Eaton Corporation (ETN) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Eaton Corporation

NYSE•Industrials•Specialty Industrial Machinery

$409.46+11.66(0.03%)After hours

Market Cap

$164.43B

P/E

43.0x

P/S

5.5x

P/B

8.1x

Eaton Corporation plc operates as a power management company in the United States, Canada, Latin America, Europe, and the Asia Pacific. It operates through Electrical Americas, Electrical Global, Aerospace, Vehicle, and eMobility segments. The company offers electrical and industrial components, power distribution and assemblies, residential products, single- and three-phase power quality and connectivity products, wiring devices, circuit protection products, utility power distribution products, and power reliability equipment; and hazardous duty electrical equipment, emergency lighting, fire detection, intrinsically safe explosion-proof instrumentation, and structural support systems. It also provides pumps, motors, hydraulic power units, hoses and fittings, and electro-hydraulic pumps; valves, cylinders, electronic controls, electromechanical actuators, sensors, aircraft flap and slat systems, and nose wheel steering systems; hose and thermoplastic tubing products, fittings, adapters, couplings, and sealing and ducting products; air-to-air refueling systems, fuel pumps, fuel inerting products, sensors, and adapters and regulators; oxygen generation systems, payload carriages, and thermal management products; wiring connectors and cables; and hydraulic and bag filters, strainers and cartridges, and golf grips for manufacturers of commercial and military aircraft, related aftermarket customers, and industrial applications. In addition, the company offers transmissions, clutches, hybrid power systems, superchargers, engine valves and valve actuation systems, locking and limited slip differentials, transmission controls, and fuel vapor components for the vehicle industry; and voltage inverters, converters, fuses, circuit protection units, vehicle controls, power distribution systems, fuel tank isolation valves, and commercial vehicle hybrid systems. The company was formerly known as Abeiron Limited. The company was founded in 1911 and is based in Dublin, Ireland.

How this company scores

GoodMetricSide Score: 71/100

Strongest: Cash & Earnings Quality (25/25); weakest: Balance Sheet & Red Flags (11/25).

Profitability16/25

Growth19/25

Balance Sheet & Red Flags11/25

Cash & Earnings Quality25/25

Strengths

Growing revenueRising free cash flowStrong marginsHigh ROE

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 43.0x5y range 22.0x – 43.0x

Currently above its 20-quarter median.

P/S · 5.5x5y range 2.6x – 5.5x

Currently above its 20-quarter median.

P/B · 8.1x5y range 3.1x – 8.1x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Margin Pressure

Watch

Operating margins declined 14.2% — watch for continued compression, which may signal competitive or cost pressure.

Leverage Risk

Watch

Debt-to-equity has risen 72.1% recently — increasing financial risk even if the current ratio is manageable.

Price & Volume

Market Cap $164.43B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $30.02B
Q. Revenue: $8.53B
TTM EBITDA: $4.88B
TTM Op. Income: $4.88B
Q. Op. Income: $1.19B
TTM Net Income: $3.83B
Q. Net Income: $821.00M
EPS: $2.11
Shares Out.: $388.50M

$30.02B in TTM revenue grew 15.5% YoY, reaching $8.53B last quarter. TTM EBITDA of $4.88B and TTM operating income of $4.88B show growth is flowing through to the bottom line. TTM net income of $3.83B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 33.5%
EBITDA Margin: 14.0%
Op. Margin: 14.0%
Net Margin: 9.6%

Op. margin of 14.0% is down 3.9% YoY — costs are rising relative to revenue. Net margin at 9.6% and gross margin of 33.5% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has fallen for 3 consecutive quarters — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 43.0x
P/S Ratio: 5.5x
P/B Ratio: 8.1x

At 43.0x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 5.5x and P/B of 8.1x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has risen for 2 consecutive quarters — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $56.18B
Cash: $483.00M
Long-Term Debt: $18.52B
Book Value: $20.25B
D/E Ratio: 0.9
Debt/EBITDA: 15.5

With $56.18B in assets and $18.52B in long-term debt, D/E is 0.9and book value is $20.25B — a conservative capital structure with a cushion to weather downturns. Over the past year, debt/equity is up 72% — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $1.13B
TTM Free Cash Flow: $3.93B
FCF Margin: 13.1%
FCF / Net Income: 1.0

TTM FCF of $3.93B on $1.13B in operating cash flow. The FCF / Net Income ratio of 1.0x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 4 consecutive quarters — an improving trend.