Eaton (NYSE:ETN) Trading Up 4.1% – Still a Buy?

Eaton Corporation, PLC (NYSE:ETN)’s stock price traded up 4.1% during trading on Friday . The company traded as high as $427.14 and last traded at $425.8840. 1,537,497 shares were traded during mid-day trading, a decline of 40% from the average session volume of 2,557,188 shares. The stock had previously closed at $409.15.

Wall Street Analyst Weigh In

ETN has been the topic of several recent analyst reports. Sanford C. Bernstein reissued an “outperform” rating on shares of Eaton in a report on Monday, August 3rd. Citigroup lifted their price objective on Eaton from $471.00 to $485.00 and gave the company a “buy” rating in a research report on Monday, August 3rd. Evercore upgraded Eaton from an “in-line” rating to an “outperform” rating and set a $502.00 target price on the stock in a report on Monday, August 3rd. Wall Street Zen cut Eaton from a “buy” rating to a “hold” rating in a report on Sunday, August 16th. Finally, Robert W. Baird set a $500.00 price objective on shares of Eaton and gave the company an “outperform” rating in a research report on Thursday, August 20th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus price target of $454.18.

Eaton Stock Performance

The stock has a market capitalization of $165.41 billion, a price-to-earnings ratio of 43.32, a price-to-earnings-growth ratio of 2.62 and a beta of 1.17. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.24 and a quick ratio of 0.79. The stock has a 50-day moving average of $415.68 and a 200 day moving average of $399.22.

Eaton (NYSE:ETN) last issued its quarterly 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. Eaton had a net margin of 12.75% and a return on equity of 24.58%. The company had revenue of $8.53 billion during the quarter, compared to analysts’ expectations of $8.16 billion. During the same quarter in the previous year, the company earned $2.95 EPS. Eaton’s revenue was up 21.4% on a year-over-year basis. 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, analysts expect that Eaton Corporation, PLC will post 13.56 EPS for the current year.

Eaton Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Friday, August 7th were given a $1.10 dividend. This represents a $4.40 annualized dividend and a dividend yield of 1.0%. The ex-dividend date was Friday, August 7th. Eaton’s dividend payout ratio (DPR) is currently 44.76%.

Insider Buying and Selling

In related news, insider Heath Monesmith sold 18,036 shares of the company’s stock in a transaction dated Tuesday, August 11th. The stock was sold at an average price of $458.04, for a total value of $8,261,209.44. Following the completion of the sale, the insider owned 50,368 shares in the company, valued at approximately $23,070,558.72. This represents a 26.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director Gerald Johnson bought 130 shares of Eaton stock in a transaction on Thursday, August 13th. The shares were bought at an average price of $455.90 per share, for a total transaction of $59,267.00. Following the acquisition, the director owned 1,829 shares of the company’s stock, valued at approximately $833,841.10. The trade was a 7.65% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 0.10% of the stock is owned by insiders.

Institutional Investors Weigh In On Eaton

Several hedge funds have recently bought and sold shares of the company. Hilton Head Capital Partners LLC acquired a new stake in Eaton during the 4th quarter worth $26,000. Manning & Napier Advisors LLC bought a new stake in shares of Eaton in the second quarter worth about $27,000. Sfam LLC acquired a new stake in shares of Eaton during the fourth quarter worth about $27,000. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in shares of Eaton during the 4th quarter valued at about $28,000. Finally, Boreal Capital Management LLC acquired a new position in shares of Eaton in the first quarter valued at approximately $33,000. 82.97% of the stock is currently owned by institutional investors and hedge funds.

Eaton Company Profile

Eaton plc is a power management company that helps businesses, utilities, data centers, industrial facilities and other customers manage electrical, hydraulic and mechanical power more safely and efficiently. Its products and systems support power distribution, circuit protection, power quality, backup power, industrial automation and energy management.

The company also supplies aerospace systems, including hydraulic, fuel, motion-control and air-management equipment, as well as components and systems for commercial and military aircraft.