Eaton Plc Stock Beta
| ETN Stock | USD 324.30 7.20 2.27% |
Eaton PLC fundamentals help investors to digest information that contributes to Eaton PLC's financial success or failures. It also enables traders to predict the movement of Eaton Stock. The fundamental analysis module provides a way to measure Eaton PLC's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Eaton PLC stock.
Eaton | Beta |
Eaton PLC Company Beta Analysis
Eaton PLC's Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Current Eaton PLC Beta | 1.08 |
Most of Eaton PLC's fundamental indicators, such as Beta, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Eaton PLC is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Eaton Beta Driver Correlations
Understanding the fundamental principles of building solid financial models for Eaton PLC is extremely important. It helps to project a fair market value of Eaton Stock properly, considering its historical fundamentals such as Beta. Since Eaton PLC's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Eaton PLC's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Eaton PLC's interrelated accounts and indicators.
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In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
| Competition |
In accordance with the recently published financial statements, Eaton PLC has a Beta of 1.079. This is 21.24% lower than that of the Electrical Equipment sector and significantly higher than that of the Industrials industry. The beta for all United States stocks is notably lower than that of the firm.
Eaton Beta Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Eaton PLC's direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Eaton PLC could also be used in its relative valuation, which is a method of valuing Eaton PLC by comparing valuation metrics of similar companies.Eaton PLC is currently under evaluation in beta category among related companies.
Eaton PLC ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Eaton PLC's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Eaton PLC's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Eaton PLC Institutional Holders
Institutional Holdings refers to the ownership stake in Eaton PLC that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Eaton PLC's outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Eaton PLC's value.| Shares | Alliancebernstein L.p. | 2023-12-31 | 4.8 M | Northern Trust Corp | 2023-12-31 | 4.8 M | Bank Of New York Mellon Corp | 2023-12-31 | 4.8 M | Norges Bank | 2023-12-31 | 4.5 M | Ameriprise Financial Inc | 2023-12-31 | 4.4 M | Clearbridge Advisors, Llc | 2023-12-31 | 4.2 M | Dz Bank Ag Deutsche Zentral-genossenschaftsbank Frankfurt Am Main | 2023-12-31 | 4.1 M | Coatue Management Llc | 2023-12-31 | 4 M | Raymond James & Associates | 2023-12-31 | 3.7 M | Vanguard Group Inc | 2023-12-31 | 36.6 M | Blackrock Inc | 2023-12-31 | 27.3 M |
Eaton PLC returns are very sensitive to returns on the market. As the market goes up or down, Eaton PLC is expected to follow.
Eaton Fundamentals
| Return On Equity | 0.18 | ||||
| Return On Asset | 0.0669 | ||||
| Profit Margin | 0.14 % | ||||
| Operating Margin | 0.18 % | ||||
| Current Valuation | 136.92 B | ||||
| Shares Outstanding | 399.89 M | ||||
| Shares Owned By Insiders | 0.20 % | ||||
| Shares Owned By Institutions | 86.26 % | ||||
| Number Of Shares Shorted | 3.75 M | ||||
| Price To Earning | 29.09 X | ||||
| Price To Book | 6.69 X | ||||
| Price To Sales | 5.49 X | ||||
| Revenue | 23.2 B | ||||
| Gross Profit | 6.89 B | ||||
| EBITDA | 3.82 B | ||||
| Net Income | 3.22 B | ||||
| Cash And Equivalents | 518 M | ||||
| Cash Per Share | 1.30 X | ||||
| Total Debt | 9.94 B | ||||
| Debt To Equity | 0.59 % | ||||
| Current Ratio | 1.28 X | ||||
| Book Value Per Share | 47.66 X | ||||
| Cash Flow From Operations | 3.62 B | ||||
| Short Ratio | 1.64 X | ||||
| Earnings Per Share | 8.01 X | ||||
| Price To Earnings To Growth | 3.26 X | ||||
| Target Price | 317.51 | ||||
| Number Of Employees | 94 K | ||||
| Beta | 1.08 | ||||
| Market Capitalization | 129.68 B | ||||
| Total Asset | 38.43 B | ||||
| Retained Earnings | 10.3 B | ||||
| Working Capital | 3.93 B | ||||
| Current Asset | 6.62 B | ||||
| Current Liabilities | 4.62 B | ||||
| Annual Yield | 0.01 % | ||||
| Five Year Return | 2.78 % | ||||
| Net Asset | 38.43 B | ||||
| Last Dividend Paid | 3.44 |
About Eaton PLC Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Eaton PLC's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Eaton PLC using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Eaton PLC based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Eaton PLC
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Eaton PLC position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Eaton PLC will appreciate offsetting losses from the drop in the long position's value.Moving together with Eaton Stock
| 0.61 | B | Barnes Group Earnings Call This Week | PairCorr |
| 0.89 | CR | Crane Company Financial Report 8th of May 2024 | PairCorr |
| 0.69 | HI | Hillenbrand Earnings Call This Week | PairCorr |
| 0.92 | IR | Ingersoll Rand Earnings Call This Week | PairCorr |
Moving against Eaton Stock
| 0.89 | ATS | ATS Corporation | PairCorr |
| 0.54 | RR | Richtech Robotics Class | PairCorr |
| 0.52 | BW | Babcock Wilcox Enter Financial Report 8th of May 2024 | PairCorr |
The ability to find closely correlated positions to Eaton PLC could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Eaton PLC when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Eaton PLC - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Eaton PLC to buy it.
The correlation of Eaton PLC is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Eaton PLC moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Eaton PLC moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Eaton PLC can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Eaton PLC Piotroski F Score and Eaton PLC Altman Z Score analysis. To learn how to invest in Eaton Stock, please use our How to Invest in Eaton PLC guide.You can also try the Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Complementary Tools for Eaton Stock analysis
When running Eaton PLC's price analysis, check to measure Eaton PLC's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Eaton PLC is operating at the current time. Most of Eaton PLC's value examination focuses on studying past and present price action to predict the probability of Eaton PLC's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Eaton PLC's price. Additionally, you may evaluate how the addition of Eaton PLC to your portfolios can decrease your overall portfolio volatility.
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Is Eaton PLC's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Eaton PLC. If investors know Eaton will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Eaton PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.304 | Dividend Share 3.44 | Earnings Share 8.01 | Revenue Per Share 58.121 | Quarterly Revenue Growth 0.108 |
The market value of Eaton PLC is measured differently than its book value, which is the value of Eaton that is recorded on the company's balance sheet. Investors also form their own opinion of Eaton PLC's value that differs from its market value or its book value, called intrinsic value, which is Eaton PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Eaton PLC's market value can be influenced by many factors that don't directly affect Eaton PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Eaton PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Eaton PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Eaton PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.