HITE Hedge Asset Management LLC Purchases New Holdings in Illinois Tool Works Inc. $ITW

Key Points

• HITE Hedge Asset Management established a new Q3 position in Illinois Tool Works, purchasing 18,935 shares worth about $4.94 million.
• Illinois Tool Works beat quarterly estimates with $2.72 EPS and $4.09 billion in revenue and set FY2026 guidance of $11.00–$11.40 EPS (consensus ~10.39 EPS).
• Significant insider selling was reported—Director Ernest Scott Santi sold 167,345 shares (~$48.7M) and EVP Axel Beck sold 4,223 shares—and the company declared a $1.61 quarterly dividend (annualized $6.44, yield 2.4%; ex-dividend March 31).

HITE Hedge Asset Management LLC acquired a new position in shares of Illinois Tool Works Inc. (NYSE:ITW - Free Report) in the 3rd quarter, according to its most recent filing with the SEC. The fund acquired 18,935 shares of the industrial products company's stock, valued at approximately $4,937,000.

Several other hedge funds and other institutional investors have also made changes to their positions in ITW. Cary Street Partners Investment Advisory LLC increased its position in shares of Illinois Tool Works by 4.2% during the second quarter. Cary Street Partners Investment Advisory LLC now owns 988 shares of the industrial products company's stock worth $244,000 after purchasing an additional 40 shares in the last quarter. Everpar Advisors LLC lifted its holdings in Illinois Tool Works by 1.7% in the 3rd quarter. Everpar Advisors LLC now owns 2,574 shares of the industrial products company's stock valued at $671,000 after purchasing an additional 42 shares in the last quarter. Confluence Wealth Services Inc. boosted its stake in Illinois Tool Works by 1.0% during the 3rd quarter. Confluence Wealth Services Inc. now owns 4,171 shares of the industrial products company's stock worth $1,087,000 after purchasing an additional 43 shares during the last quarter. Montag A & Associates Inc. grew its holdings in shares of Illinois Tool Works by 0.7% during the third quarter. Montag A & Associates Inc. now owns 6,605 shares of the industrial products company's stock worth $1,733,000 after buying an additional 43 shares in the last quarter. Finally, BLB&B Advisors LLC raised its position in shares of Illinois Tool Works by 2.9% in the third quarter. BLB&B Advisors LLC now owns 1,605 shares of the industrial products company's stock valued at $419,000 after buying an additional 45 shares during the last quarter. Hedge funds and other institutional investors own 79.77% of the company's stock.

Illinois Tool Works Stock Down 2.2%

Shares of NYSE ITW opened at $265.57 on Friday. The company has a market capitalization of $76.54 billion, a P/E ratio of 25.32, a P/E/G ratio of 14.53 and a beta of 1.13. The company has a debt-to-equity ratio of 2.07, a current ratio of 1.21 and a quick ratio of 0.89. The company has a 50 day simple moving average of $274.84 and a 200-day simple moving average of $260.72. Illinois Tool Works Inc. has a 1 year low of $214.66 and a 1 year high of $303.15.

Illinois Tool Works (NYSE:ITW - Get Free Report) last released its quarterly earnings data on Tuesday, February 3rd. The industrial products company reported $2.72 EPS for the quarter, beating analysts' consensus estimates of $2.69 by $0.03. The firm had revenue of $4.09 billion for the quarter, compared to analysts' expectations of $4.07 billion. Illinois Tool Works had a return on equity of 95.16% and a net margin of 19.11%.The firm's quarterly revenue was up 4.1% on a year-over-year basis. During the same period in the prior year, the firm posted $2.54 earnings per share. Illinois Tool Works has set its FY 2026 guidance at 11.000-11.400 EPS. On average, equities research analysts predict that Illinois Tool Works Inc. will post 10.39 earnings per share for the current year.

Illinois Tool Works Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, April 9th. Stockholders of record on Tuesday, March 31st will be paid a $1.61 dividend. This represents a $6.44 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Tuesday, March 31st. Illinois Tool Works's dividend payout ratio is 61.39%.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Citigroup upped their price objective on shares of Illinois Tool Works from $271.00 to $284.00 and gave the company a "neutral" rating in a research note on Wednesday, February 4th. Evercore dropped their price target on Illinois Tool Works from $261.00 to $253.00 and set an "underperform" rating for the company in a research report on Monday, November 17th. Barclays lifted their price objective on Illinois Tool Works from $244.00 to $275.00 and gave the stock an "underweight" rating in a research report on Monday, February 9th. Bank of America upgraded Illinois Tool Works from an "underperform" rating to a "neutral" rating and upped their target price for the company from $220.00 to $255.00 in a report on Tuesday, November 18th. Finally, Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Illinois Tool Works in a research note on Wednesday, January 28th. Two analysts have rated the stock with a Buy rating, seven have issued a Hold rating and five have assigned a Sell rating to the stock. According to data from MarketBeat, Illinois Tool Works has a consensus rating of "Reduce" and an average price target of $275.69.

Insiders Place Their Bets

In related news, EVP Axel Beck sold 4,223 shares of the firm's stock in a transaction dated Thursday, February 5th. The stock was sold at an average price of $290.22, for a total transaction of $1,225,599.06. Following the completion of the sale, the executive vice president directly owned 5,789 shares of the company's stock, valued at approximately $1,680,083.58. This trade represents a 42.18% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Ernest Scott Santi sold 167,345 shares of the business's stock in a transaction dated Wednesday, February 4th. The shares were sold at an average price of $290.93, for a total transaction of $48,685,680.85. Following the completion of the sale, the director owned 258,766 shares in the company, valued at approximately $75,282,792.38. This trade represents a 39.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.88% of the company's stock.

Illinois Tool Works Profile

Illinois Tool Works Inc (ITW) is a diversified industrial manufacturer that designs and produces a broad array of engineered products, consumables and related service solutions for industrial customers. Its offerings span engineered fastening systems, specialty components, industrial equipment, welding products, foodservice and packaging equipment, adhesives and polymer products, and test-and-measurement technologies. These products are used as critical inputs by customers across automotive, construction, electronics, foodservice, maintenance and other industrial end markets.

The company operates a decentralized business model in which independently managed businesses focus on niche product lines and close customer relationships.

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