| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 20 | 43.2x | 17.8x | Bottom tier | |
Growth | 69 | 15.5% | 7.1% | Top tier | |
Quality | 73 | 12.0% | 4.5% | Top tier | |
Safety | 63 | 3.4x | 2.6x | Around median | |
Capital Return | 28 | 1.01% | 2.12% | Bottom tier | |
Momentum | 75 | 31.9% | 2.9% | Top tier | |
Sentiment | 89 | 15 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Eaton Corporation plc operates in power management solutions, with its business model focused on electrical systems in the Americas and global markets, alongside aerospace and mobility businesses. The company connects its electrical portfolio from the grid to the chip through equipment such as UPS systems, switchgear and circuit breakers, Boyd liquid cooling solutions, Fibrebond prefabricated modules, and Resilient Power solid-state medium-voltage transformer technologies; enabling it to generate revenue from expansions by data centers, utilities, industrial and institutional customers, and machine manufacturers.
In Q2 fiscal 2026, Eaton recorded record revenue of $8.5 billion, with total growth of 21% and organic growth of 14%, including seven percentage points from acquisitions. Gross profit according to EDGAR data was approximately $2.9 billion, equivalent to a gross margin of about 34%, while net income was $821 million and earnings per share according to EDGAR were $2.11, whereas the company reported record adjusted earnings per share of $3.15 and an adjusted operating margin of 23.1%.
The electrical segment led the growth mix in Q2 fiscal 2026; Electrical Americas achieved organic growth of 18% and a margin of 27.5%, while Electrical Global recorded total growth of 44%, including 18% organic growth and 25 percentage points from the Boyd acquisition, with a margin of 19.8%. Together, the two electrical segments achieved organic growth of 18% and a margin of 24.5%, while Aerospace grew organically by 7% and expanded its margin by 60 basis points to 22.8%, whereas Mobility declined organically by 2% despite its margin increasing by 90 basis points.
The analyst consensus is “Buy,” with an average price target of $496.83 and a target range between $480 and $512. The average target and the lowest target are above the 52-week range high of $478, versus a low of $311.92, reflecting elevated expectations for continued data center growth and margin improvement, but leaving room for valuation risk if backlog conversion into revenue slows or production capacity expansions falter. No valid price-to-earnings ratio was provided in the data, so the stock cannot be evaluated on the basis of this multiple without going beyond the available sources.
Figures in the text are as of 2026-08-26; the live price is shown at the top of the page.
Eaton generated record revenue of $8.5 billion, with total growth of 21% and organic growth of 14%. Electrical Americas led performance with organic growth of 18%, driven by an approximately 65% increase in data center revenue, while Electrical Global recorded organic growth of 18%. Adjusted earnings per share reached $3.15, exceeding the midpoint of the company's guidance by $0.10, and the adjusted margin reached 23.1%.
Eaton's data center revenue increased by approximately 65% in Q2 fiscal 2026, a rate exceeding management's estimate of 23% growth in the underlying market. The company estimated the backlog of U.S. data center projects at approximately 307 gigawatts, or 15 years of construction at 2025 rates. Management expects to convert only about 20% of this backlog in the near term, with most deliveries occurring in 2028 and beyond, combining long-term growth visibility with execution timing risks.
The company raised its fiscal 2026 organic growth range to 11%–13%, compared with a previous range of 9%–11%. It also raised its adjusted earnings per share forecast to $13.40–$13.60, with a midpoint of $13.50, and set a range of $3.46 to $3.56 for Q3 fiscal 2026. The guidance increase followed organic growth of 14% and adjusted earnings per share of $3.15 in Q2 fiscal 2026.
Automated analysis for informational purposes only — not investment advice.
Boyd adds liquid cooling solutions, including cold plates and coolant distribution units, complementing Eaton's grid-to-chip offering. Boyd generated revenue of $432 million in Q2 fiscal 2026, exceeding its commitment and quarterly guidance by approximately 20%. Eaton raised its Boyd revenue forecast for fiscal 2026 to $1.8 billion, of which $1.5 billion will appear in Eaton's financial statements, and the acquisition also added 25 percentage points to Electrical Global growth.
No, commercial and institutional markets, machine manufacturers, and distributed information technology recorded double-digit organic growth in Q2 fiscal 2026. In Electrical Global, revenue from machine manufacturers grew by more than 20%, while utilities and commercial and institutional markets grew at low-double-digit rates. Aerospace also grew organically by 7%, and its margin increased by 60 basis points to 22.8%, although Mobility declined organically by 2%.
The company is operating approximately 24 expansion projects in Electrical Americas as part of an investment exceeding $1 billion, so growth depends on increasing production without disruption or additional costs. The plan to improve Electrical Americas' margin between the two halves by 450–500 basis points depends on 300 basis points from price-cost and 150–200 basis points from production and efficiency. Management also acknowledged extended lead times in some product lines, while only about 20% of the backlog of U.S. data center projects will convert in the near term.
