Zacks Research Has Bearish Forecast for ITW Q1 Earnings

Illinois Tool Works Inc. (NYSE:ITW) – Zacks Research reduced their Q1 2026 EPS estimates for shares of Illinois Tool Works in a research note issued on Wednesday, July 16th. Zacks Research analyst A. Bhattacharjee now expects that the industrial products company will earn $2.54 per share for the quarter, down from their prior estimate of $2.55. The consensus estimate for Illinois Tool Works’ current full-year earnings is $10.39 per share. Zacks Research also issued estimates for Illinois Tool Works’ FY2026 earnings at $10.95 EPS, Q1 2027 earnings at $2.80 EPS and FY2027 earnings at $11.72 EPS.

A number of other brokerages also recently weighed in on ITW. Bank of America downgraded Illinois Tool Works from a “neutral” rating to an “underperform” rating and set a $220.00 target price on the stock. in a report on Wednesday, May 7th. Citigroup upped their target price on Illinois Tool Works from $254.00 to $265.00 and gave the company a “neutral” rating in a report on Monday, July 14th. UBS Group dropped their price objective on Illinois Tool Works from $269.00 to $234.00 and set a “neutral” rating on the stock in a report on Monday, April 7th. Wells Fargo & Company increased their price objective on Illinois Tool Works from $230.00 to $235.00 and gave the stock an “underweight” rating in a report on Tuesday, July 1st. Finally, Truist Financial dropped their price objective on Illinois Tool Works from $302.00 to $284.00 and set a “buy” rating on the stock in a report on Thursday, May 1st. Three investment analysts have rated the stock with a sell rating, eight have assigned a hold rating, two have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, Illinois Tool Works has an average rating of “Hold” and a consensus target price of $253.83.

Illinois Tool Works Price Performance

NYSE ITW opened at $255.22 on Friday. The stock’s 50-day moving average price is $249.03 and its two-hundred day moving average price is $249.56. The company has a current ratio of 1.60, a quick ratio of 1.16 and a debt-to-equity ratio of 2.25. The company has a market cap of $74.78 billion, a PE ratio of 22.45, a PEG ratio of 5.45 and a beta of 1.09. Illinois Tool Works has a 1 year low of $214.66 and a 1 year high of $279.13.

Illinois Tool Works (NYSE:ITW) last issued its quarterly earnings results on Wednesday, April 30th. The industrial products company reported $2.38 earnings per share for the quarter, beating analysts’ consensus estimates of $2.34 by $0.04. Illinois Tool Works had a net margin of 21.37% and a return on equity of 92.77%. The company had revenue of $3.84 billion during the quarter, compared to the consensus estimate of $3.83 billion. During the same period in the prior year, the company earned $2.44 EPS. Illinois Tool Works’s revenue was down 3.4% on a year-over-year basis.

Illinois Tool Works Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, July 11th. Investors of record on Monday, June 30th were issued a $1.50 dividend. The ex-dividend date of this dividend was Monday, June 30th. This represents a $6.00 dividend on an annualized basis and a dividend yield of 2.35%. Illinois Tool Works’s dividend payout ratio is 52.77%.

Insider Buying and Selling

In other news, Director David Byron Smith, Jr. acquired 872 shares of the stock in a transaction that occurred on Monday, June 2nd. The stock was purchased at an average cost of $241.16 per share, for a total transaction of $210,291.52. Following the completion of the transaction, the director directly owned 122,884 shares in the company, valued at $29,634,705.44. This trade represents a 0.71% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.88% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Illinois Tool Works

Several institutional investors have recently modified their holdings of the stock. Prudent Man Investment Management Inc. bought a new position in shares of Illinois Tool Works during the 4th quarter valued at about $25,000. Ameriflex Group Inc. bought a new stake in Illinois Tool Works in the 4th quarter valued at approximately $26,000. Redwood Park Advisors LLC bought a new stake in Illinois Tool Works in the 4th quarter valued at approximately $26,000. von Borstel & Associates Inc. bought a new stake in Illinois Tool Works in the 1st quarter valued at approximately $26,000. Finally, SOA Wealth Advisors LLC. grew its holdings in shares of Illinois Tool Works by 90.9% in the 2nd quarter. SOA Wealth Advisors LLC. now owns 105 shares of the industrial products company’s stock valued at $26,000 after acquiring an additional 50 shares in the last quarter. 79.77% of the stock is currently owned by institutional investors and hedge funds.

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.