Eaton (NYSE:ETN) Stock Price Up 1.2% Following Insider Buying Activity

Key Points

• Insider buying boosted Eaton shares: Director Gerald Johnson purchased 200 shares across two transactions totaling approximately $92,162, increasing his position by 7.65% and 4.30% in the respective filings. Eaton stock rose 1.2% to $457.04.
• Analyst sentiment remains generally positive: Evercore, BMO Capital Markets and RBC raised their ratings or price targets, while the consensus view is “Moderate Buy” from 20 analysts, with an average target of $431.78.
• Eaton reported strong quarterly growth: Quarterly revenue increased 21.4% year over year to $8.53 billion, while adjusted EPS of $3.15 exceeded estimates. The company also declared a $1.10 quarterly dividend, equivalent to a 1.0% yield.

Eaton Corporation, PLC (NYSE:ETN - Get Free Report) traded up 1.2% on Monday after an insider bought additional shares in the company. The stock traded as high as $458.96 and last traded at $457.04. 1,532,162 shares traded hands during mid-day trading, a decline of 42% from the average daily volume of 2,650,771 shares. The stock had previously closed at $451.51.

Specifically, Director Gerald Johnson acquired 130 shares of the business's stock in a transaction on Thursday, August 13th. The stock was purchased at an average price of $455.90 per share, for a total transaction of $59,267.00. Following the transaction, the director owned 1,829 shares in the company, valued at $833,841.10. This trade represents a 7.65% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Gerald Johnson acquired 70 shares of Eaton stock in a transaction on Wednesday, August 12th. The stock was acquired at an average cost of $469.93 per share, for a total transaction of $32,895.10. Following the purchase, the director owned 1,699 shares of the company's stock, valued at approximately $798,411.07. This represents a 4.30% increase in their position. The SEC filing for this purchase provides additional information.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the company. Erste Group Bank initiated coverage on Eaton in a report on Tuesday, May 5th. They issued a "buy" rating for the company. Evercore upgraded shares of Eaton from an "in-line" rating to an "outperform" rating and set a $502.00 price objective for the company in a research report on Monday, August 3rd. BMO Capital Markets upped their target price on shares of Eaton from $477.00 to $487.00 and gave the stock an "outperform" rating in a research report on Monday, August 3rd. Wall Street Zen cut shares of Eaton from a "buy" rating to a "hold" rating in a research note on Sunday. Finally, Royal Bank Of Canada raised their price target on shares of Eaton from $484.00 to $512.00 and gave the company an "outperform" rating in a report on Monday, August 3rd. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $431.78.

Eaton Stock Performance

The stock has a market capitalization of $177.51 billion, a price-to-earnings ratio of 46.49, a price-to-earnings-growth ratio of 2.86 and a beta of 1.18. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.24 and a quick ratio of 0.79. The stock has a 50-day moving average of $413.64 and a 200 day moving average of $393.57.

Eaton (NYSE:ETN - Get Free Report) last released its earnings results on Friday, July 31st. The industrial products company reported $3.15 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.08 by $0.07. Eaton had a net margin of 12.75% and a return on equity of 24.58%. The company had revenue of $8.53 billion for the quarter, compared to the consensus estimate of $8.16 billion. During the same period in the prior year, the company posted $2.95 EPS. The company's revenue was up 21.4% compared to the same quarter last year. Eaton has set its Q3 2026 guidance at 3.460-3.560 EPS and its FY 2026 guidance at 13.400-13.600 EPS. On average, analysts expect that Eaton Corporation, PLC will post 13.54 EPS for the current year.

Eaton Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 7th will be issued a dividend of $1.10 per share. This represents a $4.40 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date of this dividend is Friday, August 7th. Eaton's payout ratio is currently 44.76%.

Institutional Trading of Eaton

Several institutional investors and hedge funds have recently made changes to their positions in ETN. Brighton Jones LLC boosted its holdings in Eaton by 1.4% during the fourth quarter. Brighton Jones LLC now owns 3,341 shares of the industrial products company's stock worth $1,109,000 after buying an additional 45 shares during the last quarter. Revolve Wealth Partners LLC increased its stake in shares of Eaton by 17.5% in the 4th quarter. Revolve Wealth Partners LLC now owns 913 shares of the industrial products company's stock valued at $303,000 after acquiring an additional 136 shares during the last quarter. Empowered Funds LLC raised its position in shares of 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 acquiring an additional 496 shares during the period. Vista Capital Partners Inc. acquired a new stake in shares of Eaton in the 2nd quarter valued at approximately $259,000. Finally, Tandem Wealth Advisors LLC boosted its stake in Eaton by 70.1% during the 2nd quarter. Tandem Wealth Advisors LLC now owns 2,216 shares of the industrial products company's stock worth $791,000 after acquiring an additional 913 shares during the last quarter. Institutional investors own 82.97% of the company's stock.

Eaton Company Profile

Eaton NYSE: ETN is a diversified power management company that designs, manufactures and distributes products and systems to manage electrical, hydraulic and mechanical power. The company's offerings are used to improve energy efficiency, reliability and safety across a wide range of applications, with core capabilities in electrical distribution and control, industrial hydraulics and aerospace systems.

Its product portfolio includes switchgear, circuit breakers, transformers, power distribution units, uninterruptible power supplies and surge protection devices for electrical infrastructure, along with hydraulic pumps, valves and filtration systems for industrial and mobile equipment.

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