Key Points
- Director Dorothy Thompson sold 167 shares of Eaton stock on May 22 at $385 each, totaling $64,295. The sale reduced her holdings by about 13.2%, though she still owned 1,096 shares afterward.
- Eaton’s stock rose 2.7% and opened at $391.73, with the company remaining near its 52-week high. The shares also sit above both the 50-day and 200-day moving averages.
- Business performance and outlook remain solid: Eaton beat quarterly EPS and revenue estimates, posted 16.8% year-over-year revenue growth, and raised guidance for Q2 and full-year 2026. Analysts remain broadly positive, with a consensus rating of “Moderate Buy” and an average target price around $420.95.
Eaton Corporation, PLC (NYSE:ETN - Get Free Report) Director Dorothy Thompson sold 167 shares of the company's stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $385.00, for a total transaction of $64,295.00. Following the transaction, the director owned 1,096 shares in the company, valued at approximately $421,960. This trade represents a 13.22% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.
Eaton Stock Up 2.7%
Shares of NYSE ETN opened at $391.73 on Friday. The company has a quick ratio of 0.75, a current ratio of 1.19 and a debt-to-equity ratio of 0.94. Eaton Corporation, PLC has a 12-month low of $311.90 and a 12-month high of $435.43. The company has a market cap of $152.11 billion, a price-to-earnings ratio of 38.29, a price-to-earnings-growth ratio of 2.45 and a beta of 1.24. The firm's 50-day simple moving average is $387.41 and its 200 day simple moving average is $362.25.
Eaton (NYSE:ETN - Get Free Report) last released its earnings results on Tuesday, May 5th. The industrial products company reported $2.81 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.73 by $0.08. Eaton had a net margin of 13.99% and a return on equity of 24.72%. The company had revenue of $7.45 billion for the quarter, compared to the consensus estimate of $7.14 billion. During the same period in the prior year, the company posted $2.72 EPS. The company's revenue was up 16.8% compared to the same quarter last year. Eaton has set its Q2 2026 guidance at 3.000-3.100 EPS and its FY 2026 guidance at 13.050-13.500 EPS. On average, research analysts expect that Eaton Corporation, PLC will post 13.33 earnings per share for the current fiscal year.
Eaton Dividend Announcement
The firm also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 8th will be given a dividend of $1.10 per share. The ex-dividend date is Friday, May 8th. This represents a $4.40 dividend on an annualized basis and a yield of 1.1%. Eaton's dividend payout ratio is presently 43.01%.
Eaton News Summary
Here are the key news stories impacting Eaton this week:
- Positive Sentiment: A recent market article highlighted Eaton as a key beneficiary of AI infrastructure spending, noting that data centers are now the company’s fastest-growing end market and that Eaton has multi-year backlogs. ETN chart reference
- Positive Sentiment: Zacks Research lifted its FY2026 EPS estimate for Eaton to $13.26 from $13.21 and also nudged its Q3 2027 estimate higher, reinforcing the view that earnings momentum remains solid.
- Positive Sentiment: Another commentary piece framed Eaton as a potential “pick-and-shovel” AI stock, citing strong backlog growth and persistent demand from electrical infrastructure and data-center expansion.
- Neutral Sentiment: One article questioned whether Eaton’s long multi-year run has left limited upside near current levels, suggesting the stock is still expensive even after recent volatility. Yahoo Finance article
- Negative Sentiment: Director Dorothy C. Thompson sold 167 shares at $385 each, a small insider sale that may create a modest overhang, though the transaction size was limited. SEC filing
Wall Street Analyst Weigh In
A number of research analysts have issued reports on ETN shares. Wells Fargo & Company upped their target price on shares of Eaton from $350.00 to $425.00 and gave the company an "equal weight" rating in a research report on Wednesday, May 6th. BMO Capital Markets started coverage on shares of Eaton in a research report on Friday, March 27th. They set an "outperform" rating and a $428.00 target price on the stock. Evercore set a $453.00 target price on shares of Eaton in a research report on Monday, May 11th. Barclays upped their target price on shares of Eaton from $340.00 to $392.00 and gave the company an "equal weight" rating in a research report on Wednesday, May 6th. Finally, Royal Bank Of Canada upped their price target on Eaton from $457.00 to $484.00 and gave the company an "outperform" rating in a research note on Wednesday, May 6th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $420.95.
Read Our Latest Report on ETN
Institutional Trading of Eaton
A number of institutional investors and hedge funds have recently modified their holdings of ETN. Hilton Head Capital Partners LLC bought a new stake in shares of Eaton in the 4th quarter valued at about $26,000. Sfam LLC bought a new stake in shares of Eaton in the 4th quarter valued at about $27,000. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new stake in shares of Eaton in the 4th quarter valued at about $28,000. Eagle Bay Advisors LLC bought a new stake in shares of Eaton in the 4th quarter valued at about $29,000. Finally, Boreal Capital Management LLC bought a new stake in shares of Eaton in the 1st quarter valued at about $33,000. 82.97% of the stock is owned by institutional investors.
About Eaton
(
Get Free Report)
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.
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