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Glenview, Illinois-based Illinois Tool Works Inc. (ITW) manufactures and sells industrial products and equipment. Valued at $71.41 billion by market cap, the company provides industrial fluids and adhesives, tooling for specialty applications, welding products, and quality measurement equipment and systems. The industrial products and equipment manufacturer is expected to announce its fiscal second-quarter earnings for 2024 before the market opens on Tuesday, Jul. 30.
Ahead of the event, analysts expect ITW to report a profit of $2.46 per share on a diluted basis, up 2.1% from $2.41 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
For the full year, analysts expect ITW to report EPS of $10.16, up 3.9% from $9.78 in fiscal 2023.
ITW stock has underperformed the S&P 500’s ($SPX) 19.2% gains over the past 52 weeks, with shares down 5.9% during this period. Similarly, it underperformed the S&P 500 Industrial Sector SPDR’s (XLI) 12.4% gains over the same time frame.
On Apr. 30, ITW reported its Q1 results. Its adjusted EPS of $2.44 surpassed Wall Street expectations of $2.35. The company’s revenue was $3.97 billion, falling short of Wall Street forecasts of $4.02 billion. ITW raised GAAP EPS by $0.30 to a range of between $10.30 to $10.70. The company projects revenue growth of 2% to 4% and organic growth of 1% to 3%. ITW shares closed down more than 2% on the day the results were released and have been on a downtrend since then.
Analysts’ consensus opinion on ITW stock is neutral, with a “Hold” rating overall. Out of 15 analysts covering the stock, two advise a “Strong Buy” rating, eight give a “Hold” rating, one suggests a “Moderate Sell” rating, and four recommend a “Strong Sell.” The average analyst price target for ITW is $245.86, indicating a potential upside of 2.7% from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
