Since my last coverage of ASSA ABLOY AB ( ASAZY )( ASAZF ) is up 26% since March 2025, outperforming the S&P 500 by some percentage points. I rated ASSA ABLOY a Hold back in March, concerned aboutHi, my name is Sander Pettersen Heio, and I’m based in Norway. My investment focus spans small-cap to mid-cap companies and foreign equities, with a particular emphasis on the Nordic market. I analyze businesses across diverse industries, identifying both established players and emerging growth leaders. Beyond Nord ...

GLENVIEW, Ill., Jan. 13, 2026 (GLOBE NEWSWIRE) -- Illinois Tool Works Inc. (NYSE: ITW) will issue its fourth quarter and full year 2025 results on Tuesday, February 3, 2026, at 7:00 a.m. CST. Following the release, ITW will hold its fourth quarter and full year 2025 earnings webcast at 9:00 a.m. CST. To access the webcast for the event, please click on the following link:ITW Q4 2025 Earnings Webcast If you are a participant on the conference call, please dial 1-888-660-6652 (domestic) or 1-646-960-0554 (int ...

Core Viewpoint - Illinois Tool Works Inc. (ITW) is a well-established global manufacturer with a market capitalization of $72.4 billion, expected to report Q4 2025 earnings soon, with analysts projecting a profit increase [1] Financial Performance - Analysts anticipate ITW to report a profit of $2.68 per share on a diluted basis for Q4 2025, reflecting a 5.5% increase from $2.54 per share in the same quarter last year [2] - For the full fiscal year, the expected EPS is $10.44, which is a 2.9% increase from $10.15 in fiscal 2024, and projected to rise 7.5% year-over-year to $11.22 in fiscal 2026 [3] Stock Performance - ITW stock has seen a marginal decline over the past 52 weeks, underperforming the S&P 500 Index's 17.1% rise and the State Street Industrial Select Sector SPDR ETF's 20.2% return during the same period [4] - On December 16, ITW's stock closed down more than 3% after Goldman Sachs downgraded it to "Sell" from "Neutral," citing limited upside potential despite acknowledging the company's strong management [5] Analyst Ratings - The consensus opinion on ITW stock is neutral, with a "Hold" rating overall; out of 17 analysts, two recommend a "Strong Buy," ten suggest a "Hold," and five advocate a "Strong Sell" [6] - The mean price target for ITW is $261.13, indicating a 5.7% upside potential from current price levels [6]

Core Viewpoint - Illinois Tool Works Inc. (ITW) is recognized for its strong operational performance but faces valuation challenges that limit upside potential according to Goldman Sachs [2]. Financial Performance - In Q3 2025, ITW achieved a record operating margin of 27.4%, an increase of 90 basis points, with enterprise initiatives contributing 140 basis points to this performance [3]. - Operating cash flow reached $1.0 billion, while free cash flow increased by 15% to $904 million, resulting in a 110% conversion rate relative to net income [3]. - For FY25, ITW maintained its operating margin guidance of 26% to 27%, with enterprise initiatives expected to add approximately 125 basis points for the full year [4]. Strategic Focus - Management emphasized ongoing progress on strategic growth priorities, aiming for above-market organic growth through customer-backed innovation [3]. - The company is on track to meet its 2030 performance goals, including a customer-backed innovation yield exceeding 3% [3][4]. Analyst Ratings - Goldman Sachs downgraded ITW to Sell from Neutral and reduced its price target to $230 from $258, citing limited upside from current levels and modest downside risk to earnings estimates [2].

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Core Viewpoint - Goldman Sachs downgraded Illinois Tool Works (NYSE: ITW) to Sell from Neutral, setting a price target of $230 due to expectations of below-average growth compared to large-cap cyclical peers [1] Group 1: Company Performance - ITW's organic revenue and earnings growth are expected to continue lagging behind peers, with organic growth averaging around 2% and earnings per share growth at approximately 5.5% since 2017 [2][3] - The company previously benefited from a significant simplification of its organizational structure, leading to about 800 basis points of margin expansion from 2012 to 2017 [2] Group 2: Market Outlook - Goldman Sachs anticipates that ITW's substantial exposure to consumer end markets may negatively impact its performance, leading to below-average organic and EPS growth over the next two years [3] - The firm is constructive on an overall inflection in industrial activity but remains cautious about ITW's specific market conditions [3] Group 3: Valuation and Price Target - Goldman Sachs sees modest downside risk to earnings estimates and believes the stock's valuation multiple is unlikely to re-rate due to the pace of earnings improvement [4] - The $230 price target is based on a 15.0x multiple applied to projected EBITDA for quarters five through eight, implying a 2027 free cash flow yield of approximately 5% [4]

