We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Eaton (ETN) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
In the latest trading session, Eaton (ETN - Free Report) closed at $437.28, marking a +1.76% move from the previous day. This move outpaced the S&P 500's daily gain of 0.2%. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.04%.
Coming into today, shares of the power management company had gained 9.94% in the past month. In that same time, the Industrial Products sector lost 0.74%, while the S&P 500 lost 0.35%.
The upcoming earnings release of Eaton will be of great interest to investors. The company is predicted to post an EPS of $3.53, indicating a 14.98% growth compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $8.42 billion, up 20.52% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $13.57 per share and a revenue of $32.66 billion, representing changes of +12.43% and +18.98%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Eaton. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.05% increase. Right now, Eaton possesses a Zacks Rank of #3 (Hold).
Looking at its valuation, Eaton is holding a Forward P/E ratio of 31.68. This represents a premium compared to its industry average Forward P/E of 24.08.
Investors should also note that ETN has a PEG ratio of 2.7 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Manufacturing - Electronics industry currently had an average PEG ratio of 1.62 as of yesterday's close.
The Manufacturing - Electronics industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 74, this industry ranks in the top 31% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
Image: Bigstock
Eaton (ETN) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Eaton (ETN - Free Report) closed at $437.28, marking a +1.76% move from the previous day. This move outpaced the S&P 500's daily gain of 0.2%. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.04%.
Coming into today, shares of the power management company had gained 9.94% in the past month. In that same time, the Industrial Products sector lost 0.74%, while the S&P 500 lost 0.35%.
The upcoming earnings release of Eaton will be of great interest to investors. The company is predicted to post an EPS of $3.53, indicating a 14.98% growth compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $8.42 billion, up 20.52% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $13.57 per share and a revenue of $32.66 billion, representing changes of +12.43% and +18.98%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Eaton. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.05% increase. Right now, Eaton possesses a Zacks Rank of #3 (Hold).
Looking at its valuation, Eaton is holding a Forward P/E ratio of 31.68. This represents a premium compared to its industry average Forward P/E of 24.08.
Investors should also note that ETN has a PEG ratio of 2.7 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Manufacturing - Electronics industry currently had an average PEG ratio of 1.62 as of yesterday's close.
The Manufacturing - Electronics industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 74, this industry ranks in the top 31% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.