Vanguard Group Inc. Decreases Stock Position in Illinois Tool Works Inc. $ITW

Vanguard Group Inc. decreased its holdings in shares of Illinois Tool Works Inc. (NYSE:ITW) by 0.1% during the third quarter, according to its most recent disclosure with the SEC. The fund owned 26,697,989 shares of the industrial products company’s stock after selling 25,785 shares during the period. Vanguard Group Inc. owned approximately 9.20% of Illinois Tool Works worth $6,961,768,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Brighton Jones LLC lifted its stake in shares of Illinois Tool Works by 5.3% during the fourth quarter. Brighton Jones LLC now owns 5,519 shares of the industrial products company’s stock worth $1,399,000 after buying an additional 277 shares during the period. Bison Wealth LLC lifted its holdings in shares of Illinois Tool Works by 2.3% during the fourth quarter. Bison Wealth LLC now owns 3,555 shares of the industrial products company’s stock worth $901,000 after purchasing an additional 81 shares during the period. Sivia Capital Partners LLC raised its position in Illinois Tool Works by 20.6% during the 2nd quarter. Sivia Capital Partners LLC now owns 1,038 shares of the industrial products company’s stock worth $257,000 after buying an additional 177 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its stake in Illinois Tool Works by 2.4% during the 2nd quarter. Allspring Global Investments Holdings LLC now owns 31,183 shares of the industrial products company’s stock valued at $7,958,000 after acquiring an additional 725 shares during the period. Finally, Mutual Advisors LLC increased its stake in shares of Illinois Tool Works by 8.1% in the second quarter. Mutual Advisors LLC now owns 2,324 shares of the industrial products company’s stock worth $608,000 after acquiring an additional 175 shares during the period. 79.77% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

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

Illinois Tool Works Price Performance

Shares of NYSE ITW opened at $299.27 on Tuesday. The stock has a market capitalization of $86.82 billion, a price-to-earnings ratio of 28.53, a price-to-earnings-growth ratio of 16.05 and a beta of 1.15. Illinois Tool Works Inc. has a 52 week low of $214.66 and a 52 week high of $303.15. The firm has a 50-day simple moving average of $262.54 and a 200-day simple moving average of $257.38. The company has a quick ratio of 0.89, a current ratio of 1.21 and a debt-to-equity ratio of 2.07.

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

Illinois Tool Works Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, April 9th. Stockholders of record on Tuesday, March 31st will be given a dividend of $1.61 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $6.44 annualized dividend and a dividend yield of 2.2%. Illinois Tool Works’s payout ratio is presently 61.39%.

Wall Street Analyst Weigh In

Several brokerages have weighed in on ITW. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Illinois Tool Works in a research report on Wednesday, January 28th. Truist Financial raised their target price on Illinois Tool Works from $275.00 to $280.00 and gave the stock a “hold” rating in a report on Wednesday, February 4th. Robert W. Baird set a $278.00 price target on shares of Illinois Tool Works in a report on Wednesday, February 4th. Citigroup raised their price objective on Illinois Tool Works from $271.00 to $284.00 and gave the company a “neutral” rating in a report on Wednesday, February 4th. Finally, UBS Group reiterated a “neutral” rating and set a $285.00 target price on shares of Illinois Tool Works in a research report on Wednesday, February 4th. Two investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average target price of $272.92.

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.