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GuruFocus Financial Strength Rank measures how strong a companyÂ’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 5/10

vs
industry
vs
history
Cash to Debt 0.102
ETN's Cash to Debt is ranked lower than
72% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 3.06 vs. ETN: 0.102 )
ETN' s 10-Year Cash to Debt Range
Min: 0.04   Max: 0.44
Current: 0.1

0.04
0.44
Equity to Asset -0.17
ETN's Equity to Asset is ranked lower than
94% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 0.49 vs. ETN: -0.17 )
ETN' s 10-Year Equity to Asset Range
Min: -0.17   Max: 0.06
Current: -0.17

-0.17
0.06
Interest Coverage 7.4
ETN's Interest Coverage is ranked lower than
64% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 457.80 vs. ETN: 7.4 )
ETN' s 10-Year Interest Coverage Range
Min: 3   Max: 12
Current: 7.4

3
12
F-Score: 6
Z-Score: 1.66
M-Score: -1.87
GuruFocus Profitability Rank ranks how profitable a company is and how likely the companyÂ’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 6/10

vs
industry
vs
history
Operating margin (%) 9.40
ETN's Operating margin (%) is ranked higher than
76% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 5.70 vs. ETN: 9.40 )
ETN' s 10-Year Operating margin (%) Range
Min: 3.7   Max: 10.2
Current: 9.4

3.7
10.2
Net-margin (%) 7.5
ETN's Net-margin (%) is ranked higher than
79% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 3.70 vs. ETN: 7.5 )
ETN' s 10-Year Net-margin (%) Range
Min: 2.3   Max: 8.4
Current: 7.5

2.3
8.4
ROE (%) 8.1
ETN's ROE (%) is ranked higher than
89% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 5.60 vs. ETN: 8.1 )
ETN' s 10-Year ROE (%) Range
Min: 5.7   Max: 23.5
Current: 8.1

5.7
23.5
ROA (%) 3.4
ETN's ROA (%) is ranked higher than
83% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 2.80 vs. ETN: 3.4 )
ETN' s 10-Year ROA (%) Range
Min: 2.2   Max: 8.3
Current: 3.4

2.2
8.3
ROC (Joel Greenblatt) (%) 24.50
ETN's ROC (Joel Greenblatt) (%) is ranked higher than
89% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 10.40 vs. ETN: 24.50 )
ETN' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 12.2   Max: 39.7
Current: 24.5

12.2
39.7
Revenue Growth (%) 7.1
ETN's Revenue Growth (%) is ranked higher than
82% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 0.45 vs. ETN: 7.1 )
ETN' s 10-Year Revenue Growth (%) Range
Min: -3.3   Max: 10.9
Current: 7.1

-3.3
10.9
EBITDA Growth (%) 18.9
ETN's EBITDA Growth (%) is ranked higher than
88% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: -0.35 vs. ETN: 18.9 )
ETN' s 10-Year EBITDA Growth (%) Range
Min: -11.1   Max: 18.9
Current: 18.9

-11.1
18.9
EPS Growth (%) 32.1
ETN's EPS Growth (%) is ranked higher than
85% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 3.40 vs. ETN: 32.1 )
ETN' s 10-Year EPS Growth (%) Range
Min: -22.3   Max: 36.3
Current: 32.1

-22.3
36.3
» ETN's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q2 2012

ETN Guru Trades in Q2 2012

Joel Greenblatt 24,316 sh (New)
Ray Dalio 393,142 sh (+3776.38%)
Jim Simons 2,203,300 sh (+205%)
Manning & Napier Advisors, Inc 26,886 sh (+95%)
Paul Tudor Jones 29,100 sh (+59.89%)
John Keeley 26,000 sh (+4%)
John Buckingham 139,233 sh (+2.5%)
Meridian Funds 10,740 sh (unchged)
Louis Moore Bacon 50,000 sh (unchged)
Louis Moore Bacon Sold Out
James Barrow 2,175,910 sh (-2.43%)
Scott Black 31,900 sh (-7.59%)
David Dreman 420,184 sh (-15.39%)
Dodge & Cox 68,250 sh (-23.19%)
Mario Gabelli 16,165 sh (-39.15%)
Steven Cohen 5,100 sh (-44.66%)
Ken Fisher 224,424 sh (-55.14%)
» More
Q3 2012

