Zimmer Partners LP Purchases 97,000 Shares of Eaton Corporation, PLC $ETN

Key Points

• Zimmer Partners LP increased its stake in Eaton Corporation by 128.6%, acquiring an additional 97,000 shares, bringing its total holdings to 172,400 shares valued at approximately $46.9 million.
• Eaton's latest earnings report showed a 10.7% year-over-year revenue increase with earnings per share of $2.95, outpacing analysts' expectations of $2.92.
• The company declared a quarterly dividend of $1.04, reflecting a 1.2% yield and a payout ratio of 41.85%.

Zimmer Partners LP boosted its holdings in Eaton Corporation, PLC (NYSE:ETN - Free Report) by 128.6% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 172,400 shares of the industrial products company's stock after purchasing an additional 97,000 shares during the period. Zimmer Partners LP's holdings in Eaton were worth $46,863,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also added to or reduced their stakes in the business. Empowered Funds LLC grew its position in Eaton by 5.6% in the first quarter. Empowered Funds LLC now owns 9,402 shares of the industrial products company's stock valued at $2,556,000 after purchasing an additional 496 shares in the last quarter. Logan Capital Management Inc. grew its position in Eaton by 27.1% in the first quarter. Logan Capital Management Inc. now owns 31,196 shares of the industrial products company's stock valued at $8,480,000 after purchasing an additional 6,660 shares in the last quarter. MBB Public Markets I LLC bought a new position in Eaton in the first quarter valued at $968,000. Meiji Yasuda Life Insurance Co grew its position in Eaton by 13.2% in the first quarter. Meiji Yasuda Life Insurance Co now owns 54,529 shares of the industrial products company's stock valued at $14,823,000 after purchasing an additional 6,343 shares in the last quarter. Finally, United Services Automobile Association acquired a new stake in Eaton in the first quarter valued at $2,550,000. Institutional investors own 82.97% of the company's stock.

Eaton Stock Performance

Shares of NYSE ETN traded up $6.23 during mid-day trading on Friday, reaching $366.31. 3,108,319 shares of the company were exchanged, compared to its average volume of 2,942,599. The company's 50-day simple moving average is $362.04 and its 200-day simple moving average is $323.66. The company has a quick ratio of 0.76, a current ratio of 1.24 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $142.60 billion, a P/E ratio of 36.85, a P/E/G ratio of 2.59 and a beta of 1.16. Eaton Corporation, PLC has a twelve month low of $231.85 and a twelve month high of $399.56.

Eaton (NYSE:ETN - Get Free Report) last posted its earnings results on Tuesday, August 5th. The industrial products company reported $2.95 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.92 by $0.03. Eaton had a net margin of 15.11% and a return on equity of 23.91%. The company had revenue of $7.03 billion during the quarter, compared to analysts' expectations of $6.93 billion. During the same quarter last year, the company posted $2.73 EPS. Eaton's quarterly revenue was up 10.7% compared to the same quarter last year. Eaton has set its Q3 2025 guidance at 3.010-3.070 EPS. FY 2025 guidance at 11.970-12.170 EPS. As a group, research analysts predict that Eaton Corporation, PLC will post 12.02 earnings per share for the current year.

Eaton Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Thursday, August 7th were paid a $1.04 dividend. The ex-dividend date was Thursday, August 7th. This represents a $4.16 annualized dividend and a yield of 1.1%. Eaton's payout ratio is 41.85%.

Insiders Place Their Bets

In other Eaton news, insider Olivier Leonetti sold 16,018 shares of Eaton stock in a transaction dated 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 owned 630 shares in the company, valued at $225,785.70. The trade was a 96.22% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.30% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. JPMorgan Chase & Co. increased their price target on shares of Eaton from $300.00 to $360.00 and gave the company an "overweight" rating in a research note on Friday, May 16th. Wall Street Zen upgraded shares of Eaton from a "hold" rating to a "buy" rating in a research note on Saturday, August 30th. The Goldman Sachs Group increased their price target on shares of Eaton from $345.00 to $382.00 and gave the company a "buy" rating in a research note on Tuesday, July 8th. Daiwa Capital Markets assumed coverage on shares of Eaton in a research note on Thursday. They issued an "outperform" rating and a $390.00 price target for the company. Finally, Rothschild & Co Redburn assumed coverage on shares of Eaton in a research note on Wednesday, August 20th. They issued a "neutral" rating and a $336.00 price target for the company. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and eight have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $379.59.

Eaton Company Profile

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.