Eaton (ETN) Sees a More Significant Dip Than Broader Market: Some Facts to Know

In the latest trading session, Eaton (ETN) closed at $280.89, marking a -1.62% move from the previous day. This change lagged the S&P 500's 0.33% loss on the day. Elsewhere, the Dow lost 0.37%, while the tech-heavy Nasdaq lost 0.53%.Coming into today, shares of the power management company had lost 3.98% in the past month. In that same time, the Industrial Products sector lost 2.56%, while the S&P 500 lost 4.03%.The investment community will be closely monitoring the performance of Eaton in its forthcoming earnings report. The company's upcoming EPS is projected at $2.70, signifying a 12.5% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $6.27 billion, indicating a 5.43% upward movement from the same quarter last year.For the full year, the Zacks Consensus Estimates are projecting earnings of $12.03 per share and revenue of $26.74 billion, which would represent changes of +11.39% and +7.48%, respectively, from the prior year.Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Eaton. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.01% rise in the Zacks Consensus EPS estimate. Eaton is currently sporting a Zacks Rank of #3 (Hold).In terms of valuation, Eaton is presently being traded at a Forward P/E ratio of 23.73. Its industry sports an average Forward P/E of 20.38, so one might conclude that Eaton is trading at a premium comparatively.Meanwhile, ETN's PEG ratio is currently 2.29. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Manufacturing - Electronics industry was having an average PEG ratio of 1.78.The Manufacturing - Electronics industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 37, this industry ranks in the top 15% of all industries, numbering over 250.The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Eaton Corporation, PLC (ETN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks