Textron initiated with a Sell at UBS

UBS analyst Gavin Parsons initiated coverage of Textron with a Sell rating and $73 price target. The analyst launched coverage of the U.S. Aerospace sector, with three Buys, four Neutrals, and two Sells. The firm says that as aerospace continues to normalize post COVID, it sees a return to 5%-plus long-term annual growth in global demand to fly, though it expects what people are flying on to evolve. UBS sees strong demand for new large commercial aircraft coupled with undersupply supporting demand for 2,500 annual deliveries by 2030. That in turn will lead to more retirements and a lower average fleet age, resulting in slower maintenance growth, the analyst tells investors in a research note. As the travel environment normalizes, the firm expects further pressuring of business jet usage and demand, leading to 15% production cuts in 2027 versus 2025.