile, while Eaton (ETN) at 34.14 is closer to its industry’s usual earnings multiple — a discount for TXT, though growth and earnings durability still matter.
ETN
Capital Goods industry group
34.14
- Max
- 59.38
- Q3
- 35.92
- ETN
- 34.14
- Median
- 25.41
- Q1
- 19.47
- Min
- 3.03
TXT
Capital Goods industry group
15.03
- Max
- 59.38
- Q3
- 35.92
- Median
- 25.41
- Q1
- 19.47
- TXT
- 15.03
- Min
- 3.03
P/S Ratio (TTM)
Textron (TXT) at 0.92 looks cheap on sales in the lower P/S ratio quartile, while Eaton (ETN) at 4.15 looks rich in the upper quartile — a clear gap in price per dollar of revenue.
ETN
Capital Goods industry group
4.15
- Max
- 7.54
- ETN
- 4.15
- Q3
- 3.76
- Median
- 2.15
- Q1
- 1.03
- Min
- 0.03
TXT
Capital Goods industry group
0.92
- Max
- 7.54
- Q3
- 3.76
- Median
- 2.15
- Q1
- 1.03
- TXT
- 0.92
- Min
- 0.03
P/B Ratio (MRQ)
Textron (TXT) at 1.74 looks cheap against book in the lower P/B ratio quartile, while Eaton (ETN) at 6.33 carries a premium in the upper quartile — a clear price-to-book gap.
ETN
Capital Goods industry group
6.33
- Max
- 9.66
- ETN
- 6.33
- Q3
- 5.00
- Median
- 3.12
- Q1
- 1.81
- Min
- -1.08
TXT
Capital Goods industry group
1.74
- Max
- 9.66
- Q3
- 5.00
- Median
- 3.12
- Q1
- 1.81
- TXT
- 1.74
- Min
- -1.08
Valuation Metrics
| Metric | ETN | TXT |
|---|---|---|
| P/E Ratio (TTM) | 34.14 | 15.03 |
| P/S Ratio (TTM) | 4.15 | 0.92 |
| P/B Ratio (MRQ) | 6.33 | 1.74 |
| Free Cash Flow Yield (TTM) | 2.29% | 5.35% |