DailyIQ
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Sector:IndustrialsAll sectors
Last updated 1 minute ago

ITW·Illinois Tool Works Inc.

$.
-. (-.%)
After Hours
High
$255.07
Open
$253.30
Market Cap
72.56B
52W High
$303.16
Low
$249.53
P. Close
$250.41
P/E
23.15
52W Low
$238.82
Fwd P/E
20.57
Mean Target
$274.54
Technical Score (1D)
18
SELL
News Sentiment
57
BULLISH
Evercore ISI has lowered its price target for Illinois Tool Works (ITW) to $272 while maintaining an Underperform rating, signaling a cautious outlook from analysts. This comes despite ITW's strong first-quarter performance, which saw revenue increase by 5% and GAAP EPS climb 12% to $2.66. The company also raised its full-year GAAP EPS guidance by $0.10, keeping its organic growth expectations steady and anticipating further margin expansion. Investors will be watching to see if ITW can sustain this positive operational momentum against the backdrop of analyst skepticism.
Earnings Summary
Illinois Tool Works (ITW) is a diversified industrial manufacturer with a global presence, operating across seven key segments including Automotive OEM, Food Equipment, and Test & Measurement. The company provides specialized industrial products and equipment to a wide range of sectors. Within the broader Industrials sector, ITW operates in the Specialty Industrial Machinery industry, characterized by its diverse product portfolio and customer base. Analyzing ITW's recent earnings, the company has demonstrated a pattern of exceeding earnings per share (EPS) estimates in the most recent quarters available. For Q4 2025, ITW reported an actual EPS of $2.72 against an estimate of $2.71, and in Q1 2026, actual EPS was $2.66 compared to an estimate of $2.56. Revenue figures show a similar trend of meeting or slightly exceeding expectations, with Q1 2026 revenue at $4.016 billion against an estimate of $4.009 billion. This suggests a consistent ability to perform at or above analyst projections in the latest reporting periods. Historically, ITW has shown a trajectory of year-over-year growth, though recent news highlights concerns about the pace of this growth. The company has a track record of beating analyst estimates, particularly in EPS, as seen in Q3 2025 where actual EPS of $2.81 surpassed the estimate of $2.70. While revenue estimates were not consistently provided in the historical data, the actual revenue figures in recent quarters have generally aligned with or slightly surpassed expectations, indicating a stable performance. Recent news surrounding ITW indicates investor scrutiny regarding weak organic revenue growth and slower EPS progress, with concerns about its ability to meet market expectations. Projected sales growth of 3.1% further suggests potential demand weakness. Despite these challenges, the company's strong free cash flow margin and dividend continue to be viewed positively by investors. The market is also noting ITW's inherent cyclicality within the industrials sector and specific company positioning. Looking ahead, investors will be closely watching for signs of improved organic revenue growth and EPS acceleration in upcoming reports. Key will be management's commentary on strategies to address the sluggish growth outlook and any indications of overcoming persistent challenges. The company's ability to navigate its cyclical exposure and any company-specific headwinds will be critical for future performance.

EPS

EstBeatMiss
$2.28$2.43$2.58$2.73$2.88Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$2.79 - -
Q1'26$2.56$2.66+3.8%
Q4'25$2.71$2.72+0.3%
Q3'25$2.70$2.81+4.0%
Q2'25$2.57$2.58+0.5%
Q1'25$2.35$2.38+1.1%

Revenue

EstBeatMiss
$3.8B$3.9B$4.0B$4.2B$4.3BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$4.2B - -
Q1'26$4.0B$4.0B+0.2%
Q4'25$4.1B$4.1B-0.4%
Q3'25 - $4.1B -
Q2'25 - $4.1B -
Q1'25 - $3.8B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

ITW Stock Snapshot

ITW is currently trading at $250.41, giving Illinois Tool Works Inc. a market cap of 72.56B and a P/E ratio of 23.1. Today's range spans $249.53–$255.07, with shares opening at $253.30 and moving up $0.00 (0.0%) from the prior close. DailyIQ's technical score sits at 18/100 (SELL) with a news sentiment reading of 57/100.

Over the past year ITW has traded between $238.82 and $303.16 - the current price is +4.9% off the 52-week low and -17.4% from the high. 26 analysts cover the stock with a Hold consensus and a mean 12-month target of $274.54 (range $219.00–$317.00), implying upside of +9.6%.

ITW is showing a SELL signal (18/100) with neutral sentiment (57/100). Price: $250.41 (in the lower half of its 52-week range within $238.82–$303.16). (P/E: 23.1) At 72.56B in Industrials market cap, a bearish technical read accompanied by negative sentiment often marks the beginning of an earnings revision cycle downward - active managers trim before the revisions become consensus, compounding the selling pressure.

Analyst coverage for ITW becomes a double-edged factor in a SELL phase: at 72.56B in Industrials market cap, active coverage is high enough that downgrade risk is real and impactful. The 18/100 technical reading and neutral sentiment (57/100) at $250.41 (in the lower half of its 52-week range) place the stock in the zone where one or two high-profile estimate cuts can convert a grinding decline into a sharper re-rating — the $238.82–$303.16 range establishes where that repricing lands.