Eaton Q3 adjusted EPS beats estimates on strong order growth

Eaton

04/11/2025 11:41

Overview

Eaton Q3 sales rise 10% yr/yr but miss analyst expectations

Adjusted EPS for Q3 beats analyst estimates, reflecting strong operational performance

Company reports 18% backlog growth in Electrical sector, 15% in Aerospace

Outlook

Eaton expects full-year 2025 EPS between $10.29 and $10.49

Company anticipates Q4 2025 EPS between $2.75 and $2.95

Eaton sees full-year 2025 organic growth of 8.5-9.5%

Result Drivers

ELECTRICAL AMERICAS GROWTH - Sales rose 15% driven by 9% organic growth and 6% from acquisitions

AEROSPACE DEMAND - Aerospace sales increased 14% with 13% organic growth, driven by strong order growth

BACKLOG GROWTH - Electrical sector backlog grew 18%, Aerospace segment backlog increased 15%

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Miss
$6.98 bln
$7.07 bln (19 Analysts)
Q3 Adjusted EPS
Beat
$3.07
$3.05 (20 Analysts)
Q3 EPS
$2.59
Q3 Adjusted Net Income
Beat
$1.19 bln
$1.18 bln (15 Analysts)
Q3 Net Income
$1.01 bln
Q3 ORGANIC GROWTH
7%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electrical components & equipment peer group is "buy"

Wall Street's median 12-month price target for Eaton Corporation PLC is $408.00, about 5.3% above its November 3 closing price of $386.57

The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 30 three months ago

Press Release: ID:nBw5qn7bLa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)