Here's what you can look forward to in Illinois Tool's upcoming earnings announcement

Overview of Illinois Tool Works Inc. (ITW)

Illinois Tool Works Inc., headquartered in Glenview, Illinois and established in 1912, is a prominent global producer of a wide array of industrial equipment and products. The company currently holds a market value of $72.4 billion and is preparing to announce its fourth-quarter 2025 financial results in the near future.

Upcoming Earnings Expectations

Analysts are forecasting that Illinois Tool Works will post diluted earnings of $2.68 per share for the upcoming quarter, reflecting a 5.5% increase compared to $2.54 per share in the same period last year. Notably, the company has surpassed analyst expectations in each of the previous four quarters.

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Full-Year and Future Earnings Projections

For the entire fiscal year, experts predict that ITW’s earnings per share will reach $10.44, marking a 2.9% rise from $10.15 in 2024. Looking ahead to fiscal 2026, EPS is projected to climb by 7.5% year-over-year to $11.22.

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Stock Performance Comparison

Over the past year, ITW shares have experienced a slight decline, lagging behind the S&P 500 Index’s 17.1% gain and the 20.2% return posted by the State Street Industrial Select Sector SPDR ETF (XLI) during the same period.

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Recent Analyst Actions and Ratings

On December 16, Illinois Tool Works shares fell by more than 3% following a downgrade by Goldman Sachs from “Neutral” to “Sell,” with a revised price target of $230. Although the analyst acknowledged the company’s strong management, the downgrade was attributed to limited potential for further gains at current share prices.

Currently, the consensus among analysts is neutral, with an overall “Hold” recommendation. Of the 17 analysts covering ITW, two suggest a “Strong Buy,” ten recommend “Hold,” and five advise a “Strong Sell.” The average price target stands at $261.13, indicating a possible 5.7% upside from current levels.