Zacks Research Analysts Lift Earnings Estimates for Eaton

Key Points

• Zacks Research raised its Eaton earnings estimates to $3.93 per share for Q2 2027, $4.26 for Q3 2027 and $15.83 for full-year 2027.
• Eaton’s latest quarterly results exceeded expectations, with EPS of $3.15 versus the $3.08 consensus and revenue of $8.53 billion, up 21.4% year over year. The company also issued 2026 EPS guidance of $13.40–$13.60.
• Analyst sentiment remains positive: Eaton has a consensus “Buy” rating and an average price target of $451.62, while institutional investors own 82.97% of the stock. The company pays a quarterly dividend of $1.10, yielding about 1.0% annually.

Eaton Corporation, PLC (NYSE:ETN - Free Report) - Equities researchers at Zacks Research increased their Q2 2027 earnings estimates for Eaton in a research report issued to clients and investors on Monday, September 21st. Zacks Research analyst Team now expects that the industrial products company will post earnings per share of $3.93 for the quarter, up from their previous estimate of $3.92. The consensus estimate for Eaton's current full-year earnings is $13.56 per share. Zacks Research also issued estimates for Eaton's Q3 2027 earnings at $4.26 EPS and FY2027 earnings at $15.83 EPS.

Several other analysts have also weighed in on the stock. Citigroup boosted their target price on shares of Eaton from $471.00 to $485.00 and gave the company a "buy" rating in a research note on Monday, August 3rd. Royal Bank Of Canada raised their target price on shares of Eaton from $484.00 to $512.00 and gave the stock an "outperform" rating in a report on Monday, August 3rd. Robert W. Baird set a $500.00 price target on Eaton and gave the stock an "outperform" rating in a research report on Thursday, August 20th. Weiss Ratings upgraded Eaton from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, August 28th. Finally, Evercore upgraded Eaton from an "in-line" rating to an "outperform" rating and set a $502.00 target price on the stock in a research note on Monday, August 3rd. Two research analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Buy" and an average target price of $451.62.

Eaton Price Performance

Shares of NYSE ETN opened at $434.93 on Tuesday. The company has a current ratio of 1.24, a quick ratio of 0.79 and a debt-to-equity ratio of 0.91. The company has a market capitalization of $168.93 billion, a price-to-earnings ratio of 44.25, a price-to-earnings-growth ratio of 2.57 and a beta of 1.17. Eaton has a twelve month low of $311.92 and a twelve month high of $478.00. The business has a 50 day simple moving average of $416.76 and a 200-day simple moving average of $401.24.

Eaton (NYSE:ETN - Get Free Report) last announced its quarterly earnings data 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 firm had revenue of $8.53 billion for the quarter, compared to analysts' expectations of $8.16 billion. Eaton had a return on equity of 24.58% and a net margin of 12.75%.Eaton's revenue for the quarter was up 21.4% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $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.

Eaton Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Friday, August 7th were issued a $1.10 dividend. The ex-dividend date was Friday, August 7th. This represents a $4.40 annualized dividend and a dividend yield of 1.0%. Eaton's dividend payout ratio (DPR) is 44.76%.

Insider Activity at Eaton

In other news, insider Adam A. Wadecki sold 525 shares of Eaton stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $440.54, for a total transaction of $231,283.50. Following the transaction, the insider directly owned 1,054 shares in the company, valued at approximately $464,329.16. This trade represents a 33.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Heath B. Monesmith sold 18,036 shares of the company's stock in a transaction on Tuesday, August 11th. The shares were 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 approximately $23,070,558.72. This trade represents a 26.37% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 0.10% of the company's stock.

Hedge Funds Weigh In On Eaton

Hedge funds have recently made changes to their positions in the business. Wellington Management Group LLP lifted its stake in Eaton by 19.6% during the second quarter. Wellington Management Group LLP now owns 6,827,266 shares of the industrial products company's stock valued at $2,909,235,000 after purchasing an additional 1,120,567 shares during the last quarter. National Pension Service increased its holdings in shares of Eaton by 3.5% in the second quarter. National Pension Service now owns 864,731 shares of the industrial products company's stock valued at $368,479,000 after buying an additional 29,436 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd lifted its position in shares of Eaton by 112.6% during the 1st quarter. Clal Insurance Enterprises Holdings Ltd now owns 336,060 shares of the industrial products company's stock valued at $120,199,000 after acquiring an additional 178,000 shares during the last quarter. Bartlett & CO. Wealth Management LLC boosted its stake in shares of Eaton by 12.1% during the 1st quarter. Bartlett & CO. Wealth Management LLC now owns 266,845 shares of the industrial products company's stock worth $95,442,000 after acquiring an additional 28,815 shares in the last quarter. Finally, Bowen Hanes & Co. Inc. grew its holdings in shares of Eaton by 0.5% in the 1st quarter. Bowen Hanes & Co. Inc. now owns 204,380 shares of the industrial products company's stock worth $73,101,000 after acquiring an additional 1,025 shares during the last quarter. Institutional investors and hedge funds own 82.97% of the company's stock.

Eaton Company Profile

Eaton plc is a power management company that helps businesses, utilities, data centers, industrial facilities and other customers manage electrical, hydraulic and mechanical power more safely and efficiently. Its products and systems support power distribution, circuit protection, power quality, backup power, industrial automation and energy management.

The company also supplies aerospace systems, including hydraulic, fuel, motion-control and air-management equipment, as well as components and systems for commercial and military aircraft.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.