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About The Company

CEO

Mr. Craig Arnold

Market Cap

126.81 Billion USD

Sector

Industrials

Website

https://www.eaton.com

Last Update

2/22/2024, 12:00:00 PM

Description

Eaton Corporation plc operates as a power management company worldwide.

Read More

Overview

Value

12

Growth

41

Health

52

Management

53

Analyst Opinion

80

Total

48

All Scores Out Of 100

Best Features

  • Earnings growth has improved recently
  • Has a low level of debt
  • Has a history of share buybacks
  • Low risk of bankruptcy
  • Liked by analysts
  • Very safe dividend

Risk Factors

  • Overvalued on cashflow basis
  • No margin of safety at their current market price
  • Disliked by Twitter users
  • Price-to-earnings ratio of 37.5 is higher than the market average (19.6x)

Market Peers

ETN

Key Figures

PE Ratio (TTM)

37.45

Margin Of Safety (DCF)

-47.85%

Revenue Growth (5 Year Average)

5.82%

Ratings Consensus

Buy

Share Buybacks

2.05%

Dividend Yeild (TTM)

1.15%

Valuation

Value Score

12

  • Estimated intrinsic-value of 157.04 USD is lower than current price ( 317.10 USD)
  • Price-to-earnings ratio of 37.5 is higher than the market average (19.6x)
  • Free-cashflow-yeild of 2.38% is worse than the market average (4.7%)
  • Margin-of-safety of -47.85% is worse than the market average (17.95%)

Desired Margin Of Safety

0%

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Buy Target: < 159.2 USD

Current Price: 301.1 USD

How Does This Work?

Show Advanced Options

This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated target price for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel the impact this has on longterm investment returns and discover a margin of safety you are comfortable with. This can be a useful tool for investors looking to make informed decisions about whether to buy or sell shares of a particular company.

Price/Earnings

37.45x

Free Cashflow Yeild

2.38%

PE/Earnings Growth

2.47

Price/Book

6.31x

Growth

Growth Score

41

  • Revenue growth has improved this yeara
  • Earnings growth has improved this year
  • Free Cashflow growth has improved this year
  • 5 Year Average Revenue growth of 5.82% is lower than the market average (10.97%)
  • 5 Year Average Earnings growth of 11.07% is lower than the market average (14.48%)
  • 5 Year Average Free Cashflow growth of 6.95% is lower than the market average (12.35%)

Revenue Growth

5.82%

Earnings Growth

11.07%

Cashflow Growth

6.95%

Health

Health Score

52

  • Low risk of bankruptcy
  • Assets cover liabilities
  • Debt repayments do not significantly impact cashflow
  • Requires debt for normal operation to be sustainable

Altman Z Score

5.13

Piostroski Score

8.00

Debt/Equity

0.53x

Current Assets/Liabilities

1.38x

Free Cashflow/Total Debt

0.21x

Debt/Capital

1.04x

Dividend

Secure Dividend Score

71

  • Very safe
  • Long term dividend payout ratio of 56.10% is considered good
  • Dividends have shown growth over the last 5 years
  • Dividend growth has been accelerating recently
  • Spending a lower percentage of their income on dividends than last 5 years
  • Dividend yeild of 1.15% is less than the market average (1.85%)
  • Payout ratio (TTM) of 42.85% is higher than the average (40%)

Dividend Yeild

1.15%

Dividend Growth

6.56%

Payout Ratio (Earnings)

42.85%

Payout Ratio (Cashflow)

48.10%

Management

Management Score

53

  • Has a history of returning value to shareholders through stock buybacks
  • Has returned higher dividends when earnings have risen
  • Return-on-capital-employed of 11.99% is higher than the market average (10%)
  • Has repurchased shares when overvalued
  • Return-on-equity of 14.40% is lower than the market average (15%)

Average Buybacks/Dilution

2.05%

Recent Buybacks/Dilution

-0.32%

5 Year Price Volitility

30.01%

Return On Assets

7.01%

Return On Capital Employed

11.99%

Return On Equity

14.40%

Return On Free Cashflow

N/A

Return On Investments

N/A

Social Sentiment

Social Sentiment Score

0

Twitter Sentiment

N/A

Stocktwits Sentiment

N/A

Analysts

Analyst Opinion

80

  • Ratings consensus is Buy

SEC Filings

Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

Other Information

Company Name

Eaton Corporation plc

Currency

USD

Beta

1.123975

Vol Avg

2007847

Ceo

Mr. Craig Arnold

Cik

0001551182

Cusip

G29183103

Exchange

New York Stock Exchange

Full Time Employees

92000

Industry

Specialty Industrial Machinery

Sector

Industrials

Ipo Date

1972-06-01

Address

Eaton House

City

Dublin

State

Country

IE

Zip

D04 Y0C2

Phone

353 1 637 2900

Analysis Last Updated

2/22/2024, 12:00:00 PM

All financial data provided by FMP

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