Illinois Tool Works (NYSE:ITW) Posts Quarterly Earnings Results, Beats Estimates By $0.09 EPS

Illinois Tool Works (NYSE:ITW) announced its earnings results on Friday. The industrial products company reported $2.81 EPS for the quarter, topping the consensus estimate of $2.72 by $0.09, Zacks reports. Illinois Tool Works had a net margin of 21.31% and a return on equity of 90.89%. The company had revenue of $4.06 billion for the quarter, compared to analysts’ expectations of $4.09 billion. During the same period last year, the firm earned $3.91 earnings per share. The business’s revenue for the quarter was up 2.3% on a year-over-year basis. Illinois Tool Works updated its FY 2025 guidance to 10.400-10.500 EPS.

Illinois Tool Works Stock Performance

NYSE ITW opened at $245.91 on Friday. The firm’s fifty day moving average price is $259.36 and its two-hundred day moving average price is $251.86. The stock has a market cap of $71.68 billion, a PE ratio of 23.85, a PEG ratio of 5.44 and a beta of 1.10. Illinois Tool Works has a fifty-two week low of $214.66 and a fifty-two week high of $279.13. The company has a debt-to-equity ratio of 2.40, a quick ratio of 1.15 and a current ratio of 1.59.

Illinois Tool Works Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, October 10th. Shareholders of record on Tuesday, September 30th were paid a dividend of $1.61 per share. The ex-dividend date of this dividend was Tuesday, September 30th. This is a boost from Illinois Tool Works’s previous quarterly dividend of $1.50. This represents a $6.44 dividend on an annualized basis and a dividend yield of 2.6%. Illinois Tool Works’s payout ratio is presently 62.46%.

Insider Buying and Selling at Illinois Tool Works

In other Illinois Tool Works news, CAO Randall J. Scheuneman sold 6,802 shares of the business’s stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $265.08, for a total transaction of $1,803,074.16. Following the sale, the chief accounting officer owned 10,314 shares of the company’s stock, valued at approximately $2,734,035.12. The trade was a 39.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 0.88% of the company’s stock.

Institutional Trading of Illinois Tool Works

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Ameriprise Financial Inc. lifted its holdings in shares of Illinois Tool Works by 1.1% during the second quarter. Ameriprise Financial Inc. now owns 2,554,468 shares of the industrial products company’s stock worth $631,685,000 after purchasing an additional 28,762 shares during the period. Treasurer of the State of North Carolina lifted its holdings in shares of Illinois Tool Works by 2.2% during the second quarter. Treasurer of the State of North Carolina now owns 136,884 shares of the industrial products company’s stock worth $33,845,000 after purchasing an additional 2,890 shares during the period. Sei Investments Co. lifted its holdings in shares of Illinois Tool Works by 22.0% during the second quarter. Sei Investments Co. now owns 106,784 shares of the industrial products company’s stock worth $26,401,000 after purchasing an additional 19,248 shares during the period. Lazard Asset Management LLC lifted its holdings in shares of Illinois Tool Works by 1,278.4% during the second quarter. Lazard Asset Management LLC now owns 103,639 shares of the industrial products company’s stock worth $25,624,000 after purchasing an additional 96,120 shares during the period. Finally, State of Tennessee Department of Treasury lifted its holdings in shares of Illinois Tool Works by 21.6% during the second quarter. State of Tennessee Department of Treasury now owns 89,962 shares of the industrial products company’s stock worth $22,243,000 after purchasing an additional 15,953 shares during the period. Institutional investors own 79.77% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts have recently commented on ITW shares. Wells Fargo & Company raised their target price on shares of Illinois Tool Works from $235.00 to $250.00 and gave the stock an “underweight” rating in a report on Thursday, July 31st. Deutsche Bank Aktiengesellschaft raised their target price on shares of Illinois Tool Works from $265.00 to $268.00 and gave the stock a “hold” rating in a report on Thursday, October 2nd. UBS Group lifted their price objective on shares of Illinois Tool Works from $243.00 to $255.00 and gave the company a “neutral” rating in a research note on Thursday, July 31st. Citigroup lifted their price objective on shares of Illinois Tool Works from $254.00 to $265.00 and gave the company a “neutral” rating in a research note on Monday, July 14th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Illinois Tool Works in a research note on Wednesday, October 8th. Two analysts have rated the stock with a Buy rating, eight have given a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Reduce” and an average price target of $262.83.

Illinois Tool Works Company Profile

Illinois Tool Works Inc manufactures and sells industrial products and equipment in the United States and internationally. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products.