Zacks Research Issues Negative Outlook for ITW Earnings

Illinois Tool Works Inc. (NYSE:ITW) – Research analysts at Zacks Research dropped their Q1 2026 earnings per share estimates for shares of Illinois Tool Works in a research note issued on Monday, October 6th. Zacks Research analyst Team now forecasts that the industrial products company will post earnings of $2.51 per share for the quarter, down from their previous estimate of $2.52. The consensus estimate for Illinois Tool Works’ current full-year earnings is $10.39 per share.

Illinois Tool Works (NYSE:ITW) last released its quarterly earnings data on Wednesday, July 30th. The industrial products company reported $2.58 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.56 by $0.02. Illinois Tool Works had a return on equity of 90.89% and a net margin of 21.31%.The business had revenue of $4.05 billion during the quarter, compared to analyst estimates of $4.01 billion. During the same quarter in the previous year, the firm posted $2.54 EPS. The business’s revenue for the quarter was up .6% compared to the same quarter last year. Illinois Tool Works has set its FY 2025 guidance at 10.350-10.550 EPS.

ITW has been the topic of a number of other reports. Deutsche Bank Aktiengesellschaft boosted their target price on Illinois Tool Works from $265.00 to $268.00 and gave the stock a “hold” rating in a research report on Thursday, October 2nd. UBS Group upped their price target on Illinois Tool Works from $243.00 to $255.00 and gave the company a “neutral” rating in a research report on Thursday, July 31st. Weiss Ratings reissued a “buy (b)” rating on shares of Illinois Tool Works in a research report on Saturday, September 27th. Wells Fargo & Company upped their price target on Illinois Tool Works from $235.00 to $250.00 and gave the company an “underweight” rating in a research report on Thursday, July 31st. Finally, Evercore ISI set a $265.00 price target on Illinois Tool Works and gave the company an “underperform” rating in a research report on Tuesday, August 19th. Two investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Reduce” and an average price target of $261.58.

Illinois Tool Works Trading Down 0.5%

Shares of Illinois Tool Works stock opened at $258.76 on Tuesday. The company has a quick ratio of 1.15, a current ratio of 1.59 and a debt-to-equity ratio of 2.40. The firm has a market cap of $75.43 billion, a price-to-earnings ratio of 22.68, a price-to-earnings-growth ratio of 5.75 and a beta of 1.10. The business has a fifty day simple moving average of $261.41 and a 200-day simple moving average of $251.05. Illinois Tool Works has a fifty-two week low of $214.66 and a fifty-two week high of $279.13.

Hedge Funds Weigh In On Illinois Tool Works

Several large investors have recently added to or reduced their stakes in the company. Brighton Jones LLC increased its holdings in Illinois Tool Works by 5.3% during the 4th quarter. Brighton Jones LLC now owns 5,519 shares of the industrial products company’s stock valued at $1,399,000 after purchasing an additional 277 shares in the last quarter. Bison Wealth LLC increased its holdings in Illinois Tool Works by 2.3% during the 4th quarter. Bison Wealth LLC now owns 3,555 shares of the industrial products company’s stock valued at $901,000 after purchasing an additional 81 shares in the last quarter. NBC Securities Inc. acquired a new stake in Illinois Tool Works during the 1st quarter valued at $125,000. Sivia Capital Partners LLC acquired a new stake in Illinois Tool Works during the 1st quarter valued at $214,000. Finally, Miracle Mile Advisors LLC increased its holdings in Illinois Tool Works by 0.4% during the 1st quarter. Miracle Mile Advisors LLC now owns 19,905 shares of the industrial products company’s stock valued at $4,937,000 after purchasing an additional 80 shares in the last quarter. Institutional investors and hedge funds own 79.77% of the company’s stock.

Insiders Place Their Bets

In related news, CAO Randall J. Scheuneman sold 6,802 shares of the stock in a transaction that occurred on Thursday, September 11th. The stock was sold at an average price of $265.08, for a total transaction of $1,803,074.16. Following the completion of the sale, the chief accounting officer owned 10,314 shares in the company, valued at $2,734,035.12. This represents a 39.74% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.88% of the stock is currently owned by insiders.

Illinois Tool Works Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Tuesday, September 30th will be paid a dividend of $1.61 per share. This represents a $6.44 annualized dividend and a yield of 2.5%. The ex-dividend date is Tuesday, September 30th. This is a positive change from Illinois Tool Works’s previous quarterly dividend of $1.50. Illinois Tool Works’s dividend payout ratio is currently 56.44%.

About Illinois Tool Works

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.