Short Interest in Eaton Co. plc (NYSE:ETN) Grows By 7.1%

Eaton Co. plc (NYSE:ETN) was the recipient of a significant increase in short interest in the month of July. As of July 15th, there was short interest totalling 4,350,000 shares, an increase of 7.1% from the June 30th total of 4,060,000 shares. Based on an average daily volume of 2,170,000 shares, the days-to-cover ratio is presently 2.0 days.

Eaton Stock Performance

Shares of NYSE ETN traded down $10.06 during mid-day trading on Thursday, reaching $294.73. 3,010,624 shares of the company were exchanged, compared to its average volume of 2,114,953. The company’s 50-day simple moving average is $319.95 and its 200-day simple moving average is $304.83. The company has a quick ratio of 1.05, a current ratio of 1.56 and a debt-to-equity ratio of 0.42. The stock has a market capitalization of $117.83 billion, a P/E ratio of 35.98, a P/E/G ratio of 2.40 and a beta of 1.02. Eaton has a twelve month low of $191.82 and a twelve month high of $345.19.

Eaton (NYSE:ETN) last issued its quarterly earnings data on Tuesday, April 30th. The industrial products company reported $2.40 earnings per share for the quarter, topping the consensus estimate of $2.28 by $0.12. Eaton had a net margin of 14.38% and a return on equity of 20.69%. The business had revenue of $5.94 billion during the quarter, compared to analysts’ expectations of $5.91 billion. During the same quarter in the previous year, the company earned $1.88 EPS. The business’s revenue was up 8.4% on a year-over-year basis. As a group, research analysts predict that Eaton will post 10.56 earnings per share for the current year.

Eaton Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 23rd. Investors of record on Monday, August 5th will be paid a $0.94 dividend. This represents a $3.76 dividend on an annualized basis and a yield of 1.28%. The ex-dividend date of this dividend is Monday, August 5th. Eaton’s dividend payout ratio (DPR) is presently 44.39%.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the company. Royal Bank of Canada raised Eaton from a “sector perform” rating to an “outperform” rating and lifted their price objective for the company from $286.00 to $371.00 in a report on Friday, April 5th. Argus raised their price objective on shares of Eaton from $290.00 to $350.00 and gave the company a “buy” rating in a research note on Thursday, May 2nd. Mizuho reissued a “buy” rating and issued a $355.00 price target (up previously from $340.00) on shares of Eaton in a research note on Wednesday, May 1st. Raymond James started coverage on Eaton in a report on Friday, June 28th. They issued an “outperform” rating and a $375.00 price objective for the company. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Eaton from $279.00 to $325.00 and gave the company an “overweight” rating in a report on Wednesday, May 1st. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and fourteen have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $323.06.

Insider Buying and Selling

In related news, insider Peter Denk sold 2,416 shares of the firm’s stock in a transaction on Wednesday, May 8th. The stock was sold at an average price of $331.84, for a total value of $801,725.44. Following the completion of the transaction, the insider now directly owns 5,086 shares of the company’s stock, valued at $1,687,738.24. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 0.53% of the stock is owned by company insiders.

Institutional Investors Weigh In On Eaton

Large investors have recently bought and sold shares of the company. Legacy Capital Group California Inc. increased its position in shares of Eaton by 1.2% during the 2nd quarter. Legacy Capital Group California Inc. now owns 2,776 shares of the industrial products company’s stock valued at $870,000 after purchasing an additional 32 shares during the last quarter. Well Done LLC grew its position in shares of Eaton by 1.3% during the 2nd quarter. Well Done LLC now owns 2,551 shares of the industrial products company’s stock valued at $800,000 after acquiring an additional 33 shares during the period. Verdence Capital Advisors LLC lifted its stake in shares of Eaton by 1.7% during the 1st quarter. Verdence Capital Advisors LLC now owns 2,059 shares of the industrial products company’s stock valued at $644,000 after buying an additional 34 shares in the last quarter. Fragasso Group Inc. lifted its stake in shares of Eaton by 3.6% during the 1st quarter. Fragasso Group Inc. now owns 1,032 shares of the industrial products company’s stock valued at $323,000 after buying an additional 36 shares in the last quarter. Finally, Valley National Advisers Inc. lifted its stake in shares of Eaton by 5.6% during the 1st quarter. Valley National Advisers Inc. now owns 682 shares of the industrial products company’s stock valued at $213,000 after buying an additional 36 shares in the last quarter. 82.97% of the stock is currently owned by institutional investors and hedge funds.

Eaton Company Profile

Eaton Corporation plc operates as a power management company worldwide. The company's Electrical Americas and Electrical Global segment provides electrical components, industrial components, power distribution and assemblies, residential products, single and three phase power quality and connectivity products, wiring devices, circuit protection products, utility power distribution products, power reliability equipment, and services, as well as hazardous duty electrical equipment, emergency lighting, fire detection, explosion-proof instrumentation, and structural support systems.