ETN Guru Trades in Q3 2012

NWQ Managers 32,090 sh (New)
John Hussman 1,000 sh (New)
Louis Moore Bacon 25,000 sh (New)
Richard Snow 1,009,551 sh (New)
Pioneer Investments 519,150 sh (New)
Steven Cohen 36,300 sh (+611.76%)
John Keeley 29,500 sh (+13.46%)
Manning & Napier Advisors, Inc 27,009 sh (+0.46%)
Meridian Funds 10,740 sh (unchged)
Paul Tudor Jones Sold Out
Ray Dalio Sold Out
James Barrow 2,161,850 sh (-0.65%)
John Buckingham 131,327 sh (-5.68%)
Scott Black 26,409 sh (-17.21%)
David Dreman 329,160 sh (-21.66%)
Dodge & Cox 51,150 sh (-25.05%)
Mario Gabelli 8,700 sh (-46.18%)
Joel Greenblatt 7,969 sh (-67.23%)
Ken Fisher 26,059 sh (-88.39%)
Jim Simons 168,500 sh (-92.35%)
» More
Q4 2012

ETN Guru Trades in Q4 2012

Brian Rogers 2,202,650 sh (New)
Paul Tudor Jones 90,000 sh (New)
Mario Gabelli 751,501 sh (+8537.94%)
Steven Cohen 1,396,799 sh (+3747.93%)
NWQ Managers 81,090 sh (+152.7%)
John Hussman 1,500 sh (+50%)
James Barrow 2,251,970 sh (+4.17%)
Louis Moore Bacon Sold Out
Jim Simons Sold Out
Joel Greenblatt Sold Out
Pioneer Investments Sold Out
Scott Black 26,149 sh (-0.98%)
John Buckingham 129,759 sh (-1.19%)
Richard Snow 993,316 sh (-1.61%)
Manning & Napier Advisors, Inc 26,071 sh (-3.47%)
John Keeley 27,000 sh (-8.47%)
Ken Fisher 21,390 sh (-17.92%)
Dodge & Cox 32,350 sh (-36.75%)
David Dreman 129,615 sh (-60.62%)
» More
Q1 2013

ETN Guru Trades in Q1 2013

Meridian Funds 10,740 sh (New)
Pioneer Investments 764,873 sh (New)
Bruce Kovner 62,916 sh (New)
Andreas Halvorsen 1,013,300 sh (New)
Louis Moore Bacon 40,000 sh (New)
John Keeley 40,970 sh (+51.74%)
Paul Tudor Jones 130,000 sh (+44.44%)
Ken Fisher 23,940 sh (+11.92%)
James Barrow 2,513,495 sh (+11.61%)
Manning & Napier Advisors, Inc 26,943 sh (+3.34%)
Brian Rogers 2,202,650 sh (unchged)
John Buckingham 128,799 sh (-0.74%)
Richard Snow 949,635 sh (-4.4%)
Mario Gabelli 691,451 sh (-7.99%)
Dodge & Cox 27,350 sh (-15.46%)
David Dreman 93,034 sh (-28.22%)
NWQ Managers 58,190 sh (-28.24%)
John Hussman 500 sh (-66.67%)
Steven Cohen 93,387 sh (-93.31%)
» More
» Details

