Eaton (NYSE:ETN) Trading Up 1.4% – Time to Buy?

Shares of Eaton Corporation, PLC (NYSE:ETN) were up 1.4% during trading on Monday . The stock traded as high as $411.74 and last traded at $408.2360. 2,124,188 shares traded hands during mid-day trading, a decline of 23% from the average daily volume of 2,762,748 shares. The stock had previously closed at $402.68.

Wall Street Analyst Weigh In

ETN has been the topic of several analyst reports. BMO Capital Markets initiated coverage on shares of Eaton in a report on Friday, March 27th. They issued an “outperform” rating and a $428.00 price target on the stock. Royal Bank Of Canada raised their price objective on shares of Eaton from $457.00 to $484.00 and gave the stock an “outperform” rating in a report on Wednesday, May 6th. JPMorgan Chase & Co. upped their target price on shares of Eaton from $406.00 to $445.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. KeyCorp increased their price target on shares of Eaton from $420.00 to $480.00 and gave the stock an “overweight” rating in a research report on Wednesday, May 6th. Finally, Morgan Stanley restated an “overweight” rating and set a $500.00 price target on shares of Eaton in a research note on Sunday, May 10th. Two analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $420.95.

Eaton Stock Up 1.4%

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 50 day simple moving average of $405.93 and a 200-day simple moving average of $372.04. The stock has a market capitalization of $158.52 billion, a price-to-earnings ratio of 39.91, a price-to-earnings-growth ratio of 2.59 and a beta of 1.20.

Eaton (NYSE:ETN) last issued its earnings results on Tuesday, May 5th. The industrial products company reported $2.81 EPS for the quarter, beating the consensus estimate 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 quarter in the previous year, the company earned $2.72 EPS. The firm’s revenue for the quarter 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, sell-side analysts forecast that Eaton Corporation, PLC will post 13.33 EPS for the current fiscal year.

Eaton Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Friday, May 8th were given a $1.10 dividend. The ex-dividend date was Friday, May 8th. This represents a $4.40 dividend on an annualized basis and a yield of 1.1%. Eaton’s payout ratio is 43.01%.

Insider Activity

In other Eaton news, insider Antonio Galvao sold 494 shares of the company’s stock in a transaction dated Wednesday, May 13th. The shares were sold at an average price of $405.86, for a total transaction of $200,494.84. Following the sale, the insider directly owned 9,175 shares of the company’s stock, valued at approximately $3,723,765.50. This represents a 5.11% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Heath B. Monesmith sold 18,367 shares of Eaton stock in a transaction that occurred on Wednesday, May 6th. The shares were sold at an average price of $409.11, for a total transaction of $7,514,123.37. Following the completion of the transaction, the insider owned 49,822 shares of the company’s stock, valued at $20,382,678.42. This trade represents a 26.94% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 21,028 shares of company stock valued at $8,614,793. Corporate insiders own 0.10% of the company’s stock.

Hedge Funds Weigh In On Eaton

Several institutional investors have recently bought and sold shares of the business. Hilton Head Capital Partners LLC acquired a new position in Eaton in the fourth quarter worth $26,000. Sfam LLC bought a new position in shares of Eaton in the fourth quarter valued at about $27,000. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new position in Eaton during the 4th quarter worth about $28,000. Eagle Bay Advisors LLC acquired a new position in Eaton during the 4th quarter worth about $29,000. Finally, Boreal Capital Management LLC bought a new stake in Eaton during the 1st quarter worth about $33,000. 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.