Illinois Tool Works Inc. (NYSE:ITW) Receives $261.08 Average PT from Analysts

Illinois Tool Works Inc. (NYSE:ITW) has received a consensus recommendation of “Reduce” from the thirteen brokerages that are currently covering the company, MarketBeat Ratings reports. Five investment analysts have rated the stock with a sell rating, seven have issued a hold rating and one has given a buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $260.1667.

Several equities analysts have recently weighed in on ITW shares. Bank of America raised shares of Illinois Tool Works from an “underperform” rating to a “neutral” rating and raised their price target for the stock from $220.00 to $255.00 in a research note on Tuesday, November 18th. Evercore ISI decreased their target price on shares of Illinois Tool Works from $261.00 to $253.00 and set an “underperform” rating on the stock in a research note on Monday, November 17th. Wolfe Research upped their price target on Illinois Tool Works from $264.00 to $278.00 and gave the company an “underperform” rating in a research report on Thursday, January 15th. Wells Fargo & Company boosted their price objective on Illinois Tool Works from $245.00 to $250.00 and gave the stock an “underweight” rating in a research note on Wednesday, January 7th. Finally, The Goldman Sachs Group reiterated a “sell” rating and set a $253.00 price target on shares of Illinois Tool Works in a report on Tuesday.

Illinois Tool Works Stock Performance

ITW opened at $278.17 on Friday. The firm’s fifty day simple moving average is $254.35 and its two-hundred day simple moving average is $255.13. Illinois Tool Works has a 52-week low of $214.66 and a 52-week high of $282.88. The company has a market cap of $80.70 billion, a price-to-earnings ratio of 26.98, a PEG ratio of 14.15 and a beta of 1.15. The company has a quick ratio of 1.11, a current ratio of 1.53 and a debt-to-equity ratio of 2.39.

Illinois Tool Works (NYSE:ITW) last posted its quarterly earnings data on Tuesday, February 3rd. The industrial products company reported $2.72 EPS for the quarter, topping the consensus estimate of $2.69 by $0.03. The company had revenue of $4.09 billion during the quarter, compared to analyst estimates of $4.07 billion. Illinois Tool Works had a return on equity of 93.26% and a net margin of 19.05%.Illinois Tool Works’s quarterly revenue was up 4.1% on a year-over-year basis. During the same period in the previous year, the business earned $2.54 EPS. Illinois Tool Works has set its FY 2026 guidance at 11.000-11.400 EPS. Equities analysts anticipate that Illinois Tool Works will post 10.39 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Illinois Tool Works

Several hedge funds and other institutional investors have recently made changes to their positions in ITW. Vanguard Group Inc. boosted its stake in Illinois Tool Works by 0.7% in the fourth quarter. Vanguard Group Inc. now owns 26,887,218 shares of the industrial products company’s stock valued at $6,622,322,000 after acquiring an additional 189,229 shares in the last quarter. State Street Corp lifted its holdings in shares of Illinois Tool Works by 0.9% in the 2nd quarter. State Street Corp now owns 12,476,310 shares of the industrial products company’s stock valued at $3,103,167,000 after purchasing an additional 108,919 shares during the last quarter. Geode Capital Management LLC grew its stake in Illinois Tool Works by 1.9% during the 2nd quarter. Geode Capital Management LLC now owns 6,765,540 shares of the industrial products company’s stock worth $1,670,246,000 after buying an additional 122,990 shares during the last quarter. Capital Research Global Investors increased its position in Illinois Tool Works by 3.0% during the third quarter. Capital Research Global Investors now owns 4,493,555 shares of the industrial products company’s stock worth $1,171,740,000 after buying an additional 131,702 shares during the period. Finally, Massachusetts Financial Services Co. MA lifted its stake in Illinois Tool Works by 12.3% in the second quarter. Massachusetts Financial Services Co. MA now owns 3,797,055 shares of the industrial products company’s stock valued at $938,822,000 after buying an additional 415,982 shares during the last quarter. Institutional investors and hedge funds own 79.77% of the company’s stock.

Illinois Tool Works News Summary

Here are the key news stories impacting Illinois Tool Works this week:

• Positive Sentiment: Q4 beat: ITW reported EPS of $2.72 vs. consensus ~$2.69 and revenue of $4.09B, driving a near-term positive reaction. The beat was small on EPS but validated execution heading into the year. Illinois Tool Works Inc. (ITW) Q4 2025 Earnings Call Transcript
• Positive Sentiment: Margin expansion — operating margin widened to 26.5% (Q4) and enterprise initiatives contributed meaningful bps of improvement, which supports higher earnings power and drove investor optimism. ITW Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: FY‑2026 guidance and buybacks — management set EPS guidance of $11.00–$11.40 (≈7% growth at the midpoint) and flagged continued buybacks, signaling confidence in cash flow and capital return that typically supports the stock. Illinois Tool Surpasses Q4 Earnings Estimates, Issues 2026 View
• Positive Sentiment: Market reaction — shares reached a new 52‑week high after the results, reflecting investor focus on durable margins, cash returns and tangible EPS upside rather than just top-line growth. Illinois Tool Works Stock Smashes 52-Week High After Earnings Beat
• Neutral Sentiment: Top-line is modest — full‑year revenue was ~$16.0B (up ~0.9% year) and 2026 revenue guidance is for low-single-digit growth (organic 1–3%), so growth remains modest even as margins improve. ITW Reports Fourth Quarter and Full Year 2025 Results
• Neutral Sentiment: Guidance range vs. consensus — management’s $11.00–$11.40 EPS range includes but does not materially exceed consensus (~$11.26), leaving room for upside or downside depending on execution; investors should watch early‑year organic trends. Illinois Tool Works beats Q4 estimates, forecasts 7% EPS growth for 2026
• Negative Sentiment: Execution dependence — the stock rally leans heavily on continued margin gains and buybacks; any slowdown in organic demand or failure to deliver the ~100 bps margin expansion could reverse gains. (Earnings transcripts and slides highlight sensitivity to execution.) Illinois Tool Works Inc. (ITW) Q4 2025 Earnings Call Transcript

About Illinois Tool Works

Illinois Tool Works Inc (ITW) is a diversified industrial manufacturer that designs and produces a broad array of engineered products, consumables and related service solutions for industrial customers. Its offerings span engineered fastening systems, specialty components, industrial equipment, welding products, foodservice and packaging equipment, adhesives and polymer products, and test-and-measurement technologies. These products are used as critical inputs by customers across automotive, construction, electronics, foodservice, maintenance and other industrial end markets.

The company operates a decentralized business model in which independently managed businesses focus on niche product lines and close customer relationships.