Insider Trades

Latest Guru Trades with ETN

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Andreas Halvorsen 2013-03-31 New Buy0.37%$54.18 - $63.42 $ 66.8613%1013300
David Dreman 2013-03-31 Reduce -28.22%0.06%$54.18 - $63.42 $ 66.8613%93034
Meridian Funds 2013-03-31 New Buy0.02%$54.18 - $63.42 $ 66.8613%10740
John Keeley 2013-03-31 Add 51.74%0.02%$54.18 - $63.42 $ 66.8613%40970
NWQ Managers 2013-03-31 Reduce -28.24%0.01%$54.18 - $63.42 $ 66.8613%58190
John Hussman 2013-03-31 Reduce -66.67%$54.18 - $63.42 $ 66.8613%500
Brian Rogers 2012-12-31 New Buy0.51%$44.65 - $54.66 $ 66.8635%2202650
Mario Gabelli 2012-12-31 Add 8537.94%0.3%$44.65 - $54.66 $ 66.8635%751501
David Dreman 2012-12-31 Reduce -60.62%0.24%$44.65 - $54.66 $ 66.8635%129615
Joel Greenblatt 2012-12-31 Sold Out 0.03%$44.65 - $54.66 $ 66.8635%0
NWQ Managers 2012-12-31 Add 152.7%0.02%$44.65 - $54.66 $ 66.8635%81090
Dodge & Cox 2012-12-31 Reduce -36.75%$44.65 - $54.66 $ 66.8635%32350
John Hussman 2012-12-31 Add 50%$44.65 - $54.66 $ 66.8635%1500
Richard Snow 2012-09-30 New Buy2.7%$37.04 - $48.51 $ 66.8653%1009551
Ray Dalio 2012-09-30 Sold Out 0.23%$37.04 - $48.51 $ 66.8653%0
David Dreman 2012-09-30 Reduce -21.66%0.08%$37.04 - $48.51 $ 66.8653%329160
Joel Greenblatt 2012-09-30 Reduce -67.23%0.05%$37.04 - $48.51 $ 66.8653%7969
Ken Fisher 2012-09-30 Reduce -88.39%0.02%$37.04 - $48.51 $ 66.8653%26059
NWQ Managers 2012-09-30 New Buy0.01%$37.04 - $48.51 $ 66.8653%32090
Dodge & Cox 2012-09-30 Reduce -25.05%$37.04 - $48.51 $ 66.8653%51150
Mario Gabelli 2012-09-30 Reduce -46.18%$37.04 - $48.51 $ 66.8653%8700
John Hussman 2012-09-30 New Buy$37.04 - $48.51 $ 66.8653%1000
Ray Dalio 2012-06-30 Add 3776.38%0.22%$37.32 - $49.91 $ 66.8652%393142
Joel Greenblatt 2012-06-30 New Buy0.07%$37.32 - $49.91 $ 66.8652%24316
Ken Fisher 2012-06-30 Reduce -55.14%0.04%$37.32 - $49.91 $ 66.8652%224424
Dodge & Cox 2012-06-30 Reduce -23.19%$37.32 - $49.91 $ 66.8652%68250
Mario Gabelli 2012-06-30 Reduce -39.15%$37.32 - $49.91 $ 66.8652%16165
Premium More recent guru trades are included for Premium Members only!!

Ratios

vs
industry
vs
history
P/E(ttm) 19.70
ETN's P/E(ttm) is ranked higher than
81% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 18.99 vs. ETN: 19.70 )
ETN' s 10-Year P/E(ttm) Range
Min: 5.57   Max: 40.31
Current: 19.7

5.57
40.31
P/B 2.09
ETN's P/B is ranked lower than
69% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.48 vs. ETN: 2.09 )
ETN' s 10-Year P/B Range
Min: 0.85   Max: 3.43
Current: 2.09

0.85
3.43
P/S 1.37
ETN's P/S is ranked lower than
69% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 0.75 vs. ETN: 1.37 )
ETN' s 10-Year P/S Range
Min: 0.35   Max: 1.39
Current: 1.37

0.35
1.39
PFCF 18.94
ETN's PFCF is ranked higher than
51% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 15.61 vs. ETN: 18.94 )
ETN' s 10-Year PFCF Range
Min: 4.59   Max: 199.83
Current: 18.94

4.59
199.83
EV-to-EBIT 25.17
ETN's EV-to-EBIT is ranked higher than
79% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 12.70 vs. ETN: 25.17 )
ETN' s 10-Year EV-to-EBIT Range
Min: 7.8   Max: 37.9
Current: 25.17

7.8
37.9
PEG 2.16
ETN's PEG is ranked higher than
93% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.80 vs. ETN: 2.16 )
ETN' s 10-Year PEG Range
Min: 0.48   Max: 69.11
Current: 2.16

0.48
69.11
Shiller P/E 21.18
ETN's Shiller P/E is ranked higher than
88% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 16.60 vs. ETN: 21.18 )
ETN' s 10-Year Shiller P/E Range
Min: 5.83   Max: 23.83
Current: 21.18

5.83
23.83

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 2.39
ETN's Dividend Yield is ranked higher than
80% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.85 vs. ETN: 2.39 )
ETN' s 10-Year Dividend Yield Range
Min: 1.31   Max: 6.43
Current: 2.39

1.31
6.43
Dividend Payout 0.7
ETN's Dividend Payout is ranked higher than
72% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 0.66 vs. ETN: 0.7 )
ETN' s 10-Year Dividend Payout Range
Min: 0.21   Max: 0.88
Current: 0.7

0.21
0.88
Dividend growth (3y) 11
ETN's Dividend growth (3y) is ranked higher than
96% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: -0.20 vs. ETN: 11 )
ETN' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 16.1
Current: 11

0
16.1
Yield on cost (5-Year) 4.25
ETN's Yield on cost (5-Year) is ranked higher than
93% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.88 vs. ETN: 4.25 )
ETN' s 10-Year Yield on cost (5-Year) Range
Min: 2.32   Max: 11.38
Current: 4.25

