California State Teachers Retirement System Sells 11,286 Shares of Eaton Corporation, PLC $ETN

Key Points

• California State Teachers Retirement System reduced its Eaton stake by 1.9%, selling 11,286 shares and retaining 584,718 shares valued at approximately $249.2 million. Institutional investors collectively own 82.97% of Eaton.
• Eaton reported strong quarterly results, with EPS of $3.15 beating estimates and revenue rising 21.4% year over year to $8.53 billion. The company provided 2026 guidance of $3.46–$3.56 EPS for the third quarter and $13.40–$13.60 for the full year.
• Analysts remain broadly positive, with a consensus “Buy” rating and an average price target of $442, though Eaton’s valuation and competition in data-center power solutions may limit further upside.

California State Teachers Retirement System cut its stake in shares of Eaton Corporation, PLC (NYSE:ETN - Free Report) by 1.9% in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 584,718 shares of the industrial products company's stock after selling 11,286 shares during the period. California State Teachers Retirement System owned approximately 64.15% of Eaton worth $249,160,034 as of its most recent SEC filing.

Other institutional investors and hedge funds have also added to or reduced their stakes in the company. Tanager Wealth Management LLP raised its position in shares of Eaton by 5.4% in the 2nd quarter. Tanager Wealth Management LLP now owns 606 shares of the industrial products company's stock valued at $258,000 after acquiring an additional 31 shares during the period. Ameritas Advisory Services LLC grew its holdings in Eaton by 667.9% during the second quarter. Ameritas Advisory Services LLC now owns 7,556 shares of the industrial products company's stock valued at $3,220,000 after purchasing an additional 6,572 shares during the period. Guardian Wealth Advisors LLC NC bought a new stake in Eaton in the second quarter valued at approximately $201,000. Wedmont Private Capital increased its stake in Eaton by 2.4% in the second quarter. Wedmont Private Capital now owns 6,729 shares of the industrial products company's stock valued at $2,741,000 after purchasing an additional 157 shares in the last quarter. Finally, Kintra Wealth LLC acquired a new stake in Eaton in the second quarter worth $265,000. Institutional investors own 82.97% of the company's stock.

Key Eaton News

Here are the key news stories impacting Eaton this week:

• Positive Sentiment: Eaton plans to invest more than $242 million in a 1-million-square-foot facility in North Little Rock, Arkansas. The plant is expected to double Fibrebond’s U.S. capacity for customized electrical enclosures and create approximately 1,200 jobs, helping address supply constraints tied to data centers, utilities and broader electrification. Eaton to Boost U.S. Power Capacity With $242M Arkansas Plant
• Positive Sentiment: Analyst valuation work raised Eaton’s estimated fair value to $475.57 from $464.59, citing AI-related data-center demand, a strong project backlog and improved visibility into electrical-sector growth. Several published price targets are above the revised valuation. Eaton Stock Gets Fair Value Bump As Analysts Back AI Data Center Growth
• Positive Sentiment: Recent results showed continued operating momentum: Eaton beat quarterly earnings expectations, reported revenue growth of 21.4% year over year and issued third-quarter and full-year 2026 earnings guidance that supports the bullish growth narrative.
• Neutral Sentiment: CEO Paulo Ruiz will discuss Eaton’s growth strategy, portfolio transformation and demand across data centers, utilities and aerospace at Morgan Stanley’s Laguna Conference on September 16. The event could provide additional guidance on orders and execution. Eaton to Participate in the Morgan Stanley Laguna Conference
• Neutral Sentiment: High trading volume in Eaton put options indicates some investors are hedging or positioning for weakness, but options activity alone does not establish a clear directional signal. Investors Buy High Volume of Eaton Put Options
• Negative Sentiment: Commentary warns that Eaton’s strong secular growth story is already reflected in a relatively demanding valuation, potentially limiting further gains. Separately, Vertiv’s acquisition of UtilityInnovation Group highlights increasing competition to solve data-center power bottlenecks. Eaton Strong Secular Growth, But Valuation Limits Upside

Insider Transactions at Eaton

In related news, Director Gerald Johnson purchased 130 shares of Eaton stock in a transaction that occurred on Thursday, August 13th. The stock was purchased at an average cost of $455.90 per share, with a total value of $59,267.00. Following the completion of the transaction, the director owned 1,829 shares of the company's stock, valued at approximately $833,841.10. This trade represents a 7.65% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Heath Monesmith sold 18,036 shares of the firm's stock in a transaction that occurred 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 transaction, the insider owned 50,368 shares of the company's stock, valued at approximately $23,070,558.72. This represents a 26.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.10% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on ETN shares. Robert W. Baird set a $500.00 price target on shares of Eaton and gave the company an "outperform" rating in a report on Thursday, August 20th. BMO Capital Markets raised their price objective on Eaton from $477.00 to $487.00 and gave the stock an "outperform" rating in a research note on Monday, August 3rd. Wall Street Zen lowered Eaton from a "buy" rating to a "hold" rating in a report on Sunday, August 16th. Weiss Ratings raised Eaton from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, August 28th. Finally, Sanford C. Bernstein restated an "outperform" rating on shares of Eaton in a report on Monday, August 3rd. Three research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, Eaton currently has a consensus rating of "Buy" and an average price target of $442.00.

Eaton Stock Up 0.1%

Shares of ETN stock opened at $411.08 on Monday. The firm has a fifty day moving average of $415.42 and a 200-day moving average of $398.26. The company has a quick ratio of 0.79, a current ratio of 1.24 and a debt-to-equity ratio of 0.91. Eaton Corporation, PLC has a 12-month low of $311.92 and a 12-month high of $478.00. The company has a market capitalization of $159.66 billion, a price-to-earnings ratio of 41.82, a P/E/G ratio of 2.60 and a beta of 1.17.

Eaton (NYSE:ETN - Get Free Report) last issued its quarterly earnings data on Friday, July 31st. The industrial products company reported $3.15 EPS for the quarter, topping analysts' consensus estimates of $3.08 by $0.07. The business had revenue of $8.53 billion for the quarter, compared to analyst estimates of $8.16 billion. Eaton had a net margin of 12.75% and a return on equity of 24.58%. The firm's quarterly revenue was up 21.4% on a year-over-year basis. During the same period last year, the business 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. As a group, equities research analysts predict that Eaton Corporation, PLC will post 13.56 earnings per share for the current fiscal year.

Eaton Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Friday, August 7th were given a $1.10 dividend. This represents a $4.40 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date of this dividend was Friday, August 7th. Eaton's dividend payout ratio (DPR) is currently 44.76%.

About Eaton

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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