Barclays PLC Cuts Stock Position in Illinois Tool Works Inc. $ITW

Key Points

• Barclays PLC reduced its stake in Illinois Tool Works by 6.4% in the fourth quarter, selling 41,923 shares and leaving it with 610,957 shares valued at about $150.5 million.
• Insider buying offset some caution: Director Jennifer F. Scanlon bought 806 shares at $247.99 each, nearly doubling her position in the company.
• Analysts remain cautious overall, with Barclays cutting its price target to $250 and the stock carrying an average “Reduce” rating and average target of $271.92.

Barclays PLC lessened its holdings in Illinois Tool Works Inc. (NYSE:ITW - Free Report) by 6.4% in the fourth quarter, according to its most recent filing with the SEC. The institutional investor owned 610,957 shares of the industrial products company's stock after selling 41,923 shares during the period. Barclays PLC owned 0.21% of Illinois Tool Works worth $150,479,000 as of its most recent SEC filing.

Other institutional investors have also bought and sold shares of the company. Cresta Advisors Ltd. purchased a new stake in Illinois Tool Works in the 4th quarter worth $25,000. Lodestone Wealth Management LLC purchased a new stake in Illinois Tool Works in the 4th quarter worth $28,000. Beacon Financial Strategies CORP purchased a new stake in Illinois Tool Works in the 4th quarter worth $29,000. Ares Financial Consulting LLC purchased a new stake in Illinois Tool Works in the 4th quarter worth $31,000. Finally, Meeder Asset Management Inc. grew its position in shares of Illinois Tool Works by 215.0% during the fourth quarter. Meeder Asset Management Inc. now owns 126 shares of the industrial products company's stock valued at $31,000 after purchasing an additional 86 shares in the last quarter. Hedge funds and other institutional investors own 79.77% of the company's stock.

Insider Buying and Selling

In related news, Director Jennifer F. Scanlon purchased 806 shares of the company's stock in a transaction that occurred on Tuesday, June 2nd. The stock was bought at an average price of $247.99 per share, for a total transaction of $199,879.94. Following the completion of the transaction, the director owned 1,652 shares in the company, valued at approximately $409,679.48. The trade was a 95.27% increase in their position. The purchase was disclosed in a filing with the SEC, which is available at the SEC website. Corporate insiders own 0.83% of the company's stock.

Analyst Ratings Changes

ITW has been the subject of a number of research analyst reports. Barclays cut their price objective on Illinois Tool Works from $275.00 to $250.00 and set an "underweight" rating for the company in a research report on Wednesday, April 1st. JPMorgan Chase & Co. cut their price objective on Illinois Tool Works from $303.00 to $295.00 and set an "overweight" rating for the company in a research report on Friday, May 1st. Evercore cut their price objective on Illinois Tool Works from $296.00 to $272.00 in a research report on Monday, May 11th. Wells Fargo & Company raised their price objective on Illinois Tool Works from $245.00 to $255.00 and gave the company an "underweight" rating in a research report on Monday, May 4th. Finally, Citigroup raised their price objective on Illinois Tool Works from $284.00 to $287.00 and gave the company a "neutral" rating in a research report on Monday, May 4th. One analyst has rated the stock with a Buy rating, seven have issued a Hold rating and five have issued a Sell rating to the company's stock. Based on data from MarketBeat, Illinois Tool Works presently has an average rating of "Reduce" and an average price target of $271.92.

Illinois Tool Works Trading Up 1.9%

ITW opened at $262.34 on Tuesday. The firm has a market cap of $75.48 billion, a P/E ratio of 24.36, a P/E/G ratio of 4.42 and a beta of 1.01. Illinois Tool Works Inc. has a 12 month low of $238.82 and a 12 month high of $303.15. The company has a current ratio of 1.19, a quick ratio of 0.86 and a debt-to-equity ratio of 2.04. The stock has a 50-day moving average of $258.25 and a 200 day moving average of $263.11.

Illinois Tool Works (NYSE:ITW - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The industrial products company reported $2.66 EPS for the quarter, topping the consensus estimate of $2.57 by $0.09. The company had revenue of $4.02 billion during the quarter, compared to analyst estimates of $4.01 billion. Illinois Tool Works had a return on equity of 97.36% and a net margin of 19.32%.The firm's revenue was up 4.6% on a year-over-year basis. During the same quarter last year, the business posted $2.38 earnings per share. Illinois Tool Works has set its FY 2026 guidance at 11.100-11.500 EPS. As a group, research analysts forecast that Illinois Tool Works Inc. will post 11.37 EPS for the current year.

Illinois Tool Works Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 10th. Investors of record on Tuesday, June 30th will be given a $1.61 dividend. The ex-dividend date is Tuesday, June 30th. This represents a $6.44 annualized dividend and a yield of 2.5%. Illinois Tool Works's dividend payout ratio (DPR) is currently 59.80%.

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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