Zacks: Brokerages Expect Illinois Tool Works Inc. (NYSE:ITW) to Post $1.86 Earnings Per Share

Wall Street analysts expect that Illinois Tool Works Inc. (NYSE:ITW) will report $1.86 earnings per share for the current fiscal quarter, Zacks reports. Seven analysts have issued estimates for Illinois Tool Works’ earnings. The highest EPS estimate is $1.92 and the lowest is $1.80. Illinois Tool Works reported earnings per share of $1.83 in the same quarter last year, which suggests a positive year-over-year growth rate of 1.6%. The company is scheduled to announce its next earnings results on Friday, February 7th.

On average, analysts expect that Illinois Tool Works will report full year earnings of $7.60 per share for the current fiscal year, with EPS estimates ranging from $7.56 to $7.65. For the next year, analysts forecast that the firm will report earnings of $7.91 per share, with EPS estimates ranging from $7.70 to $8.15. Zacks’ EPS calculations are an average based on a survey of research analysts that that provide coverage for Illinois Tool Works.

Illinois Tool Works (NYSE:ITW) last released its earnings results on Friday, October 25th. The industrial products company reported $2.04 EPS for the quarter, beating the Zacks’ consensus estimate of $1.94 by $0.10. Illinois Tool Works had a return on equity of 80.38% and a net margin of 17.49%. The company had revenue of $3.42 billion during the quarter, compared to analysts’ expectations of $3.55 billion. During the same quarter last year, the business posted $1.76 EPS. The firm’s revenue for the quarter was down 5.4% compared to the same quarter last year.

Several equities analysts have recently issued reports on the company. Goldman Sachs Group lowered Illinois Tool Works from a “neutral” rating to a “sell” rating and set a $144.00 price target for the company. in a research report on Monday, September 23rd. They noted that the move was a valuation call. Citigroup reduced their price objective on shares of Illinois Tool Works from $158.00 to $155.00 and set a “neutral” rating for the company in a research note on Tuesday, October 15th. Seaport Global Securities reaffirmed a “neutral” rating on shares of Illinois Tool Works in a report on Monday, October 28th. Deutsche Bank lifted their target price on shares of Illinois Tool Works from $142.00 to $164.00 and gave the stock a “sell” rating in a report on Wednesday. Finally, Zacks Investment Research downgraded shares of Illinois Tool Works from a “hold” rating to a “sell” rating and set a $180.00 target price on the stock. in a research note on Monday, October 28th. Six equities research analysts have rated the stock with a sell rating, seven have issued a hold rating and one has assigned a buy rating to the company’s stock. The company presently has an average rating of “Hold” and an average target price of $149.00.

In related news, EVP Juan Valls sold 64,894 shares of the stock in a transaction that occurred on Thursday, September 12th. The shares were sold at an average price of $160.51, for a total transaction of $10,416,135.94. Following the transaction, the executive vice president now owns 67,047 shares in the company, valued at $10,761,713.97. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, EVP Michael R. Zimmerman sold 6,600 shares of the firm’s stock in a transaction that occurred on Friday, October 25th. The stock was sold at an average price of $172.43, for a total transaction of $1,138,038.00. Following the completion of the sale, the executive vice president now owns 13,590 shares in the company, valued at approximately $2,343,323.70. The disclosure for this sale can be found here. Insiders have sold a total of 346,180 shares of company stock worth $57,725,646 in the last 90 days. Company insiders own 0.87% of the company’s stock.

A number of large investors have recently bought and sold shares of ITW. Vanguard Group Inc. boosted its position in Illinois Tool Works by 2.6% in the second quarter. Vanguard Group Inc. now owns 26,095,477 shares of the industrial products company’s stock worth $3,935,459,000 after purchasing an additional 659,248 shares during the last quarter. BlackRock Inc. raised its position in Illinois Tool Works by 3.0% in the second quarter. BlackRock Inc. now owns 20,244,400 shares of the industrial products company’s stock worth $3,053,058,000 after acquiring an additional 581,489 shares during the period. Bank of America Corp DE raised its position in Illinois Tool Works by 2.6% in the second quarter. Bank of America Corp DE now owns 3,756,360 shares of the industrial products company’s stock worth $566,496,000 after acquiring an additional 94,434 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Illinois Tool Works by 2.8% during the 2nd quarter. Charles Schwab Investment Management Inc. now owns 2,401,495 shares of the industrial products company’s stock worth $362,170,000 after acquiring an additional 65,298 shares during the last quarter. Finally, Invesco Ltd. boosted its stake in shares of Illinois Tool Works by 179.7% during the 2nd quarter. Invesco Ltd. now owns 2,139,052 shares of the industrial products company’s stock worth $322,590,000 after acquiring an additional 1,374,150 shares during the last quarter. 77.88% of the stock is owned by institutional investors and hedge funds.

Shares of ITW opened at $174.19 on Friday. Illinois Tool Works has a 52 week low of $117.75 and a 52 week high of $179.29. The stock has a market cap of $56.03 billion, a P/E ratio of 22.92, a P/E/G ratio of 2.96 and a beta of 1.21. The business’s 50 day moving average price is $171.39 and its 200-day moving average price is $155.91. The company has a quick ratio of 2.27, a current ratio of 2.81 and a debt-to-equity ratio of 2.57.

The business also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Shareholders of record on Tuesday, December 31st will be paid a dividend of $1.07 per share. This represents a $4.28 annualized dividend and a yield of 2.46%. The ex-dividend date is Monday, December 30th. Illinois Tool Works’s dividend payout ratio is currently 56.32%.

Illinois Tool Works Company Profile

Illinois Tool Works Inc manufactures and sells industrial products and equipment worldwide. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products. The Automotive OEM segment offers plastic and metal components, fasteners, and assemblies for automobiles, light trucks, and other industrial uses.

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Earnings History and Estimates for Illinois Tool Works (NYSE:ITW)

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