2.32
11.38
Share Buyback Rate -1.1
ETN's Share Buyback Rate is ranked higher than
79% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: -0.90 vs. ETN: -1.1 )
ETN' s 10-Year Share Buyback Rate Range
Min: 1.1   Max: -3.1
Current: -1.1

Valuation & Return

vs
industry
vs
history
Price/Net Current Asset Value 8.4
ETN's Price/Net Current Asset Value is ranked higher than
85% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 4.80 vs. ETN: 8.4 )
ETN' s 10-Year Price/Net Current Asset Value Range
Min: 3.3   Max: 7.1
Current: 8.4

3.3
7.1
Price/DCF (Projected) 1.7
ETN's Price/DCF (Projected) is ranked higher than
89% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.10 vs. ETN: 1.7 )
ETN' s 10-Year Price/DCF (Projected) Range
Min: 0.5   Max: 1.7
Current: 1.7

0.5
1.7
Price/Median PS Value 2.2
ETN's Price/Median PS Value is ranked higher than
91% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 0.80 vs. ETN: 2.2 )
ETN' s 10-Year Price/Median PS Value Range
Min: 0.6   Max: 1.4
Current: 2.2

0.6
1.4
Price/Peter Lynch Fair Value 3.3
ETN's Price/Peter Lynch Fair Value is ranked lower than
71% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 1.85 vs. ETN: 3.3 )
ETN' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.7   Max: 2
Current: 3.3

0.7
2
Earnings Yield (Greenblatt) 4.00
ETN's Earnings Yield (Greenblatt) is ranked higher than
89% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 7.10 vs. ETN: 4.00 )
ETN' s 10-Year Earnings Yield (Greenblatt) Range
Min: 2.6   Max: 12.8
Current: 4

2.6
12.8
Forward Rate of Return (Yacktman) 13.32
ETN's Forward Rate of Return (Yacktman) is ranked higher than
86% of the 1074 Companies
in the Global Diversified Industrials industry.

( Industry Median: 4.32 vs. ETN: 13.32 )
ETN' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -0.9   Max: 24.1
Current: 13.32

-0.9
24.1

Business Description

Eaton Corporation is an Ohio corporation, which was incorporated in 1916. It is a power management company and engaged in electrical components and systems for power quality, distribution and control; hydraulics components, systems and services for industrial and mobile equipment; aerospace fuel, hydraulics and pneumatic systems for commercial and military use; and truck and automotive drivetrain and powertrain systems for performance, fuel economy and safety. In 2009, the Company acquired a business of Micro Innovation Holding AG and SEG Middle East Power Solutions & Switchboard Manufacture LLC. The Company's segments are divided as follows: Electrical Americas and Electrical Rest of World: Seasonal Fluctuations - In normal economic cycles, sales of these segments are historically lower in the first quarter and higher in the third and fourth quarters of a year. Customers - Approximately 11% of the sales of the Electrical Americas segment were made to one large distributor of electrical products. Hydraulics: Seasonal Fluctuations - Sales of this segment are historically higher in the first and second quarters and lower in the third and fourth quarters of the year. Aerospace: Customers - Approximately 11% of this segment's sales were made to one large manufacturer of aircraft. Truck: Customers - Approximately 66% of this segment's sales were made to five large manufacturers of heavy-, medium-, and light-duty trucks and off-highway vehicles. Automotive: Seasonal Fluctuations - Sales of this segment historically are lower in the third quarter of the year as a result of the normal seasonal pattern of automotive industry production. The Company's requirements for raw materials include iron, steel, copper, nickel, aluminum, brass, silver, molybdenum, titanium, vanadium, rubber, plastic and insulating materials. Materials are purchased in various forms, such as extrusions, castings, powder metal, metal sheets and strips, forging billets, bar stock and plastic pellets. Raw materials, as well as parts and other components, are purchased from many suppliers and, under normal circumstances, the Company had no difficulty obtaining them. It views its name and mark as significant to its business as a whole. Operations of the Company involve the use and disposal of certain substances regulated under environmental protection laws. It continues to modify certain processes on an ongoing, regular basis in order to reduce the impact on the environment, including the reduction or elimination of certain chemicals used in, and wastes generated from, operations. Compliance with Federal, State and local provisions which have been enacted or adopted regulating the discharge of materials into the environment, or otherwise relating to the protection of the environment, are not expected to have a material adverse effect upon earnings or the competitive position of the Company.
Company Website
Industry: Diversified Industrials
Compare:UTX, MMM, ARG, AP, EMR

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