Eaton (NYSE:ETN) Issues Q2 Earnings Guidance

Eaton (NYSE:ETN) updated its second quarter earnings guidance on Tuesday. The company provided EPS guidance of $2.52-2.62 for the period, compared to the consensus EPS estimate of $2.52. Eaton also updated its FY 2024 guidance to 10.200-10.600 EPS.

Eaton Stock Performance

Shares of NYSE:ETN traded up $6.15 during trading on Friday, hitting $320.50. 1,764,701 shares of the stock traded hands, compared to its average volume of 2,036,619. The company has a fifty day moving average price of $307.97 and a two-hundred day moving average price of $261.18. Eaton has a 52-week low of $165.24 and a 52-week high of $333.05. The company has a market cap of $128.14 billion, a price-to-earnings ratio of 37.84, a P/E/G ratio of 2.55 and a beta of 1.06. The company has a quick ratio of 1.02, a current ratio of 1.56 and a debt-to-equity ratio of 0.42.

Eaton (NYSE:ETN) last posted its earnings results on Tuesday, April 30th. The industrial products company reported $2.40 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.28 by $0.12. Eaton had a net margin of 14.38% and a return on equity of 20.69%. The business had revenue of $5.94 billion for the quarter, compared to analyst estimates of $5.91 billion. During the same period in the prior year, the company posted $1.88 EPS. The company’s revenue for the quarter was up 8.4% on a year-over-year basis. As a group, equities analysts predict that Eaton will post 10.42 EPS for the current year.

Eaton Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 24th. Shareholders of record on Monday, May 6th will be given a dividend of $0.94 per share. This represents a $3.76 dividend on an annualized basis and a yield of 1.17%. The ex-dividend date of this dividend is Friday, May 3rd. Eaton’s dividend payout ratio is presently 44.39%.

Wall Street Analyst Weigh In

ETN has been the subject of several research analyst reports. Citigroup upped their price target on shares of Eaton from $270.00 to $310.00 and gave the stock a buy rating in a research report on Friday, February 2nd. UBS Group lifted their price target on Eaton from $255.00 to $305.00 and gave the stock a buy rating in a research note on Friday, February 2nd. Argus increased their price objective on Eaton from $290.00 to $350.00 and gave the company a buy rating in a research note on Thursday. Royal Bank of Canada raised shares of Eaton from a sector perform rating to an outperform rating and lifted their target price for the stock from $286.00 to $371.00 in a research note on Friday, April 5th. Finally, JPMorgan Chase & Co. increased their target price on shares of Eaton from $279.00 to $325.00 and gave the company an overweight rating in a research report on Wednesday. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and twelve have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of Moderate Buy and a consensus price target of $314.27.

Insider Activity

In other news, insider Peter Denk sold 1,731 shares of the stock in a transaction on Thursday, February 29th. The stock was sold at an average price of $288.97, for a total transaction of $500,207.07. Following the completion of the transaction, the insider now directly owns 5,514 shares in the company, valued at approximately $1,593,380.58. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. In other Eaton news, insider Peter Denk sold 1,731 shares of the business’s stock in a transaction that occurred on Thursday, February 29th. The stock was sold at an average price of $288.97, for a total value of $500,207.07. Following the sale, the insider now owns 5,514 shares of the company’s stock, valued at $1,593,380.58. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Ernest W. Marshall, Jr. sold 19,750 shares of Eaton stock in a transaction on Wednesday, February 7th. The shares were sold at an average price of $273.17, for a total value of $5,395,107.50. Following the completion of the sale, the insider now directly owns 29,712 shares of the company’s stock, valued at $8,116,427.04. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 38,969 shares of company stock valued at $10,904,774. 0.53% of the stock is currently owned by company insiders.

About Eaton

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.