Eaton Corporation, PLC (NYSE:ETN) Shareholders to Receive $1.10 Quarterly Dividend

Key Points

• Eaton declared a quarterly dividend of $1.10 per share, payable November 27 to shareholders of record on November 10. The payment represents an annualized dividend of $4.40 and a 1.1% yield.
• The dividend appears well covered, with a current payout ratio of 36.9% and an expected future payout ratio of 27.3% based on projected earnings.
• Eaton’s latest quarterly results exceeded expectations: EPS was $3.15 versus the $3.08 consensus, while revenue rose 21.4% year over year to $8.53 billion.

Eaton Corporation, PLC (NYSE:ETN - Get Free Report) declared a quarterly dividend on Tuesday, October 27th. Investors of record on Tuesday, November 10th will be given a dividend of $1.10 per share by the industrial products company on Friday, November 27th. This represents a $4.40 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Tuesday, November 10th.

Eaton has increased its dividend by an average of 0.1% per year over the last three years. Eaton has a dividend payout ratio of 36.9% indicating that its dividend is sufficiently covered by earnings. Analysts expect Eaton to earn $16.11 per share next year, which means the company should continue to be able to cover its $4.40 annual dividend with an expected future payout ratio of 27.3%.

Eaton Stock Up 3.2%

Eaton stock opened at $383.78 on Wednesday. The company has a market capitalization of $149.06 billion, a PE ratio of 39.04 and a beta of 1.13. The firm has a fifty day simple moving average of $413.39 and a two-hundred day simple moving average of $395.18. Eaton has a twelve month low of $311.92 and a twelve month high of $478.00.

Eaton (NYSE:ETN - Get Free Report) last posted its quarterly earnings results on Friday, July 31st. The industrial products company reported $3.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.08 by $0.07. The business had revenue of $8.53 billion for the quarter, compared to analysts' expectations of $8.16 billion. The business's quarterly revenue was up 21.4% on a year-over-year basis. During the same quarter in the previous year, the company earned $2.95 earnings per share. Eaton has set its Q3 2026 guidance at 3.460-3.560 EPS and its FY 2026 guidance at 13.400-13.600 EPS. As a group, equities analysts expect that Eaton will post 13.59 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Heath B. Monesmith sold 18,036 shares of the firm's stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $458.04, for a total value of $8,261,209.44. Following the completion of the sale, the insider owned 50,368 shares of the company's stock, valued at $23,070,558.72. This trade represents a 26.37% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Gerald Johnson purchased 130 shares of the business's stock in a transaction that occurred on Thursday, August 13th. The stock was bought at an average price of $455.90 per share, for a total transaction of $59,267.00. Following the acquisition, the director owned 1,829 shares of the company's stock, valued at $833,841.10. This represents a 7.65% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 0.10% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the stock. Security National Bank of SO Dak purchased a new position in shares of Eaton during the second quarter valued at about $26,000. Manning & Napier Advisors LLC bought a new stake in Eaton during the 2nd quarter valued at approximately $27,000. Curry Webb Wealth Management LLC bought a new stake in Eaton during the 3rd quarter valued at approximately $29,000. Boreal Capital Management LLC purchased a new position in shares of Eaton during the 1st quarter worth approximately $33,000. Finally, North Point Portfolio Managers Corp OH purchased a new position in shares of Eaton during the 3rd quarter worth approximately $34,000. 82.97% of the stock is currently owned by institutional investors.

Eaton Company Profile

Eaton Corporation plc is a global intelligent power management company that helps businesses, utilities, data centers, manufacturers and other organizations manage electrical, hydraulic and mechanical power more safely, efficiently and reliably. Its solutions support applications ranging from power distribution and backup systems to industrial automation, building infrastructure and transportation.

The company's Electrical segment provides products and systems such as circuit breakers, switchgear, power distribution equipment, surge protection, energy management software and data center power solutions.

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