AXQ Capital LP Acquires 10,005 Shares of Illinois Tool Works Inc. $ITW

Key Points

• AXQ Capital increased its Illinois Tool Works stake by 1,170.2% in the second quarter, purchasing 10,005 additional shares and bringing its holdings to 10,860 shares valued at approximately $2.94 million. Institutional investors collectively own 79.77% of ITW.
• Illinois Tool Works reported quarterly earnings of $2.84 per share, exceeding estimates, while revenue rose 6.1% year over year to $4.30 billion. The company also raised its quarterly dividend to $1.72 per share, equal to a 2.5% annualized yield.
• Insiders recently sold shares, including a director’s sale of 41,431 shares worth nearly $11.9 million. Analyst sentiment remains cautious, with an average “Reduce” rating and a consensus price target of $281.25.

AXQ Capital LP boosted its stake in shares of Illinois Tool Works Inc. (NYSE:ITW - Free Report) by 1,170.2% in the 2nd quarter, according to its most recent Form 13F filing with the SEC. The fund owned 10,860 shares of the industrial products company's stock after purchasing an additional 10,005 shares during the period. AXQ Capital LP's holdings in Illinois Tool Works were worth $2,937,000 as of its most recent filing with the SEC.

Several other institutional investors have also recently made changes to their positions in the stock. Brighton Jones LLC boosted its holdings in Illinois Tool Works by 5.3% in the 4th quarter. Brighton Jones LLC now owns 5,519 shares of the industrial products company's stock valued at $1,399,000 after purchasing an additional 277 shares during the period. Bison Wealth LLC increased its holdings in shares of Illinois Tool Works by 2.3% during the fourth quarter. Bison Wealth LLC now owns 3,555 shares of the industrial products company's stock worth $901,000 after purchasing an additional 81 shares during the period. Sivia Capital Partners LLC raised its position in shares of Illinois Tool Works by 20.6% in the second quarter. Sivia Capital Partners LLC now owns 1,038 shares of the industrial products company's stock valued at $257,000 after buying an additional 177 shares in the last quarter. Sei Investments Co. boosted its stake in shares of Illinois Tool Works by 22.0% in the second quarter. Sei Investments Co. now owns 106,784 shares of the industrial products company's stock valued at $26,401,000 after buying an additional 19,248 shares during the period. Finally, Treasurer of the State of North Carolina increased its stake in Illinois Tool Works by 2.2% during the 2nd quarter. Treasurer of the State of North Carolina now owns 136,884 shares of the industrial products company's stock worth $33,845,000 after acquiring an additional 2,890 shares during the period. Institutional investors and hedge funds own 79.77% of the company's stock.

Insider Buying and Selling

In other news, Director Ernest Santi sold 41,431 shares of the company's stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $287.09, for a total value of $11,894,425.79. Following the sale, the director directly owned 266,288 shares of the company's stock, valued at approximately $76,448,621.92. This represents a 13.46% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CAO Matteo C. Pigozzo sold 277 shares of the stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $289.22, for a total transaction of $80,113.94. Following the sale, the chief accounting officer owned 3,394 shares of the company's stock, valued at approximately $981,612.68. This trade represents a 7.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 0.83% of the company's stock.

Illinois Tool Works Stock Up 0.9%

NYSE:ITW opened at $271.54 on Friday. The company has a market cap of $77.33 billion, a PE ratio of 24.62, a P/E/G ratio of 3.64 and a beta of 0.98. The firm's 50 day simple moving average is $280.36 and its 200 day simple moving average is $270.63. The company has a debt-to-equity ratio of 2.26, a current ratio of 1.11 and a quick ratio of 0.81. Illinois Tool Works Inc. has a one year low of $238.82 and a one year high of $303.15.

Illinois Tool Works (NYSE:ITW - Get Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The industrial products company reported $2.84 earnings per share for the quarter, beating analysts' consensus estimates of $2.80 by $0.04. Illinois Tool Works had a return on equity of 101.72% and a net margin of 19.39%.The business had revenue of $4.30 billion during the quarter, compared to the consensus estimate of $4.19 billion. During the same period in the prior year, the business posted $2.58 earnings per share. Illinois Tool Works's quarterly revenue was up 6.1% on a year-over-year basis. Illinois Tool Works has set its FY 2026 guidance at 11.350-11.550 EPS. On average, research analysts anticipate that Illinois Tool Works Inc. will post 11.45 earnings per share for the current year.

Illinois Tool Works Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 9th. Shareholders of record on Wednesday, September 30th will be given a dividend of $1.72 per share. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $6.88 dividend on an annualized basis and a yield of 2.5%. This is a boost from Illinois Tool Works's previous quarterly dividend of $1.61. Illinois Tool Works's payout ratio is currently 58.39%.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on the stock. Wolfe Research reaffirmed an "underperform" rating and set a $286.00 price objective on shares of Illinois Tool Works in a research report on Thursday, July 9th. Evercore lowered their price objective on shares of Illinois Tool Works from $296.00 to $272.00 in a research report on Monday, May 11th. Truist Financial raised their target price on Illinois Tool Works from $280.00 to $301.00 and gave the company a "hold" rating in a report on Thursday, July 2nd. JPMorgan Chase & Co. lifted their price target on Illinois Tool Works from $310.00 to $350.00 and gave the company an "overweight" rating in a research note on Wednesday, July 29th. Finally, Weiss Ratings raised Illinois Tool Works from a "hold (c+)" rating to a "buy (b-)" rating in a report on Tuesday, August 11th. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and five have given a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Reduce" and a consensus price target of $281.25.

Illinois Tool Works Company Profile

Illinois Tool Works Inc (ITW) is a diversified industrial manufacturer that designs and produces a broad array of engineered products, consumables and related service solutions for industrial customers. Its offerings span engineered fastening systems, specialty components, industrial equipment, welding products, foodservice and packaging equipment, adhesives and polymer products, and test-and-measurement technologies. These products are used as critical inputs by customers across automotive, construction, electronics, foodservice, maintenance and other industrial end markets.

The company operates a decentralized business model in which independently managed businesses focus on niche product lines and close customer relationships.

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