Illinois Tool Works Inc. (NYSE:ITW) Declares Quarterly Dividend of $1.61

Illinois Tool Works Inc. (NYSE:ITW) announced a quarterly dividend on Friday, February 13th. Investors of record on Tuesday, March 31st will be paid a dividend of 1.61 per share by the industrial products company on Thursday, April 9th. This represents a c) annualized dividend and a yield of 2.5%. The ex-dividend date is Tuesday, March 31st.

Illinois Tool Works has raised its dividend payment by an average of 0.1%annually over the last three years and has raised its dividend annually for the last 55 consecutive years. Illinois Tool Works has a dividend payout ratio of 58.5% meaning its dividend is sufficiently covered by earnings. Analysts expect Illinois Tool Works to earn $11.24 per share next year, which means the company should continue to be able to cover its $6.44 annual dividend with an expected future payout ratio of 57.3%.

Illinois Tool Works Trading Down 1.1%

Shares of ITW stock opened at $258.48 on Friday. Illinois Tool Works has a 1-year low of $214.66 and a 1-year high of $303.15. The firm has a market cap of $74.49 billion, a PE ratio of 24.64, a price-to-earnings-growth ratio of 13.84 and a beta of 1.13. The company has a 50-day moving average of $276.69 and a two-hundred day moving average of $260.56. The company has a debt-to-equity ratio of 2.07, a current ratio of 1.21 and a quick ratio of 0.89.

Illinois Tool Works (NYSE:ITW) last released its quarterly earnings results on Tuesday, February 3rd. The industrial products company reported $2.72 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.69 by $0.03. The business had revenue of $4.09 billion for the quarter, compared to the consensus estimate of $4.07 billion. Illinois Tool Works had a net margin of 19.11% and a return on equity of 95.16%. The business’s revenue was up 4.1% on a year-over-year basis. During the same period in the previous year, the firm earned $2.54 EPS. Illinois Tool Works has set its FY 2026 guidance at 11.000-11.400 EPS. On average, analysts predict that Illinois Tool Works will post 10.39 EPS for the current year.

Insider Buying and Selling

In other Illinois Tool Works news, Director Ernest Scott Santi sold 167,345 shares of the business’s stock in a transaction that occurred on Wednesday, February 4th. The shares were sold at an average price of $290.93, for a total transaction of $48,685,680.85. Following the completion of the transaction, the director owned 258,766 shares in the company, valued at $75,282,792.38. The trade was a 39.27% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Axel Beck sold 4,223 shares of the stock in a transaction that occurred on Thursday, February 5th. The shares were sold at an average price of $290.22, for a total transaction of $1,225,599.06. Following the completion of the sale, the executive vice president directly owned 5,789 shares in the company, valued at approximately $1,680,083.58. This represents a 42.18% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.88% of the stock is owned by insiders.

Institutional Trading of Illinois Tool Works

A number of institutional investors have recently bought and sold shares of ITW. Corsicana & Co. purchased a new stake in Illinois Tool Works during the third quarter worth approximately $26,000. Cresta Advisors Ltd. acquired a new position in shares of Illinois Tool Works in the 4th quarter valued at $25,000. Motiv8 Investments LLC acquired a new stake in Illinois Tool Works during the 4th quarter worth $27,000. Kemnay Advisory Services Inc. purchased a new stake in Illinois Tool Works in the fourth quarter valued at $27,000. Finally, Lodestone Wealth Management LLC purchased a new position in shares of Illinois Tool Works during the fourth quarter worth about $28,000. 79.77% of the stock is owned by hedge funds and other institutional investors.

About Illinois Tool Works

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.