Cardinal Capital Management Increases Stake in Illinois Tool Works Inc. $ITW

Key Points

• Cardinal Capital Management increased its stake in Illinois Tool Works Inc. by 2.3%, owning 42,708 shares valued at approximately $10.6 million, making it the firm’s 19th largest holding.
• Illinois Tool Works recently raised its quarterly dividend to $1.61, up from $1.50, representing an annualized yield of 2.5%.
• The company reported earnings of $2.58 per share for its latest quarter, surpassing analyst expectations, with a revenue of $4.05 billion, which also beat estimates.

Cardinal Capital Management raised its position in Illinois Tool Works Inc. (NYSE:ITW - Free Report) by 2.3% during the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 42,708 shares of the industrial products company's stock after purchasing an additional 972 shares during the quarter. Illinois Tool Works accounts for approximately 1.6% of Cardinal Capital Management's holdings, making the stock its 19th biggest holding. Cardinal Capital Management's holdings in Illinois Tool Works were worth $10,623,000 at the end of the most recent quarter.

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

Insider Activity at Illinois Tool Works

In other news, CAO Randall J. Scheuneman sold 6,802 shares of the company's stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $265.08, for a total value of $1,803,074.16. Following the sale, the chief accounting officer directly owned 10,314 shares of the company's stock, valued at $2,734,035.12. This represents a 39.74% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.88% of the stock is owned by company insiders.

Illinois Tool Works Price Performance

Shares of ITW opened at $261.07 on Tuesday. The company has a debt-to-equity ratio of 2.40, a current ratio of 1.59 and a quick ratio of 1.15. The company's fifty day moving average price is $261.15 and its 200-day moving average price is $250.69. The firm has a market capitalization of $76.10 billion, a PE ratio of 22.88, a price-to-earnings-growth ratio of 5.65 and a beta of 1.10. Illinois Tool Works Inc. has a 1-year low of $214.66 and a 1-year high of $279.13.

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

Illinois Tool Works Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Tuesday, September 30th will be given a $1.61 dividend. 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 yield of 2.5%. The ex-dividend date is Tuesday, September 30th. Illinois Tool Works's payout ratio is currently 52.59%.

Wall Street Analyst Weigh In

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

Illinois Tool Works Company 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.

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