Northern Trust Corp Reduces Stock Position in Illinois Tool Works Inc. $ITW

Key Points

• Northern Trust Corp has reduced its stake in Illinois Tool Works Inc. by 11.1%, selling 1,513,683 shares and leaving it with about 12.15 million shares, which now represent 0.4% of its investment portfolio.
• The company is set to pay an increased quarterly dividend of $1.61 on October 10th, up from the previous $1.50, reflecting a dividend yield of 2.5%.
• Wall Street analysts have mixed views on Illinois Tool Works, with target prices ranging from $220 to $261, and the current average rating for the stock is "Hold".

Northern Trust Corp trimmed its holdings in Illinois Tool Works Inc. (NYSE:ITW - Free Report) by 11.1% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 12,153,970 shares of the industrial products company's stock after selling 1,513,683 shares during the quarter. Illinois Tool Works comprises about 0.4% of Northern Trust Corp's portfolio, making the stock its 27th biggest position. Northern Trust Corp owned approximately 4.15% of Illinois Tool Works worth $3,014,306,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Charles Schwab Investment Management Inc. increased its position in Illinois Tool Works by 0.5% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 2,528,833 shares of the industrial products company's stock valued at $627,176,000 after buying an additional 11,854 shares in the last quarter. GAMMA Investing LLC increased its position in Illinois Tool Works by 26,372.8% in the 1st quarter. GAMMA Investing LLC now owns 2,065,675 shares of the industrial products company's stock valued at $5,123,080,000 after buying an additional 2,057,872 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in Illinois Tool Works by 11.3% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,059,119 shares of the industrial products company's stock valued at $522,110,000 after buying an additional 209,671 shares in the last quarter. Invesco Ltd. increased its position in Illinois Tool Works by 4.7% in the 1st quarter. Invesco Ltd. now owns 2,034,929 shares of the industrial products company's stock valued at $504,683,000 after buying an additional 91,359 shares in the last quarter. Finally, Stifel Financial Corp increased its position in Illinois Tool Works by 0.4% in the 4th quarter. Stifel Financial Corp now owns 1,763,792 shares of the industrial products company's stock valued at $447,240,000 after buying an additional 6,547 shares in the last quarter. 79.77% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling

In other news, Director David Byron Smith, Jr. acquired 872 shares of the company's stock in a transaction that occurred on Monday, June 2nd. The shares were acquired at an average price of $241.16 per share, for a total transaction of $210,291.52. Following the completion of the purchase, the director owned 122,884 shares in the company, valued at approximately $29,634,705.44. This trade represents a 0.71% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this hyperlink. Insiders own 0.88% of the company's stock.

Illinois Tool Works Stock Performance

Shares of ITW stock traded up $8.2230 during trading on Friday, hitting $269.2230. The company's stock had a trading volume of 1,069,433 shares, compared to its average volume of 1,089,607. The company has a market cap of $78.48 billion, a PE ratio of 23.60, a P/E/G ratio of 5.65 and a beta of 1.09. The company has a current ratio of 1.59, a quick ratio of 1.15 and a debt-to-equity ratio of 2.40. The business has a fifty day moving average of $254.99 and a 200-day moving average of $250.25. Illinois Tool Works Inc. has a 52 week low of $214.66 and a 52 week high of $279.13.

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

Illinois Tool Works Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Tuesday, September 30th will be paid a $1.61 dividend. The ex-dividend date is Tuesday, September 30th. This is a positive change from Illinois Tool Works's previous quarterly dividend of $1.50. This represents a $6.44 annualized dividend and a yield of 2.4%. Illinois Tool Works's dividend payout ratio (DPR) is currently 52.59%.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on ITW shares. Citigroup boosted their target price on Illinois Tool Works from $254.00 to $265.00 and gave the company a "neutral" rating in a research report on Monday, July 14th. Stifel Nicolaus boosted their target price on Illinois Tool Works from $255.00 to $261.00 and gave the company a "hold" rating in a research report on Thursday, July 31st. Bank of America lowered Illinois Tool Works from a "neutral" rating to an "underperform" rating and set a $220.00 target price for the company. in a research report on Wednesday, May 7th. UBS Group boosted their target price on Illinois Tool Works from $243.00 to $255.00 and gave the company a "neutral" rating in a research report on Thursday, July 31st. Finally, Barclays boosted their price objective on Illinois Tool Works from $240.00 to $243.00 and gave the stock an "equal weight" rating in a report on Monday, August 4th. One 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 target price of $260.67.

Illinois Tool Works 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.