Illinois Tool Works Inc. (NYSE:ITW) to Issue Quarterly Dividend of $1.61

Illinois Tool Works Inc. (NYSE:ITW) declared a quarterly dividend on Friday, February 13th. Stockholders of record on Tuesday, March 31st will be paid a dividend of 1.61 per share by the industrial products company on Thursday, April 9th. This represents a c) dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date of this dividend is Tuesday, March 31st.

Illinois Tool Works has raised its dividend by an average of 0.1%annually over the last three years and has increased its dividend annually for the last 55 consecutive years. Illinois Tool Works has a dividend payout ratio of 58.5% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Illinois Tool Works to earn $11.24 per share next year, which means the company should continue to be able to cover its $6.44 annual dividend with an expected future payout ratio of 57.3%.

Illinois Tool Works Stock Performance

Shares of Illinois Tool Works stock opened at $258.48 on Friday. The firm’s fifty day simple moving average is $276.69 and its 200-day simple moving average is $260.56. Illinois Tool Works has a 12 month low of $214.66 and a 12 month high of $303.15. The stock has a market capitalization of $74.49 billion, a price-to-earnings ratio of 24.64, a PEG ratio of 13.84 and a beta of 1.13. The company has a debt-to-equity ratio of 2.07, a current ratio of 1.21 and a quick ratio of 0.89.

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

Insider Buying and Selling

In related news, Director Ernest Scott Santi sold 167,345 shares of Illinois Tool Works 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 sale, the director directly owned 258,766 shares in the company, valued at $75,282,792.38. The trade was a 39.27% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Axel Beck sold 4,223 shares of the stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $290.22, for a total value of $1,225,599.06. Following the completion of the transaction, the executive vice president owned 5,789 shares of the company’s stock, valued at $1,680,083.58. The trade was a 42.18% decrease in their position. The SEC filing for this sale provides additional information. 0.88% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Cresta Advisors Ltd. purchased a new stake in shares of Illinois Tool Works during the 4th quarter worth approximately $25,000. Corsicana & Co. purchased a new position in Illinois Tool Works in the 3rd quarter valued at approximately $26,000. Motiv8 Investments LLC acquired a new position in Illinois Tool Works during the fourth quarter worth $27,000. Kemnay Advisory Services Inc. purchased a new stake in Illinois Tool Works during the fourth quarter worth $27,000. Finally, Lodestone Wealth Management LLC purchased a new stake in Illinois Tool Works during the fourth quarter worth $28,000. 79.77% of the stock is owned by hedge funds and other institutional investors.

About Illinois Tool Works

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.