Dearborn Partners LLC Cuts Stake in Illinois Tool Works Inc. $ITW

Dearborn Partners LLC lowered its stake in shares of Illinois Tool Works Inc. (NYSE:ITW) by 7.2% during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 106,637 shares of the industrial products company’s stock after selling 8,324 shares during the period. Illinois Tool Works accounts for about 1.3% of Dearborn Partners LLC’s investment portfolio, making the stock its 21st largest position. Dearborn Partners LLC’s holdings in Illinois Tool Works were worth $28,842,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also recently modified their holdings of the stock. Cresta Advisors Ltd. bought a new stake in Illinois Tool Works in the 4th quarter valued at $25,000. Motiv8 Investments LLC bought a new position in shares of Illinois Tool Works during the 4th quarter valued at about $27,000. Kemnay Advisory Services Inc. purchased a new position in shares of Illinois Tool Works during the fourth quarter valued at about $27,000. Meeder Asset Management Inc. increased its holdings in shares of Illinois Tool Works by 215.0% in the fourth quarter. Meeder Asset Management Inc. now owns 126 shares of the industrial products company’s stock worth $31,000 after purchasing an additional 86 shares during the last quarter. Finally, Sfam LLC bought a new stake in shares of Illinois Tool Works in the fourth quarter worth about $31,000. Institutional investors own 79.77% of the company’s stock.

Illinois Tool Works Trading Down 1.4%

ITW opened at $281.43 on Friday. The stock has a 50-day moving average of $279.56 and a 200 day moving average of $271.44. The company has a current ratio of 1.11, a quick ratio of 0.81 and a debt-to-equity ratio of 2.26. Illinois Tool Works Inc. has a 12 month low of $238.82 and a 12 month high of $303.15. The firm has a market cap of $80.15 billion, a P/E ratio of 25.52, a P/E/G ratio of 4.82 and a beta of 0.99.

Illinois Tool Works (NYSE:ITW) last issued its quarterly earnings data on Tuesday, July 28th. The industrial products company reported $2.84 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.80 by $0.04. The business had revenue of $4.30 billion for the quarter, compared to the consensus estimate of $4.19 billion. Illinois Tool Works had a return on equity of 101.72% and a net margin of 19.39%.The company’s quarterly revenue was up 6.1% compared to the same quarter last year. During the same period in the prior year, the business posted $2.58 earnings per share. Illinois Tool Works has set its FY 2026 guidance at 11.350-11.550 EPS. As a group, research analysts forecast that Illinois Tool Works Inc. will post 11.45 EPS for the current year.

Illinois Tool Works Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Investors of record on Wednesday, September 30th will be given a $1.72 dividend. This is a boost from Illinois Tool Works’s previous quarterly dividend of $1.61. This represents a $6.88 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Wednesday, September 30th. Illinois Tool Works’s dividend payout ratio is 58.39%.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on ITW shares. UBS Group reissued a “neutral” rating and set a $300.00 price target on shares of Illinois Tool Works in a research note on Wednesday, July 29th. Citigroup reaffirmed a “neutral” rating on shares of Illinois Tool Works in a research note on Monday, July 13th. Evercore decreased their price objective on Illinois Tool Works from $296.00 to $272.00 in a report on Monday, May 11th. The Goldman Sachs Group reissued a “sell” rating and issued a $254.00 target price on shares of Illinois Tool Works in a report on Thursday, April 30th. Finally, Robert W. Baird boosted their price target on shares of Illinois Tool Works from $278.00 to $297.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 29th. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and five have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $281.25.

Insider Buying and Selling

In other news, Director Ernest Scott Santi sold 41,431 shares of the stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $287.09, for a total value of $11,894,425.79. Following the sale, the director owned 266,288 shares of the company’s stock, valued at approximately $76,448,621.92. This represents a 13.46% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Jennifer F. Scanlon purchased 806 shares of the company’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were purchased at an average cost of $247.99 per share, with a total value of $199,879.94. Following the completion of the purchase, the director owned 1,652 shares in the company, valued at $409,679.48. This trade represents a 95.27% increase in their position. The disclosure for this purchase is available in the SEC filing. 0.83% of the stock is owned by corporate insiders.

Illinois Tool Works Profile

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.