Analysts Set Illinois Tool Works Inc. (NYSE:ITW) Target Price at $259.25

Shares of Illinois Tool Works Inc. (NYSE:ITW) have earned a consensus rating of “Reduce” from the thirteen ratings firms that are covering the firm, MarketBeat Ratings reports. Four analysts have rated the stock with a sell rating, seven have assigned a hold rating and two have issued a buy rating on the company. The average 1 year target price among brokerages that have updated their coverage on the stock in the last year is $259.6667.

A number of brokerages have issued reports on ITW. Wells Fargo & Company boosted their target price on shares of Illinois Tool Works from $245.00 to $250.00 and gave the company an “underweight” rating in a report on Wednesday. Robert W. Baird set a $265.00 price objective on Illinois Tool Works in a research note on Monday, October 27th. Truist Financial cut their target price on Illinois Tool Works from $298.00 to $275.00 and set a “hold” rating for the company in a research note on Monday, October 27th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Illinois Tool Works in a report on Friday, October 31st. Finally, Barclays upped their price target on Illinois Tool Works from $243.00 to $244.00 and gave the company an “underweight” rating in a research report on Monday, October 27th.

Illinois Tool Works Price Performance

NYSE ITW opened at $255.08 on Monday. The company has a quick ratio of 1.11, a current ratio of 1.53 and a debt-to-equity ratio of 2.39. The company has a market cap of $74.00 billion, a PE ratio of 24.74, a price-to-earnings-growth ratio of 10.52 and a beta of 1.15. Illinois Tool Works has a 52 week low of $214.66 and a 52 week high of $278.13. The firm’s 50-day simple moving average is $248.68 and its two-hundred day simple moving average is $254.41.

Illinois Tool Works (NYSE:ITW) last posted its earnings results on Friday, October 24th. The industrial products company reported $2.81 earnings per share for the quarter, topping the consensus estimate of $2.72 by $0.09. The firm had revenue of $4.06 billion during the quarter, compared to the consensus estimate of $4.09 billion. Illinois Tool Works had a net margin of 19.05% and a return on equity of 93.26%. The company’s revenue was up 2.3% on a year-over-year basis. During the same quarter last year, the company earned $3.91 earnings per share. Illinois Tool Works has set its FY 2025 guidance at 10.400-10.500 EPS. Research analysts predict that Illinois Tool Works will post 10.39 earnings per share for the current year.

Illinois Tool Works Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, January 9th. Shareholders of record on Wednesday, December 31st were issued a $1.61 dividend. This represents a $6.44 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend was Wednesday, December 31st. Illinois Tool Works’s dividend payout ratio (DPR) is presently 62.46%.

Insider Activity at Illinois Tool Works

In other news, Director Pamela B. Strobel sold 1,521 shares of the company’s stock in a transaction on Wednesday, November 5th. The shares were sold at an average price of $245.25, for a total value of $373,025.25. Following the transaction, the director owned 39,249 shares of the company’s stock, valued at approximately $9,625,817.25. This represents a 3.73% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 0.88% of the stock is owned by company insiders.

Hedge Funds Weigh In On Illinois Tool Works

Institutional investors have recently added to or reduced their stakes in the business. Frazier Financial Advisors LLC purchased a new position in shares of Illinois Tool Works during the second quarter worth about $25,000. SOA Wealth Advisors LLC. lifted its position in Illinois Tool Works by 90.9% during the second quarter. SOA Wealth Advisors LLC. now owns 105 shares of the industrial products company’s stock valued at $26,000 after purchasing an additional 50 shares during the last quarter. Corsicana & Co. purchased a new position in Illinois Tool Works in the 3rd quarter worth approximately $26,000. Banque Transatlantique SA purchased a new stake in shares of Illinois Tool Works during the 1st quarter valued at $30,000. Finally, Vermillion & White Wealth Management Group LLC lifted its holdings in shares of Illinois Tool Works by 103.3% during the 2nd quarter. Vermillion & White Wealth Management Group LLC now owns 124 shares of the industrial products company’s stock worth $31,000 after acquiring an additional 63 shares during the last quarter. 79.77% of the stock is currently owned by institutional investors.

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.