Canada Pension Plan Investment Board Increases Stake in Eaton Corporation, PLC $ETN

Key Points

• The Canada Pension Plan Investment Board increased its stake in Eaton Corporation by 36.1%, owning approximately 0.13% of the company valued at $136.36 million.
• Analysts are optimistic about Eaton's future, with a consensus rating of "Moderate Buy" and a target price averaging $379.10.
• Eaton reported a quarterly earnings of $2.95 per share, exceeding estimates and showing a 10.7% increase in revenue compared to the previous year.

Canada Pension Plan Investment Board raised its stake in shares of Eaton Corporation, PLC (NYSE:ETN - Free Report) by 36.1% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 501,627 shares of the industrial products company's stock after purchasing an additional 133,094 shares during the quarter. Canada Pension Plan Investment Board owned approximately 0.13% of Eaton worth $136,357,000 at the end of the most recent reporting period.

A number of other hedge funds have also added to or reduced their stakes in the stock. Vermillion & White Wealth Management Group LLC purchased a new position in Eaton during the 1st quarter valued at $54,000. Tortoise Investment Management LLC increased its position in Eaton by 19.3% during the 1st quarter. Tortoise Investment Management LLC now owns 438 shares of the industrial products company's stock valued at $119,000 after purchasing an additional 71 shares during the period. Trexquant Investment LP increased its position in Eaton by 71.1% during the 1st quarter. Trexquant Investment LP now owns 43,042 shares of the industrial products company's stock valued at $11,700,000 after purchasing an additional 17,886 shares during the period. Itau Unibanco Holding S.A. grew its position in shares of Eaton by 140.7% in the 1st quarter. Itau Unibanco Holding S.A. now owns 16,080 shares of the industrial products company's stock worth $4,371,000 after buying an additional 9,399 shares during the period. Finally, OMERS ADMINISTRATION Corp grew its position in shares of Eaton by 2,414.8% in the 1st quarter. OMERS ADMINISTRATION Corp now owns 430,061 shares of the industrial products company's stock worth $116,903,000 after buying an additional 412,960 shares during the period. 82.97% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

ETN has been the topic of a number of recent research reports. Raymond James Financial upped their target price on shares of Eaton from $380.00 to $415.00 and gave the stock an "outperform" rating in a research report on Thursday, August 7th. BNP Paribas Exane initiated coverage on shares of Eaton in a research report on Thursday, May 15th. They issued an "outperform" rating and a $380.00 target price on the stock. Sanford C. Bernstein reaffirmed an "outperform" rating and issued a $396.00 target price on shares of Eaton in a research report on Monday, July 14th. BNP Paribas initiated coverage on shares of Eaton in a research report on Thursday, May 15th. They issued an "outperform" rating and a $380.00 target price on the stock. Finally, Morgan Stanley upped their target price on shares of Eaton from $375.00 to $425.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 6th. Fourteen analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $379.10.

Insider Transactions at Eaton

In related news, insider Olivier Leonetti sold 16,018 shares of the stock in a transaction that occurred on Thursday, August 7th. The shares were sold at an average price of $358.39, for a total value of $5,740,691.02. Following the completion of the sale, the insider directly owned 630 shares of the company's stock, valued at approximately $225,785.70. This represents a 96.22% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.30% of the company's stock.

Eaton Stock Performance

Shares of NYSE:ETN traded down $1.13 during trading on Wednesday, hitting $342.62. The company's stock had a trading volume of 972,941 shares, compared to its average volume of 2,965,120. The company has a 50-day moving average of $362.41 and a 200-day moving average of $321.51. Eaton Corporation, PLC has a 12 month low of $231.85 and a 12 month high of $399.56. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.24 and a quick ratio of 0.76. The firm has a market cap of $133.38 billion, a price-to-earnings ratio of 34.47, a P/E/G ratio of 2.57 and a beta of 1.16.

Eaton (NYSE:ETN - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The industrial products company reported $2.95 earnings per share for the quarter, topping the consensus estimate of $2.92 by $0.03. The firm had revenue of $7.03 billion for the quarter, compared to analysts' expectations of $6.93 billion. Eaton had a net margin of 15.11% and a return on equity of 23.91%. The business's quarterly revenue was up 10.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.73 EPS. Eaton has set its Q3 2025 guidance at 3.010-3.070 EPS. FY 2025 guidance at 11.970-12.170 EPS. On average, sell-side analysts expect that Eaton Corporation, PLC will post 12.02 earnings per share for the current year.

Eaton Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Investors of record on Thursday, August 7th were issued a $1.04 dividend. This represents a $4.16 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend was Thursday, August 7th. Eaton's dividend payout ratio is currently 41.85%.

About Eaton

Eaton Corporation plc operates as a power management company worldwide. The company's Electrical Americas and Electrical Global segment provides electrical components, industrial components, power distribution and assemblies, residential products, single and three phase power quality and connectivity products, wiring devices, circuit protection products, utility power distribution products, power reliability equipment, and services, as well as hazardous duty electrical equipment, emergency lighting, fire detection, explosion-proof instrumentation, and structural support systems.