Eaton Corporation plc

NYSE:ETN Stock Report

Market Cap: US$133.4b

Eaton Valuation

Is ETN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ETN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ETN ($359.18) is trading above our estimate of fair value ($216.37)

Significantly Below Fair Value: ETN is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ETN?

Other financial metrics that can be useful for relative valuation.

ETN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue5.8x
Enterprise Value/EBITDA25.9x
PEG Ratio3.5x

Price to Earnings Ratio vs Peers

How does ETN's PE Ratio compare to its peers?

The above table shows the PE ratio for ETN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average46.6x
EMR Emerson Electric
42.4x17.7%US$67.3b
AME AMETEK
33.1x9.2%US$42.1b
VRT Vertiv Holdings Co
77.7x30.9%US$42.2b
ROK Rockwell Automation
33x12.1%US$30.5b
ETN Eaton
37.7x10.7%US$133.4b

Price-To-Earnings vs Peers: ETN is good value based on its Price-To-Earnings Ratio (37.7x) compared to the peer average (46.6x).

Price to Earnings Ratio vs Industry

How does ETN's PE Ratio compare vs other companies in the US Electrical Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.4%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.4%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: ETN is expensive based on its Price-To-Earnings Ratio (37.7x) compared to the US Electrical industry average (22x).

Price to Earnings Ratio vs Fair Ratio

What is ETN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ETN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio37.7x
Fair PE Ratio31.1x

Price-To-Earnings vs Fair Ratio: ETN is expensive based on its Price-To-Earnings Ratio (37.7x) compared to the estimated Fair Price-To-Earnings Ratio (31.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ETN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$359.18
US$357.66
-0.4%
8.9%US$400.00US$274.00n/a23
Oct ’25US$327.58
US$345.34
+5.4%
8.1%US$385.00US$280.00n/a21
Sep ’25US$306.93
US$337.87
+10.1%
8.8%US$385.00US$280.00n/a21
Aug ’25US$297.88
US$333.20
+11.9%
12.3%US$385.00US$225.00n/a22
Jul ’25US$312.37
US$331.20
+6.0%
12.0%US$375.00US$225.00n/a22
Jun ’25US$332.85
US$328.47
-1.3%
12.2%US$375.00US$225.00n/a20
May ’25US$312.03
US$320.22
+2.6%
12.9%US$375.00US$225.00n/a21
Apr ’25US$312.03
US$299.98
-3.9%
12.9%US$345.80US$210.00n/a21
Mar ’25US$293.70
US$276.27
-5.9%
12.5%US$330.00US$200.00n/a22
Feb ’25US$264.57
US$246.22
-6.9%
9.9%US$276.00US$200.00n/a19
Jan ’25US$240.82
US$237.21
-1.5%
11.5%US$275.00US$187.00n/a19
Dec ’24US$230.46
US$232.11
+0.7%
10.2%US$270.00US$187.00n/a19
Nov ’24US$214.83
US$231.68
+7.8%
10.1%US$270.00US$187.00US$335.0019
Oct ’24US$213.28
US$226.20
+6.1%
10.8%US$270.00US$185.00US$327.5820
Sep ’24US$233.67
US$224.25
-4.0%
9.9%US$256.00US$185.00US$306.9320
Aug ’24US$219.00
US$204.37
-6.7%
10.0%US$235.00US$161.00US$297.8819
Jul ’24US$201.10
US$197.60
-1.7%
9.9%US$230.00US$159.00US$312.3720
Jun ’24US$179.04
US$191.67
+7.1%
8.4%US$221.00US$159.00US$332.8518
May ’24US$168.78
US$185.88
+10.1%
9.6%US$210.00US$145.00US$312.0317
Apr ’24US$171.34
US$186.94
+9.1%
9.3%US$213.00US$148.00US$312.0317
Mar ’24US$173.83
US$180.18
+3.7%
8.8%US$213.00US$148.00US$293.7017
Feb ’24US$163.34
US$168.82
+3.4%
11.1%US$197.00US$128.00US$264.5717
Jan ’24US$156.95
US$167.65
+6.8%
11.7%US$197.00US$124.00US$240.8217
Dec ’23US$163.36
US$166.39
+1.9%
11.4%US$197.00US$124.00US$230.4618
Nov ’23US$151.64
US$163.47
+7.8%
11.0%US$197.00US$124.00US$214.8319

Analyst Forecast: Target price is lower than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y