Eaton (ETN) ended the recent trading session at $383.09, demonstrating a -1.2% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.99%. Elsewhere, the Dow saw a downswing of 0.23%, while the tech-heavy Nasdaq depreciated by 1.58%.
Shares of the power management company have appreciated by 3.72% over the course of the past month, underperforming the Industrial Products sector's gain of 4.45%, and outperforming the S&P 500's gain of 3.59%.
The investment community will be paying close attention to the earnings performance of Eaton in its upcoming release. The company is slated to reveal its earnings on November 4, 2025. The company's upcoming EPS is projected at $3.06, signifying a 7.75% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $7.06 billion, reflecting a 11.23% rise from the equivalent quarter last year.
ETN's full-year Zacks Consensus Estimates are calling for earnings of $12.08 per share and revenue of $27.57 billion. These results would represent year-over-year changes of +11.85% and +10.83%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Eaton. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.03% higher. Eaton is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Eaton's current valuation metrics, including its Forward P/E ratio of 32.09. This expresses a premium compared to the average Forward P/E of 26.9 of its industry.
Meanwhile, ETN's PEG ratio is currently 2.77. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Manufacturing - Electronics industry stood at 2 at the close of the market yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry, currently bearing a Zacks Industry Rank of 35, finds itself in the top 15% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Eaton Corporation, PLC (ETN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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