Core Viewpoint - Illinois Tool Works Inc. (NYSE:ITW) is recognized for its strong financial performance and is included among high-quality dividend stocks for long-term investors [1] Financial Performance - In Q3 2025, Illinois Tool Works reported a record operating margin of 27.4%, an increase of 90 basis points, with enterprise initiatives contributing 140 basis points [3] - Operating cash flow reached $1.0 billion, while free cash flow increased by 15% to $904 million, resulting in a 110% conversion rate relative to net income [3] - For FY25, the company maintained its operating margin guidance of 26% to 27%, with enterprise initiatives expected to contribute 125 basis points for the year [4] Analyst Upgrades - BofA analyst Andrew Obin upgraded Illinois Tool Works to Neutral from Underperform, raising the price target to $255 from $220, citing strong year-over-year margin expansion expected in 2026 [2] Strategic Goals - The company highlighted progress on its strategic growth priorities and reaffirmed its commitment to above-market organic growth driven by customer-backed innovation [3] - Management indicated that the strategy remains on track to meet 2030 performance goals, including a customer-backed innovation yield exceeding 3% [3] Earnings Guidance - Management reiterated confidence in achieving the $10.45 midpoint EPS target for FY25 [4]

Company Overview - Illinois Tool Works Inc. (ITW) is headquartered in Glenview, Illinois, and manufactures engineered fasteners, components, equipment, consumables, and specialty products for diverse industries [1] - The company operates in automotive OEM, welding, food equipment, test and measurement, polymers and fluids, construction products, and specialty segments across more than 50 countries [1] - ITW has a market capitalization of $72.32 billion, classifying it as a "large-cap" stock [1] Stock Performance - ITW's stock reached a 52-week low of $214.66 in April but has increased by 16.1% since then [2] - Over the past three months, the stock has declined by 6.2% due to weaker-than-expected topline results, while the Industrial Select Sector SPDR Fund (XLI) has gained marginally [2] - The stock has underperformed over the longer term, declining by 9.7% over the past 52 weeks but gaining 2.2% over the past six months, compared to the Industrial Select Sector ETF which gained 7.3% and 7.8% over the same periods [3] Financial Results - On October 24, ITW reported mixed third-quarter 2025 results, with operating revenue growing modestly by 2.3% year-over-year (YOY) to $4.06 billion, missing the $4.08 billion estimate from Wall Street analysts [4] - The company's net income per share dropped 28.1% annually to $2.81, although this exceeded the Wall Street analysts' estimate of $2.69 [5] - Excluding divestiture gains from the prior year's period of $1.26, EPS grew 6% YOY [5] Comparative Analysis - ITW's performance is compared with Emerson Electric Co. (EMR), which has seen a marginal increase over the past 52 weeks and an 11.4% gain over the past six months, indicating that ITW has underperformed Emerson Electric during these periods [6] Analyst Sentiment - Wall Street analysts have a consensus rating of "Hold" for ITW's stock, with a mean price target of $263 indicating a 5.5% upside compared to current levels [7] - The highest price target from analysts is $287, suggesting a 15.1% upside [7]

Core Insights - Illinois Tool Works Inc. (ITW) is a diversified industrial company with a market capitalization of $70 billion, serving various sectors including food equipment, welding, automotive OEM, construction, polymers and fluids, and specialty products [1] Performance Overview - Over the past 52 weeks, ITW shares have declined by 10.4%, underperforming the S&P 500 Index, which has gained 13.7% during the same period [2] - Year-to-date, ITW's stock is down 4.6%, while the S&P 500 has returned 13.4% [2] - ITW has also underperformed the Industrial Select Sector SPDR Fund (XLI), which has seen a 7.8% increase over the past 52 weeks and a 13.7% rise year-to-date [3] Earnings Report - On October 24, ITW's shares fell by 4.5% following a mixed Q3 earnings report, where EPS decreased by 28.1% year-over-year to $2.81, although it exceeded consensus estimates by 4.5% [3] - Operating revenue for the quarter was $4.1 billion, reflecting a 2.3% increase from the previous year, but it slightly missed analyst expectations, impacting investor confidence [3] Future Projections - For the current fiscal year ending in December, analysts project ITW's EPS to grow by 2.9% year-over-year to $10.44 [4] - ITW has a strong earnings surprise history, having exceeded consensus estimates in each of the last four quarters [4] Analyst Ratings - Among 17 analysts covering ITW, the consensus rating is a "Hold," with two "Strong Buy," ten "Hold," one "Moderate Sell," and four "Strong Sell" ratings [4] - Bank of America maintained a "Sell" rating on ITW with a price target of $220, while the mean price target is $261.47, indicating a 7.6% premium from current levels [6] - The highest price target from analysts is $287, suggesting an 18.1% potential upside from current levels [6]

Core Insights - Illinois Tool Works Inc. (ITW) is recognized as one of the 15 Best DRIP Stocks to Own Right Now [1] - Baird has raised its price target for ITW to $265 from $258 while maintaining a Neutral rating, reflecting modestly positive organic growth in the company's third-quarter results [2] - ITW declared a quarterly dividend of $1.61 per share, maintaining its status as a Dividend King with 53 consecutive years of dividend increases [3] Financial Performance - For Q3 2025, ITW reported revenue of $4.1 billion, representing a 2% year-over-year increase, with 1% attributed to organic growth [3] Company Overview - Illinois Tool Works Inc. is a global diversified manufacturer producing specialized industrial equipment, consumables, and related services across various end markets [4]