---
title: Eaton (ETN) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/etn
ticker: ETN
as_of: 2026-10-17
sector: Industrials
industry: Electrical Equipment & Parts
---
# Eaton (ETN)

Eaton (ETN) closed at $391.25 on Oct 16, 2026, overvalued by 73% vs its model value of $226.77 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $391.25 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $226.77 |
| Price vs model | overvalued by 73% vs model |
| Range of that model | $145.16 – $485.20 |
| Market value | $152.0B |
| P/E (fiscal 2025) | 37.4 |
| Net margin (fiscal 2025) | 14.9% |
| Free cash flow (fiscal 2025) | $3.6B |
| Dividend yield (trailing twelve months) | 1.11% |
| Beta | 1.13 |
| Cost of capital (WACC) | 9.26% |
| Business classification | Profitable Growth (Low/slowing growth (~9% recent), Moderate margins (15% net margin), Pays dividends, Highly cyclical earnings) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Insider buying | #43 | $92,162 | https://sweetvaluelab.com/lists/insider-buying |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 1.11% |
| Dividends per share, last 12 months | $4.34 |
| Dividends / free cash flow (fiscal 2025) | 45.8% |
| Raised | 16 years in a row |
| Growth over 5 years | 7.6% a year |
| Latest payment | $1.10, ex-date Aug 7, 2026, paid Aug 28, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Aug 12, 2021 | $3.01 |
| To Aug 11, 2022 | $3.19 |
| To Aug 4, 2023 | $3.39 |
| To Aug 5, 2024 | $3.68 |
| To Aug 7, 2025 | $4.06 |
| Trailing twelve months (to Aug 7, 2026) | $4.34 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $226.77 | $145.16 | $485.20 |
| DCF · Perpetuity growth · 10y | cross check | $258.28 | $169.44 | $535.66 |
| DCF · EBITDA exit · 5y | cross check | $326.36 | $236.54 | $431.76 |
| DCF · EBITDA exit · 10y | cross check | $345.39 | $242.74 | $481.19 |
| P/E · peers | cross check | $299.69 | $281.56 | $303.25 |
| P/E · own history | cross check | $421.32 | $351.49 | $470.02 |
| PEG | sanity check | $261.20 | $261.20 | $261.20 |
| EV/EBITDA · peers | cross check | $268.21 | $231.72 | $283.60 |
| EV/Revenue · peers | cross check | $275.31 | $199.34 | $289.44 |
| Earnings power value | cross check | $67.17 | $54.50 | $84.74 |
| Dividend discount | cross check | $98.46 | $67.71 | $161.21 |

## Insider activity (SEC Form 4)

Past 90 days: 2 open-market buys ($92,162.1) and 2 open-market sales ($8.5M); 10b5-1 plan sales included.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Oct 2, 2026 | Wadecki Adam A | See Remarks below. | Option/RSU exercise | 997 | $0 |
| Oct 2, 2026 | Wadecki Adam A | See Remarks below. | Tax withholding | 390 | $172,703.7 |
| Oct 2, 2026 | Wadecki Adam A | See Remarks below. | Option/RSU exercise | 997 | $0 |
| Sep 1, 2026 | Black Shawn M | See Remarks below. | Grant / award | 4,605 | $0 |
| Aug 12, 2026 | Johnson Gerald | Director | Open-market buy | 70 | $32,895.1 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Oct 16, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1551182/000155118226000034/etn-20261016.htm |
| Oct 5, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/1551182/000114036126038523/ef20083229_8k.htm |
| Jul 31, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/1551182/000155118226000030/etn-20260630.htm |
| Jul 31, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1551182/000155118226000027/etn-20260731.htm |
| Jun 11, 2026 | 8-K | 7.01 Regulation FD Disclosure; 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1551182/000095014226001733/eh260792115_8k.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| David Katz | 2026-09-30 | 762 | $327,439 |

1 tracked managers in all.

## About

Eaton Corp. Plc is a power management company, which provides energy-efficient solutions for electrical, hydraulic, and mechanical power. It operates through the following segments: Electrical Americas and Electrical Global; Aerospace, Vehicle, and eMobility. The Electrical Americas and Electrical Global segments engage in sales contracts for electrical components, industrial components, power distribution and assemblies, residential products, single and three phase power quality, wiring devices, circuit protection, utility power distribution, power reliability equipment, and service. The Aerospace segment supplies aerospace fuel, hydraulics, and pneumatic systems for commercial and military use. The Vehicle segment deals with the design, manufacture, marketing, and supply of drivetrain and powertrain systems and critical components that reduce emissions and improve fuel economy, stabili…

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Source: https://sweetvaluelab.com/stocks/etn (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.