Eaton (NYSE:ETN) Updates FY 2025 Earnings Guidance

Key Points

• Eaton has issued FY 2025 EPS guidance of 11.970-12.170, slightly below the consensus estimate of 11.971, along with a revenue guidance update.
• The company announced a quarterly dividend of $1.04, which will be paid on August 22nd, reflecting an annualized yield of 1.2%.
• Analysts have mixed views on Eaton's stock, with price targets ranging from $340.00 to $396.00 and a consensus rating of "Moderate Buy."

Eaton (NYSE:ETN - Get Free Report) updated its FY 2025 earnings guidance on Tuesday. The company provided EPS guidance of 11.970-12.170 for the period, compared to the consensus EPS estimate of 11.971. The company issued revenue guidance of -. Eaton also updated its Q3 2025 guidance to 3.010-3.070 EPS.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the company. BNP Paribas started coverage on Eaton in a research note on Thursday, May 15th. They issued an "outperform" rating and a $380.00 price target for the company. Raymond James Financial upped their price target on Eaton from $380.00 to $415.00 and gave the stock an "outperform" rating in a research note on Thursday. Royal Bank Of Canada raised their price objective on Eaton from $336.00 to $356.00 and gave the company an "outperform" rating in a research note on Monday, May 5th. The Goldman Sachs Group lifted their price target on Eaton from $345.00 to $382.00 and gave the stock a "buy" rating in a report on Tuesday, July 8th. Finally, Sanford C. Bernstein restated an "outperform" rating and set a $396.00 price target on shares of Eaton in a research note on Monday, July 14th. Seven analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $383.63.

Eaton Stock Up 0.6%

Eaton stock traded up $2.32 during mid-day trading on Thursday, reaching $359.44. 1,673,368 shares of the company's stock were exchanged, compared to its average volume of 3,077,718. The company has a fifty day moving average of $353.44 and a 200-day moving average of $318.25. The company has a market cap of $140.65 billion, a P/E ratio of 36.16, a P/E/G ratio of 2.69 and a beta of 1.18. Eaton has a twelve month low of $231.85 and a twelve month high of $399.56. The company has a quick ratio of 0.84, a current ratio of 1.24 and a debt-to-equity ratio of 0.47.

Eaton (NYSE:ETN - Get Free Report) last released its earnings results on Tuesday, August 5th. The industrial products company reported $2.95 EPS for the quarter, topping the consensus estimate of $2.92 by $0.03. Eaton had a net margin of 15.11% and a return on equity of 23.91%. The company had revenue of $7.03 billion during the quarter, compared to analysts' expectations of $6.93 billion. During the same quarter last year, the business earned $2.73 EPS. The business's revenue was up 10.7% on a year-over-year basis. Sell-side analysts expect that Eaton will post 12.02 EPS for the current year.

Eaton Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 22nd. Investors of record on Thursday, August 7th will be given a dividend of $1.04 per share. The ex-dividend date is Thursday, August 7th. This represents a $4.16 dividend on an annualized basis and a yield of 1.2%. Eaton's dividend payout ratio (DPR) is 41.98%.

Insiders Place Their Bets

In other news, insider Craig Arnold sold 103,486 shares of the stock in a transaction dated Monday, May 12th. The shares were sold at an average price of $322.75, for a total transaction of $33,400,106.50. Following the transaction, the insider directly owned 490,208 shares in the company, valued at $158,214,632. This represents a 17.43% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 0.30% of the company's stock.

Hedge Funds Weigh In On Eaton

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Revolve Wealth Partners LLC lifted its stake in Eaton by 17.5% in the fourth quarter. Revolve Wealth Partners LLC now owns 913 shares of the industrial products company's stock valued at $303,000 after buying an additional 136 shares during the last quarter. Brighton Jones LLC lifted its position in Eaton by 1.4% during the 4th quarter. Brighton Jones LLC now owns 3,341 shares of the industrial products company's stock worth $1,109,000 after acquiring an additional 45 shares during the last quarter. Finally, Empowered Funds LLC boosted its holdings in Eaton by 5.6% in the 1st quarter. Empowered Funds LLC now owns 9,402 shares of the industrial products company's stock valued at $2,556,000 after purchasing an additional 496 shares during the period. Institutional investors and hedge funds own 82.97% of the company's stock.

About Eaton

Eaton Corporation plc operates as a power management company worldwide. The company's Electrical Americas and Electrical Global segment provides electrical components, industrial components, power distribution and assemblies, residential products, single and three phase power quality and connectivity products, wiring devices, circuit protection products, utility power distribution products, power reliability equipment, and services, as well as hazardous duty electrical equipment, emergency lighting, fire detection, explosion-proof instrumentation, and structural support systems.