Bontempo Ohly Capital Mgmt LLC Makes New Investment in Illinois Tool Works Inc. $ITW

Key Points

• Bontempo Ohly Capital Mgmt LLC has acquired a new stake in Illinois Tool Works Inc., purchasing 16,986 shares valued at approximately $4.21 million, making it the firm's 17th largest position.
• The company reported earnings per share of $2.58 for the last quarter, surpassing analysts' expectations, and has set its FY 2025 guidance at 10.350-10.550 EPS.
• Illinois Tool Works has announced an increased quarterly dividend of $1.61 per share, reflecting a yield of 2.4% and a payout ratio of 52.59%.

Bontempo Ohly Capital Mgmt LLC bought a new position in Illinois Tool Works Inc. (NYSE:ITW - Free Report) in the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 16,986 shares of the industrial products company's stock, valued at approximately $4,213,000. Illinois Tool Works makes up about 2.0% of Bontempo Ohly Capital Mgmt LLC's portfolio, making the stock its 17th biggest holding.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in ITW. Ameriflex Group Inc. purchased a new stake in shares of Illinois Tool Works during the 4th quarter valued at about $26,000. von Borstel & Associates Inc. acquired a new stake in Illinois Tool Works during the 1st quarter worth about $26,000. Saudi Central Bank acquired a new stake in Illinois Tool Works during the 1st quarter worth about $29,000. 1248 Management LLC acquired a new stake in shares of Illinois Tool Works during the 1st quarter valued at about $30,000. Finally, Banque Transatlantique SA purchased a new position in Illinois Tool Works in the 1st quarter valued at about $30,000. 79.77% of the stock is owned by hedge funds and other institutional investors.

Illinois Tool Works Stock Up 1.2%

Shares of Illinois Tool Works stock traded up $3.14 during trading hours on Wednesday, reaching $264.98. 247,587 shares of the company were exchanged, compared to its average volume of 1,058,898. Illinois Tool Works Inc. has a 1 year low of $214.66 and a 1 year high of $279.13. The stock's fifty day moving average is $260.95 and its 200 day moving average is $250.82. The company has a debt-to-equity ratio of 2.40, a quick ratio of 1.15 and a current ratio of 1.59. The firm has a market cap of $77.24 billion, a PE ratio of 23.23, a PEG ratio of 5.69 and a beta of 1.10.

Illinois Tool Works (NYSE:ITW - Get Free Report) last posted its earnings results on Wednesday, July 30th. The industrial products company reported $2.58 EPS for the quarter, beating the consensus estimate of $2.56 by $0.02. The firm had revenue of $4.05 billion for the quarter, compared to analyst estimates of $4.01 billion. Illinois Tool Works had a return on equity of 90.89% and a net margin of 21.31%.Illinois Tool Works's revenue for the quarter was up .6% compared to the same quarter last year. During the same quarter in the prior year, the company posted $2.54 earnings per share. Illinois Tool Works has set its FY 2025 guidance at 10.350-10.550 EPS. As a group, equities research analysts forecast that Illinois Tool Works Inc. will post 10.39 earnings per share for the current year.

Illinois Tool Works Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, October 10th. Stockholders of record on Tuesday, September 30th will be issued a $1.61 dividend. The ex-dividend date of this dividend is Tuesday, September 30th. This is an increase from Illinois Tool Works's previous quarterly dividend of $1.50. This represents a $6.44 dividend on an annualized basis and a dividend yield of 2.4%. Illinois Tool Works's dividend payout ratio is presently 52.59%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on ITW shares. Stifel Nicolaus upped their price target on Illinois Tool Works from $255.00 to $261.00 and gave the company a "hold" rating in a research report on Thursday, July 31st. Evercore ISI set a $265.00 price target on Illinois Tool Works and gave the company an "underperform" rating in a research report on Tuesday, August 19th. Wells Fargo & Company upped their price target on Illinois Tool Works from $235.00 to $250.00 and gave the company an "underweight" rating in a research report on Thursday, July 31st. Citigroup upped their price target on Illinois Tool Works from $254.00 to $265.00 and gave the company a "neutral" rating in a research report on Monday, July 14th. Finally, Truist Financial lowered Illinois Tool Works from a "buy" rating to a "hold" rating and set a $283.00 price target for the company. in a research report on Thursday, July 31st. One analyst has rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Reduce" and a consensus price target of $260.67.

Insider Activity

In related news, CAO Randall J. Scheuneman sold 6,802 shares of the company's stock in a transaction on Thursday, September 11th. The stock was sold at an average price of $265.08, for a total transaction of $1,803,074.16. Following the transaction, the chief accounting officer owned 10,314 shares of the company's stock, valued at $2,734,035.12. This represents a 39.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Insiders own 0.88% of the company's stock.

Illinois Tool Works Profile

Illinois Tool Works Inc manufactures and sells industrial products and equipment in the United States and internationally. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products.