Eaton (NYSE:ETN) Releases FY 2026 Earnings Guidance

Eaton (NYSE:ETN) updated its FY 2026 earnings guidance on Friday morning. The company provided earnings per share guidance of 13.400-13.600 for the period, compared to the consensus estimate of 13.340. The company issued revenue guidance of -. Eaton also updated its Q3 2026 guidance to 3.460-3.560 EPS.

Eaton Price Performance

NYSE ETN opened at $415.24 on Friday. Eaton has a 1 year low of $311.92 and a 1 year high of $436.74. The company has a fifty day simple moving average of $404.88 and a 200 day simple moving average of $385.14. The company has a current ratio of 1.19, a quick ratio of 0.75 and a debt-to-equity ratio of 0.94. The company has a market cap of $161.24 billion, a P/E ratio of 42.24, a P/E/G ratio of 2.66 and a beta of 1.18.

Eaton (NYSE:ETN) last announced its earnings results on Friday, July 31st. The industrial products company reported $3.15 EPS for the quarter, topping the consensus estimate of $3.08 by $0.07. The firm had revenue of $8.53 billion for the quarter, compared to the consensus estimate of $8.16 billion. Eaton had a net margin of 13.99% and a return on equity of 24.72%. The business’s quarterly revenue was up 21.4% on a year-over-year basis. During the same quarter last year, the firm posted $2.95 EPS. Eaton has set its Q3 2026 guidance at 3.460-3.560 EPS and its FY 2026 guidance at 13.400-13.600 EPS. On average, sell-side analysts predict that Eaton will post 13.44 EPS for the current year.

Eaton Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 7th will be given a dividend of $1.10 per share. This represents a $4.40 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Friday, August 7th. Eaton’s payout ratio is currently 43.01%.

Analyst Ratings Changes

Several brokerages recently weighed in on ETN. Wells Fargo & Company increased their target price on Eaton from $350.00 to $425.00 and gave the company an “equal weight” rating in a research note on Wednesday, May 6th. Weiss Ratings cut Eaton from a “buy (b)” rating to a “buy (b-)” rating in a research report on Monday, May 18th. Erste Group Bank assumed coverage on shares of Eaton in a research note on Tuesday, May 5th. They issued a “buy” rating on the stock. JPMorgan Chase & Co. boosted their target price on shares of Eaton from $406.00 to $445.00 and gave the stock an “overweight” rating in a research report on Wednesday, May 6th. Finally, Evercore set a $453.00 target price on shares of Eaton in a research note on Monday, May 11th. Two analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, Eaton has an average rating of “Moderate Buy” and an average price target of $423.00.

Insider Buying and Selling

In related news, insider Heath B. Monesmith sold 18,367 shares of the company’s stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $409.11, for a total value of $7,514,123.37. Following the completion of the transaction, the insider directly owned 49,822 shares in the company, valued at approximately $20,382,678.42. This represents a 26.94% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Gerald Johnson bought 215 shares of Eaton stock in a transaction that occurred on Monday, May 11th. The stock was purchased at an average cost of $419.02 per share, with a total value of $90,089.30. Following the completion of the transaction, the director owned 1,629 shares of the company’s stock, valued at $682,583.58. This trade represents a 15.21% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last three months, insiders have sold 21,028 shares of company stock worth $8,614,793. 0.10% of the stock is currently owned by corporate insiders.

Key Stories Impacting Eaton

Here are the key news stories impacting Eaton this week:

• Positive Sentiment: Quarterly results exceeded expectations. Eaton reported adjusted EPS of $3.15, up from $2.95 a year earlier and above the $3.08 consensus. Sales rose 21.4% year over year to approximately $8.5 billion, exceeding estimates near $8.16 billion. GAAP EPS was $2.11 after amortization, acquisition-related and restructuring charges. Eaton Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Electrical demand and data-center growth remain powerful catalysts. Management cited strong Electrical Americas performance, accelerating orders and backlog, data-center demand, acquisitions and solid Aerospace results. The company also raised its organic-growth outlook, signaling continued momentum in its core businesses. Eaton’s Q2 Earnings Beat on Strong Electrical Sales, Outlook Raised
• Positive Sentiment: Full-year guidance was raised above consensus. Eaton forecast FY 2026 adjusted EPS of $13.40-$13.60, compared with consensus of $13.34. Analysts at Zacks Research subsequently increased several 2027 and 2028 EPS estimates, reflecting confidence in longer-term earnings growth. Eaton Reports Record Second Quarter 2026 Results
• Neutral Sentiment: Near-term expectations are largely priced in. Third-quarter EPS guidance of $3.46-$3.56 centers on $3.51, approximately in line with consensus. Eaton’s valuation is also elevated, with a reported price-to-earnings ratio above 40, while unusually high put-option activity highlights some investor caution. Eaton Q2 2026 Earnings Call Transcript

Institutional Trading of Eaton

Several institutional investors have recently made changes to their positions in the business. Revolve Wealth Partners LLC raised its position in Eaton by 17.5% in the fourth quarter. Revolve Wealth Partners LLC now owns 913 shares of the industrial products company’s stock worth $303,000 after purchasing an additional 136 shares in the last quarter. Brighton Jones LLC boosted its holdings in Eaton by 1.4% during the fourth quarter. Brighton Jones LLC now owns 3,341 shares of the industrial products company’s stock valued at $1,109,000 after purchasing an additional 45 shares in the last quarter. Douglass Winthrop Advisors LLC boosted its holdings in Eaton by 1.2% during the fourth quarter. Douglass Winthrop Advisors LLC now owns 2,613 shares of the industrial products company’s stock valued at $832,000 after purchasing an additional 31 shares in the last quarter. Tandem Wealth Advisors LLC grew its stake in shares of Eaton by 70.1% in the 2nd quarter. Tandem Wealth Advisors LLC now owns 2,216 shares of the industrial products company’s stock valued at $791,000 after purchasing an additional 913 shares during the period. Finally, DF Dent & Co. Inc. raised its holdings in shares of Eaton by 4.4% in the 3rd quarter. DF Dent & Co. Inc. now owns 1,467 shares of the industrial products company’s stock worth $549,000 after buying an additional 62 shares in the last quarter. 82.97% of the stock is currently owned by institutional investors and hedge funds.

About Eaton

Eaton (NYSE: ETN) is a diversified power management company that designs, manufactures and distributes products and systems to manage electrical, hydraulic and mechanical power. The company’s offerings are used to improve energy efficiency, reliability and safety across a wide range of applications, with core capabilities in electrical distribution and control, industrial hydraulics and aerospace systems.

Its product portfolio includes switchgear, circuit breakers, transformers, power distribution units, uninterruptible power supplies and surge protection devices for electrical infrastructure, along with hydraulic pumps, valves and filtration systems for industrial and mobile equipment.