What is Zacks Research's Forecast for ITW FY2026 Earnings?

Key Points

• Zacks Research increased their FY2026 earnings estimate for Illinois Tool Works to $11.14 per share, up from a previous estimate of $10.95, reflecting positive outlook for the company.
• Illinois Tool Works recently reported a quarterly earnings of $2.58 EPS, exceeding analyst expectations, with a revenue of $4.05 billion, marking a slight increase from the previous year.
• The company announced a quarterly dividend increase to $1.61 per share, representing a boost from the previous dividend of $1.50, with a dividend yield of 2.5%.

Illinois Tool Works Inc. (NYSE:ITW - Free Report) - Equities research analysts at Zacks Research boosted their FY2026 earnings estimates for shares of Illinois Tool Works in a report issued on Wednesday, August 13th. Zacks Research analyst A. Bhattacharjee now anticipates that the industrial products company will earn $11.14 per share for the year, up from their previous estimate of $10.95. The consensus estimate for Illinois Tool Works' current full-year earnings is $10.39 per share. Zacks Research also issued estimates for Illinois Tool Works' FY2027 earnings at $11.93 EPS.

Illinois Tool Works (NYSE:ITW - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The industrial products company reported $2.58 EPS for the quarter, beating analysts' consensus estimates of $2.56 by $0.02. Illinois Tool Works had a net margin of 21.31% and a return on equity of 90.89%. The firm had revenue of $4.05 billion during the quarter, compared to the consensus estimate of $4.01 billion. During the same quarter last year, the firm earned $2.54 EPS. The firm's revenue for the quarter was up .6% compared to the same quarter last year.

ITW has been the topic of a number of other reports. Citigroup raised their target price on shares of Illinois Tool Works from $254.00 to $265.00 and gave the stock a "neutral" rating in a research report on Monday, July 14th. Evercore ISI dropped their price objective on shares of Illinois Tool Works from $252.00 to $249.00 and set an "underperform" rating on the stock in a research note on Monday, May 19th. Truist Financial downgraded shares of Illinois Tool Works from a "buy" rating to a "hold" rating and set a $283.00 price objective on the stock. in a research note on Thursday, July 31st. UBS Group raised their target price on shares of Illinois Tool Works from $243.00 to $255.00 and gave the company a "neutral" rating in a research note on Thursday, July 31st. Finally, Barclays raised their target price on shares of Illinois Tool Works from $240.00 to $243.00 and gave the company an "equal weight" rating in a research note on Monday, August 4th. Three equities research analysts have rated the stock with a sell rating, nine have given a hold rating and one has issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $259.33.

Illinois Tool Works Trading Down 0.8%

Illinois Tool Works stock traded down $2.00 during midday trading on Friday, reaching $260.49. The stock had a trading volume of 202,494 shares, compared to its average volume of 1,088,393. The company has a quick ratio of 1.15, a current ratio of 1.59 and a debt-to-equity ratio of 2.40. Illinois Tool Works has a 52-week low of $214.66 and a 52-week high of $279.13. The firm has a market cap of $75.93 billion, a price-to-earnings ratio of 22.84, a price-to-earnings-growth ratio of 5.77 and a beta of 1.09. The company has a fifty day moving average of $253.62 and a 200 day moving average of $250.15.

Illinois Tool Works Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Tuesday, September 30th will be issued a dividend of $1.61 per share. This represents a $6.44 annualized dividend and a dividend yield of 2.5%. This is a boost from Illinois Tool Works's previous quarterly dividend of $1.50. The ex-dividend date of this dividend is Tuesday, September 30th. Illinois Tool Works's dividend payout ratio is 52.59%.

Insider Activity

In other Illinois Tool Works news, Director David Byron Smith, Jr. bought 872 shares of Illinois Tool Works stock in a transaction that occurred on Monday, June 2nd. The stock was purchased at an average price of $241.16 per share, with a total value of $210,291.52. Following the completion of the acquisition, the director directly owned 122,884 shares in the company, valued at approximately $29,634,705.44. This trade represents a 0.71% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 0.88% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of ITW. Ameriflex Group Inc. purchased a new stake in Illinois Tool Works during the 4th quarter valued at about $26,000. Frazier Financial Advisors LLC acquired a new position in Illinois Tool Works in the 2nd quarter valued at about $25,000. von Borstel & Associates Inc. acquired a new position in Illinois Tool Works in the 1st quarter valued at about $26,000. SOA Wealth Advisors LLC. boosted its holdings in Illinois Tool Works by 90.9% in the 2nd quarter. SOA Wealth Advisors LLC. now owns 105 shares of the industrial products company's stock valued at $26,000 after purchasing an additional 50 shares during the last quarter. Finally, Saudi Central Bank acquired a new position in Illinois Tool Works in the 1st quarter valued at about $29,000. Institutional investors and hedge funds own 79.77% of the company's stock.

About Illinois Tool Works

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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