Eaton (NYSE:ETN) Issues Earnings Results, Beats Expectations By $0.12 EPS

Eaton (NYSE:ETN) issued its earnings results on Tuesday. The industrial products company reported $2.40 EPS for the quarter, beating analysts’ consensus estimates of $2.28 by $0.12, Briefing.com reports. Eaton had a return on equity of 20.05% and a net margin of 13.88%. The business had revenue of $5.94 billion during the quarter, compared to analyst estimates of $5.91 billion. During the same period in the previous year, the company posted $1.88 EPS. The firm’s revenue was up 8.4% compared to the same quarter last year.

Eaton Stock Performance

Shares of NYSE:ETN traded down $3.90 during trading on Wednesday, hitting $314.36. 1,251,999 shares of the company were exchanged, compared to its average volume of 2,001,118. The company has a market cap of $125.59 billion, a PE ratio of 39.19, a P/E/G ratio of 2.71 and a beta of 1.07. Eaton has a 52-week low of $165.24 and a 52-week high of $333.05. The stock has a 50 day moving average of $306.65 and a 200 day moving average of $260.44. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.51 and a quick ratio of 1.02.

Eaton Announces Dividend

The business also recently announced 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. The ex-dividend date of this dividend is Friday, May 3rd. This represents a $3.76 annualized dividend and a dividend yield of 1.20%. Eaton’s dividend payout ratio is currently 46.88%.

Insider Transactions at Eaton

In other news, insider Heath B. Monesmith sold 13,027 shares of the company’s stock in a transaction on Monday, March 11th. The shares were sold at an average price of $291.40, for a total value of $3,796,067.80. Following the transaction, the insider now owns 69,472 shares of the company’s stock, valued at $20,244,140.80. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. In other news, insider Heath B. Monesmith sold 13,027 shares of the company’s stock in a transaction on Monday, March 11th. The shares were sold at an average price of $291.40, for a total value of $3,796,067.80. Following the transaction, the insider now owns 69,472 shares of the company’s stock, valued at $20,244,140.80. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Peter Denk sold 1,731 shares of the stock in a transaction on Thursday, February 29th. The shares were sold at an average price of $288.97, for a total value 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 disclosure for this sale can be found here. Over the last quarter, 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.

Analyst Ratings Changes

A number of analysts have commented on the company. The Goldman Sachs Group boosted their price objective on Eaton from $287.00 to $328.00 and gave the stock a “buy” rating in a report on Friday, March 15th. Bank of America boosted their price objective on Eaton from $320.00 to $330.00 and gave the stock a “buy” rating in a report on Monday, March 18th. JPMorgan Chase & Co. boosted their price objective on Eaton from $279.00 to $325.00 and gave the stock an “overweight” rating in a report on Wednesday. Berenberg Bank boosted their price objective on Eaton from $200.00 to $345.00 and gave the stock a “buy” rating in a report on Wednesday, March 6th. Finally, Wolfe Research reaffirmed an “underperform” rating and issued a $312.00 target price on shares of Eaton in a report on Monday, April 8th. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and twelve have issued a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $302.93.

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.