Eaton (NYSE:ETN) Stock Price Up 4.5% – Time to Buy?

Eaton Corporation, PLC (NYSE:ETN) traded up 4.5% during mid-day trading on Tuesday . The company traded as high as $427.93 and last traded at $426.5130. 2,517,141 shares were traded during trading, a decline of 9% from the average session volume of 2,761,272 shares. The stock had previously closed at $408.26.

Analyst Ratings Changes

A number of research firms have recently commented on ETN. BMO Capital Markets assumed coverage on Eaton in a report on Friday, March 27th. They issued an “outperform” rating and a $428.00 price objective on the stock. KeyCorp boosted their target price on Eaton from $420.00 to $480.00 and gave the stock an “overweight” rating in a research note on Wednesday, May 6th. Erste Group Bank started coverage on Eaton in a report on Tuesday, May 5th. They issued a “buy” rating for the company. Morgan Stanley reiterated an “overweight” rating and issued a $500.00 price target on shares of Eaton in a research note on Sunday, May 10th. Finally, 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 report on Wednesday, May 6th. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, Eaton presently has an average rating of “Moderate Buy” and an average price target of $420.95.

Eaton Price Performance

The company has a debt-to-equity ratio of 0.94, a current ratio of 1.19 and a quick ratio of 0.75. The firm has a market cap of $165.61 billion, a price-to-earnings ratio of 41.69, a PEG ratio of 2.59 and a beta of 1.20. The stock has a 50-day moving average price of $406.24 and a 200 day moving average price of $372.51.

Eaton (NYSE:ETN) last released its quarterly earnings results on Tuesday, May 5th. The industrial products company reported $2.81 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.73 by $0.08. The firm had revenue of $7.45 billion for the quarter, compared to the consensus estimate of $7.14 billion. Eaton had a return on equity of 24.72% and a net margin of 13.99%.The firm’s quarterly revenue was up 16.8% compared to the same quarter last year. During the same quarter last year, the business posted $2.72 EPS. Eaton has set its Q2 2026 guidance at 3.000-3.100 EPS and its FY 2026 guidance at 13.050-13.500 EPS. As a group, equities research analysts forecast that Eaton Corporation, PLC will post 13.33 earnings per share for the current fiscal year.

Eaton Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Friday, May 8th were given a dividend of $1.10 per share. The ex-dividend date was Friday, May 8th. This represents a $4.40 dividend on an annualized basis and a dividend yield of 1.0%. Eaton’s dividend payout ratio (DPR) is 43.01%.

Insiders Place Their Bets

In other Eaton news, Director Gerald Johnson purchased 746 shares of Eaton stock in a transaction that occurred on Friday, May 8th. The stock was purchased at an average price of $402.29 per share, for a total transaction of $300,108.34. Following the transaction, the director directly owned 1,414 shares in the company, valued at $568,838.06. This trade represents a 111.68% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Heath B. Monesmith sold 18,367 shares of the stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $409.11, for a total transaction of $7,514,123.37. Following the sale, the insider owned 49,822 shares of the company’s stock, valued at approximately $20,382,678.42. This represents a 26.94% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 21,028 shares of company stock worth $8,614,793. Corporate insiders own 0.10% of the company’s stock.

Hedge Funds Weigh In On Eaton

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Farmers National Bank increased its position in Eaton by 78.4% in the 1st quarter. Farmers National Bank now owns 12,360 shares of the industrial products company’s stock valued at $4,421,000 after acquiring an additional 5,433 shares during the period. Evansbrook LLC acquired a new stake in Eaton during the 1st quarter worth approximately $778,000. Parallel Advisors LLC grew its stake in shares of Eaton by 5.3% in the 1st quarter. Parallel Advisors LLC now owns 9,156 shares of the industrial products company’s stock valued at $3,275,000 after purchasing an additional 459 shares during the last quarter. Glenmede Trust Co. NA increased its holdings in shares of Eaton by 1.1% in the first quarter. Glenmede Trust Co. NA now owns 108,949 shares of the industrial products company’s stock valued at $38,968,000 after purchasing an additional 1,199 shares during the period. Finally, Argent Capital Management LLC increased its holdings in shares of Eaton by 33.6% in the first quarter. Argent Capital Management LLC now owns 162,990 shares of the industrial products company’s stock valued at $58,297,000 after purchasing an additional 40,985 shares during the period. Hedge funds and other institutional investors own 82.97% of the company’s stock.

Eaton Company Profile

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.