Eaton (NYSE:ETN) Coverage Initiated by Analysts at Morgan Stanley

Morgan Stanley started coverage on shares of Eaton (NYSE:ETN) in a research report sent to investors on Friday morning, Marketbeat Ratings reports. The brokerage issued an overweight rating and a $370.00 price objective on the industrial products company’s stock.

Several other research firms have also recently weighed in on ETN. Jefferies Financial Group boosted their price objective on shares of Eaton from $370.00 to $385.00 and gave the company a buy rating in a report on Thursday, July 11th. Wolfe Research raised Eaton from an underperform rating to a peer perform rating in a report on Friday. Evercore ISI dropped their price target on Eaton from $357.00 to $333.00 and set an outperform rating on the stock in a research note on Monday, August 19th. Royal Bank of Canada reduced their price objective on Eaton from $376.00 to $371.00 and set an outperform rating for the company in a research report on Friday, August 2nd. Finally, Raymond James began coverage on Eaton in a research report on Friday, June 28th. They issued an outperform rating and a $375.00 target price on the stock. Four research analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of Moderate Buy and a consensus price target of $335.76.

Eaton Price Performance

Shares of NYSE ETN opened at $284.93 on Friday. The company has a 50 day moving average of $302.48 and a 200 day moving average of $310.93. The company has a quick ratio of 1.07, a current ratio of 1.56 and a debt-to-equity ratio of 0.44. Eaton has a twelve month low of $191.82 and a twelve month high of $345.19. The firm has a market cap of $113.92 billion, a P/E ratio of 33.64, a PEG ratio of 2.35 and a beta of 1.01.

Eaton (NYSE:ETN) last announced its quarterly earnings results on Thursday, August 1st. The industrial products company reported $2.73 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.61 by $0.12. Eaton had a return on equity of 21.45% and a net margin of 15.12%. The firm had revenue of $6.35 billion for the quarter, compared to the consensus estimate of $6.35 billion. As a group, research analysts expect that Eaton will post 10.74 EPS for the current fiscal year.

Eaton Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 23rd. Stockholders of record on Monday, August 5th were given a dividend of $0.94 per share. The ex-dividend date of this dividend was Monday, August 5th. This represents a $3.76 annualized dividend and a dividend yield of 1.32%. Eaton’s payout ratio is 44.39%.

Insider Buying and Selling

In other news, insider Taras G. Jr. Szmagala sold 335 shares of the business’s stock in a transaction dated Monday, August 12th. The stock was sold at an average price of $288.72, for a total value of $96,721.20. Following the transaction, the insider now directly owns 9,900 shares in the company, valued at $2,858,328. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. In other Eaton news, insider Taras G. Jr. Szmagala sold 335 shares of the stock in a transaction that occurred on Monday, August 12th. The shares were sold at an average price of $288.72, for a total transaction of $96,721.20. Following the completion of the sale, the insider now directly owns 9,900 shares of the company’s stock, valued at approximately $2,858,328. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Karenann K. Terrell bought 500 shares of the stock in a transaction dated Wednesday, August 21st. The stock was bought at an average cost of $298.97 per share, for a total transaction of $149,485.00. Following the acquisition, the director now directly owns 500 shares of the company’s stock, valued at approximately $149,485. The disclosure for this purchase can be found here. In the last quarter, insiders sold 52,511 shares of company stock valued at $15,809,326. Company insiders own 0.53% of the company’s stock.

Institutional Investors Weigh In On Eaton

Several large investors have recently made changes to their positions in ETN. Gryphon Financial Partners LLC raised its holdings in shares of Eaton by 81.3% during the 4th quarter. Gryphon Financial Partners LLC now owns 2,348 shares of the industrial products company’s stock worth $565,000 after acquiring an additional 1,053 shares in the last quarter. Ethos Financial Group LLC purchased a new stake in Eaton during the fourth quarter valued at $201,000. Montag A & Associates Inc. lifted its position in Eaton by 6.6% during the fourth quarter. Montag A & Associates Inc. now owns 3,246 shares of the industrial products company’s stock valued at $782,000 after purchasing an additional 200 shares during the last quarter. Principal Securities Inc. purchased a new position in shares of Eaton in the 4th quarter worth $1,043,000. Finally, Calton & Associates Inc. bought a new stake in shares of Eaton in the 4th quarter worth about $224,000. 82.97% of the stock is owned by institutional investors.

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.