ITW Stock Earnings Estimates Increased by Zacks Research

Illinois Tool Works Inc. (NYSE:ITW) – Investment analysts at Zacks Research upped their Q3 2026 EPS estimates for Illinois Tool Works in a note issued to investors on Monday, October 12th. Zacks Research analyst Team now expects that the industrial products company will earn $2.96 per share for the quarter, up from their prior forecast of $2.95. The consensus estimate for Illinois Tool Works’ current full-year earnings is $11.42 per share. Zacks Research also issued estimates for Illinois Tool Works’ Q4 2026 earnings at $2.96 EPS, FY2026 earnings at $11.42 EPS, Q1 2027 earnings at $2.75 EPS, Q3 2027 earnings at $3.28 EPS, Q4 2027 earnings at $3.30 EPS and FY2027 earnings at $12.37 EPS.

Several other brokerages have also recently weighed in on ITW. UBS Group set a $277.00 target price on Illinois Tool Works in a report on Friday, October 9th. Truist Financial dropped their price target on Illinois Tool Works from $308.00 to $297.00 and set a “hold” rating for the company in a research report on Monday, October 5th. Deutsche Bank Aktiengesellschaft cut their price target on Illinois Tool Works from $287.00 to $281.00 and set a “hold” rating for the company in a report on Wednesday, September 30th. Weiss Ratings downgraded Illinois Tool Works from a “buy (b)” rating to a “buy (b-)” rating in a research report on Tuesday. Finally, Robert W. Baird boosted their price objective on Illinois Tool Works from $278.00 to $297.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 29th. One equities research analyst has rated the stock with a Buy rating, seven have issued a Hold rating and five have given a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Reduce” and an average price target of $273.42.

Illinois Tool Works Stock Up 1.0%

ITW stock opened at $269.02 on Tuesday. The company has a current ratio of 1.11, a quick ratio of 0.81 and a debt-to-equity ratio of 2.26. The firm has a 50-day moving average of $274.46 and a two-hundred day moving average of $268.26. Illinois Tool Works has a 12 month low of $238.82 and a 12 month high of $303.15. The company has a market cap of $76.62 billion, a price-to-earnings ratio of 24.15, a PEG ratio of 2.88 and a beta of 0.96.

Illinois Tool Works (NYSE:ITW) last posted its quarterly earnings results on Tuesday, July 28th. The industrial products company reported $2.84 earnings per share for the quarter, topping the consensus estimate of $2.80 by $0.04. The firm had revenue of $4.30 billion for the quarter, compared to the consensus estimate of $4.19 billion. Illinois Tool Works had a net margin of 19.39% and a return on equity of 101.72%. The company’s revenue for the quarter was up 6.1% on a year-over-year basis. During the same period last year, the firm posted $2.58 earnings per share. Illinois Tool Works has set its FY 2026 guidance at 11.350-11.550 EPS.

Institutional Trading of Illinois Tool Works

Hedge funds and other institutional investors have recently modified their holdings of the business. BlackRock Inc. acquired a new position in Illinois Tool Works during the second quarter worth $6,296,349,000. State Street Corp lifted its holdings in Illinois Tool Works by 1.0% in the second quarter. State Street Corp now owns 12,788,570 shares of the industrial products company’s stock valued at $3,479,219,000 after acquiring an additional 128,089 shares during the period. Bank of America Corp DE lifted its holdings in Illinois Tool Works by 2.5% in the first quarter. Bank of America Corp DE now owns 3,005,659 shares of the industrial products company’s stock valued at $782,343,000 after acquiring an additional 72,951 shares during the period. Bank of New York Mellon Corp purchased a new stake in shares of Illinois Tool Works during the 2nd quarter worth $603,166,000. Finally, Dimensional Fund Advisors LP boosted its position in shares of Illinois Tool Works by 3.0% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,045,009 shares of the industrial products company’s stock worth $532,261,000 after purchasing an additional 60,009 shares in the last quarter. 79.77% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Illinois Tool Works

In other Illinois Tool Works news, CAO Matteo Pigozzo sold 277 shares of Illinois Tool Works stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $289.22, for a total value of $80,113.94. Following the sale, the chief accounting officer owned 3,394 shares in the company, valued at $981,612.68. The trade was a 7.55% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Ernest Santi sold 41,431 shares of the company’s stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $287.09, for a total value of $11,894,425.79. Following the completion of the transaction, the director directly owned 266,288 shares in the company, valued at approximately $76,448,621.92. This trade represents a 13.46% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.83% of the stock is owned by company insiders.

Illinois Tool Works Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, October 9th. Shareholders of record on Wednesday, September 30th were paid a dividend of $1.72 per share. This represents a $6.88 annualized dividend and a yield of 2.6%. This is a positive change from Illinois Tool Works’s previous quarterly dividend of $1.61. The ex-dividend date of this dividend was Wednesday, September 30th. Illinois Tool Works’s payout ratio is 62.38%.

Key Illinois Tool Works News

Here are the key news stories impacting Illinois Tool Works this week:

• Positive Sentiment: Zacks Research slightly raised its FY2026 EPS forecast to $11.42 from $11.40 and its FY2027 forecast to $12.37 from $12.27. Estimates for Q3 2026, Q4 2026, Q1 2027, Q3 2027 and Q4 2027 were also increased modestly, suggesting some confidence in near-term earnings execution.
• Neutral Sentiment: The earnings revisions are mixed and relatively small. Zacks maintained its current-year estimate near the broader consensus of approximately $11.42–$11.44 per share, while its FY2028 forecast remains $13.33 per share after a reduction from $13.60.
• Negative Sentiment: JPMorgan downgraded Illinois Tool Works to Neutral from Overweight and cut its price target sharply to $277 from $350. With the stock recently trading near $269, the new target implies limited upside, which may pressure the shares and reflects a less favorable risk-reward outlook. JPMorgan Downgrades Illinois Tool Works to Neutral From Overweight, Cuts Price Target to $277 From $350
• Negative Sentiment: Zacks Research lowered its 2028 EPS estimates for Q1, Q2 and Q3 and reduced its FY2028 forecast to $13.33 from $13.60. The cuts indicate expectations for somewhat slower longer-term earnings growth, although they do not affect the current fiscal-year outlook.

Illinois Tool Works Company Profile

Illinois Tool Works Inc (NYSE: ITW) is a diversified industrial manufacturer that develops and produces engineered products and systems for customers worldwide. The company serves a broad range of end markets, including automotive, construction, food service, welding, electronics, and general industry.

ITW’s product portfolio includes automotive components and fasteners, commercial food equipment, welding equipment and consumables, test and measurement instruments, electronic components, polymers and fluids, construction fastening systems, and other specialized industrial products.