ITT (NYSE:ITT) Posts Quarterly Earnings Results, Beats Expectations By $0.16 EPS

ITT (NYSE:ITT) posted its quarterly earnings data on Thursday. The conglomerate reported $2.08 EPS for the quarter, topping analysts’ consensus estimates of $1.92 by $0.16, FiscalAI reports. ITT had a return on equity of 15.90% and a net margin of 8.90%.The company had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.39 billion. During the same period in the previous year, the firm earned $1.64 earnings per share. The firm’s quarterly revenue was up 51.5% on a year-over-year basis. ITT updated its FY 2026 guidance to 8.120-8.320 EPS.

Here are the key takeaways from ITT’s conference call:

• Record Q2 performance: Revenue rose 51% year over year, or 13% organically, while adjusted EPS increased 18% to $2.08. Orders grew 53% overall and 13% organically, with a 1.1 book-to-bill ratio.
• Strong aerospace and defense momentum: CCT orders increased 59% organically, led by KSARIA’s 168% order growth and record July bookings. Management cited market-share gains, long-term defense-program visibility and no current KSARIA capacity constraints.
• 2026 outlook raised: ITT increased its full-year organic revenue growth guidance to 5%-8%, adjusted EPS guidance to a midpoint of $8.22, and free cash flow guidance to $565 million. The company expects adjusted operating margin of approximately 20.5% at the midpoint.
• SPX FLOW integration is progressing: SPX FLOW orders grew 9% in Q2, year-to-date revenue rose 9%, and cost synergies are ahead of plan. ITT also reduced debt by $124 million in Q2, bringing leverage to 2.5 times, ahead of schedule.
• Some near-term pressure remains: Flow Technologies’ margin was diluted by the full-quarter SPX FLOW contribution, although management expects sequential improvement from synergies and productivity actions. Deferred Middle East orders and tougher second-half comparisons are also expected to moderate growth in coming quarters.

ITT Stock Performance

NYSE:ITT opened at $213.50 on Friday. The company has a quick ratio of 1.01, a current ratio of 1.26 and a debt-to-equity ratio of 0.60. ITT has a twelve month low of $164.00 and a twelve month high of $230.32. The company has a fifty day moving average of $194.15 and a 200-day moving average of $197.01. The firm has a market capitalization of $19.09 billion, a P/E ratio of 41.86, a P/E/G ratio of 1.94 and a beta of 1.27.

ITT Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, October 5th. Stockholders of record on Tuesday, September 8th will be paid a $0.386 dividend. The ex-dividend date is Tuesday, September 8th. This represents a $1.54 annualized dividend and a dividend yield of 0.7%. ITT’s payout ratio is currently 27.16%.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on ITT shares. Stifel Nicolaus boosted their price target on shares of ITT from $246.00 to $250.00 and gave the stock a “buy” rating in a research report on Monday, July 20th. Wolfe Research upgraded shares of ITT from a “peer perform” rating to an “outperform” rating and set a $229.00 price objective for the company in a research report on Thursday, July 9th. Citigroup lifted their target price on shares of ITT from $254.00 to $267.00 and gave the stock a “buy” rating in a research note on Friday. Robert W. Baird set a $246.00 target price on shares of ITT in a report on Thursday, May 7th. Finally, Barclays upped their price target on shares of ITT from $210.00 to $230.00 and gave the company an “equal weight” rating in a research report on Thursday, May 7th. Eleven research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, ITT presently has a consensus rating of “Moderate Buy” and a consensus target price of $240.25.

ITT News Summary

Here are the key news stories impacting ITT this week:

• Positive Sentiment: ITT reported second-quarter adjusted EPS of $2.08, ahead of the $1.92–$1.93 analyst consensus, while revenue rose approximately 51% year over year to $1.47 billion, exceeding estimates. ITT Q2 Earnings Beat Estimates on Broad-Based Organic Growth
• Positive Sentiment: Organic revenue and orders both grew 13%, while total orders increased 53%. Strength in aerospace and defense, commercial aerospace, rail, pump projects and the Friction business supported the quarter. ITT Reports Second-Quarter Results and Raises Guidance
• Positive Sentiment: Management raised 2026 adjusted EPS guidance to $8.12–$8.32, or $8.22 at the midpoint, from $7.70–$8.00, above the roughly $7.92 consensus. The company also increased its organic revenue-growth outlook to 5%–8% from 4%–6% and raised expectations for revenue, margins and cash flow. ITT Raises 2026 Guidance
• Positive Sentiment: The SPX FLOW acquisition drove substantial sales growth, and management said integration, cost synergies and debt repayment are progressing ahead of plan, potentially improving future profitability and leverage. ITT Q2 Deep Dive
• Neutral Sentiment: ITT declared a quarterly dividend of $0.386 per share, payable October 5 to shareholders of record September 8. The approximately 0.7% yield adds shareholder support but is unlikely to be the primary stock catalyst.
• Negative Sentiment: SPX FLOW integration is contributing to margin dilution despite improving synergies, leaving execution and profitability risks as investors assess the acquisition-led growth strategy. ITT insiders have also reported only open-market sales—not purchases—in recent months.

Institutional Investors Weigh In On ITT

A number of large investors have recently bought and sold shares of the stock. Compound Planning Inc. boosted its position in shares of ITT by 8.1% during the 4th quarter. Compound Planning Inc. now owns 2,335 shares of the conglomerate’s stock worth $405,000 after purchasing an additional 175 shares in the last quarter. Invesco Ltd. grew its stake in shares of ITT by 15.2% in the 4th quarter. Invesco Ltd. now owns 1,300,760 shares of the conglomerate’s stock valued at $225,695,000 after buying an additional 171,827 shares during the period. Corient Private Wealth LLC increased its position in ITT by 399.1% in the 4th quarter. Corient Private Wealth LLC now owns 59,677 shares of the conglomerate’s stock valued at $10,355,000 after buying an additional 47,719 shares in the last quarter. Mercer Global Advisors Inc. ADV increased its position in ITT by 57.9% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 12,238 shares of the conglomerate’s stock valued at $2,123,000 after buying an additional 4,486 shares in the last quarter. Finally, Raymond James Financial Inc. raised its stake in ITT by 9.2% during the 4th quarter. Raymond James Financial Inc. now owns 614,616 shares of the conglomerate’s stock worth $108,295,000 after buying an additional 51,947 shares during the period. 91.59% of the stock is currently owned by institutional investors and hedge funds.

ITT Company Profile

ITT Inc is a diversified industrial manufacturing company that designs, manufactures and services mission-critical components and systems for global markets. Its engineered solutions support applications in aerospace, defense, transportation, energy and industrial automation. The company focuses on delivering high-performance products that enable reliable fluid handling, precision motion control and robust connectivity in demanding environments.

The company’s operations are organized into three segments: Motion Technologies, which provides precision components and aftermarket repair services for aircraft engines and industrial turbines; Connect & Control Technologies, which offers specialty valves, couplings, seals and proximity sensors for fuel, hydraulics and environmental control systems; and Fluid & Motion Control, which delivers pumps, heat exchangers and fluid management solutions for oil and gas, chemical processing and power generation.