Eaton (ETN) Net Debt Paydown Yield % : -2.15% (As of Jun. 26, 2026)


ETN Eaton Corp PLC ETN
89 GF Score
Price $402.68
GF Value $387.02
Valuation Fairly Valued
! 6 Warning Signs
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What is Eaton Net Debt Paydown Yield %?

Eaton ETN -4.09% 89 Net Debt Paydown Yield % is -2.15% as of Jun. 26, 2026. GuruFocus rates ETN with a GF Score™ of 89/100 and a GF Value™ of $387.02 (Fairly Valued). The stock has 6 warning signs investors should review. Among 2,842 Industrial Products companies, Eaton ranks worse than 72.77% on this metric.

Net Debt Paydown Yield % is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. It is a measure of a company's willingness and ability to reduce its debt. As of today, Eaton's Net Debt Paydown Yield % was -2.15%.


Eaton  (NYSE:ETN) Net Debt Paydown Yield % Explanation

Net Debt Paydown Yield % is the change in average of four quarters of company's total debt over a company's market cap. Assuming the total value of a company remains that same, shareholder value is increased as debt is reduced. In other words, it is a measure of the willingness and ability of a firm's management to pay down debt. Companies that have high debt paydown yields indicate that they are more aggressive with paying down debt.

In the calculation of Net Debt Paydown Yield %, we use the reductions of TTM average total debt one-year-ago and TTM average total debt at present, divided by its Market Cap.

We calculating the TTM average debt by adding up the total debt, calculated by the sum of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation, in the trailing twelve months(TTM) divided by the counts of the total debt, accoring to the company's report frequency.


Eaton Net Debt Paydown Yield % Related Terms


Eaton Net Debt Paydown Yield % Historical Data

* Premium members only.

The historical data trend for Eaton's Net Debt Paydown Yield % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Eaton Net Debt Paydown Yield % Chart

Eaton Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Net Debt Paydown Yield %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.55 1.07 0.03 -0.33 -0.79

Eaton Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Net Debt Paydown Yield % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.50 -0.45 -0.55 -0.79 -2.53

ETN vs PH, CMI, EMR: Net Debt Paydown Yield % Comparison

For the Specialty Industrial Machinery subindustry, Eaton's Net Debt Paydown Yield %, along with its competitors' market caps and Net Debt Paydown Yield % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Eaton Net Debt Paydown Yield % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eaton's Net Debt Paydown Yield % distribution charts can be found below:

* The bar in red indicates where Eaton's Net Debt Paydown Yield % falls into.


ETN
89GF Score
Eaton Corp PLC ETN
Net Debt Paydown Yield % is just one metric. See GF Score™, valuation, warning signs, and more.
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Eaton Net Debt Paydown Yield % Calculation

Eaton's Net Debt Paydown Yield % for the quarter that ended in Mar. 2026 is calculated as:

Net Debt Paydown Yield %
=( TTM Average Debt   (1-Year Ago))-TTM Average Debt )/Market Cap
=( 10284.75-13792.25 )/138883.261
=-2.53 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* All the data are calculated by TTM values. Note that if a companies is traded in several exchanges, then we calculate the company level data for Net Debt Paydown Yield % using the primary share class stock data. The calculation result in definition page is for demonstration purpose only, and it's showing the share class level data. Therefore, the numbers in the calculation may differ from elsewhere if the stock is not a primary share.

What does a Net Debt Paydown Yield % of -2.15% mean?
Eaton (ETN) has a Net Debt Paydown Yield % of -2.15% as of Jun. 26, 2026. Net Debt Paydown Yield is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. This metric provides insight into a company's willingness and ability to reduce its debt using free cash flow. View historical data on Eaton and its competitors. According to the industry distribution chart, Eaton ranks #2068 out of 2842 companies in the Industrial Products industry, placing it in the top 72.8%.
Is Eaton's Net Debt Paydown Yield % too high?
Eaton's current Net Debt Paydown Yield % is -2.15%. Based on the distribution chart, Eaton ranks #2068 out of 2842 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Eaton has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eaton's Net Debt Paydown Yield % compare to PH and CMI?
According to the Industrial Products industry distribution chart, Eaton ranks #2068 out of 2842 companies for Net Debt Paydown Yield %. This places Eaton in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Debt Paydown Yield % for an Industrial Products company?
A good Net Debt Paydown Yield % depends on the Industrial Products industry context. However, Net Debt Paydown Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Debt Paydown Yield % mean?
A high Net Debt Paydown Yield % can signal that a stock is expensive relative to its fundamentals. Net Debt Paydown Yield is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. This metric provides insight into a company's willingness and ability to reduce its debt using free cash flow. View historical data on Eaton and its competitors. Eaton's current Net Debt Paydown Yield % is -2.15%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eaton stock overvalued right now?
Based on GuruFocus' analysis, Eaton (ETN) is currently considered Fairly Valued. The stock's GF Value™ is $387.02, compared to a current price of $402.68 — trading 4% above its estimated fair value. The current Net Debt Paydown Yield % is -2.15%. Eaton's overall GF Score™ is 89/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Debt Paydown Yield % calculated?
Net Debt Paydown Yield % is calculated from a company's financial statements. For Eaton (ETN), the current Net Debt Paydown Yield % is -2.15% as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Eaton (ETN) Overvalued in 2026?

Based on GuruFocus' analysis, Eaton stock appears to be overvalued. The current stock price of $402.68 is trading 4% above its estimated GF Value™ of $387.02. GuruFocus considers Eaton to be Fairly Valued.

Key valuation signals for ETN:

  • Net Debt Paydown Yield %: -2.15%
  • GF Value™: $387.02 vs. price of $402.68 (4% above fair value)
  • GF Score™: 89/100 with 6 warning signs

No single metric tells the full story. See the ETN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Eaton Business Description

Address 30 Pembroke Road, Eaton House, Dublin 4, Dublin, IRL, D04 Y0C2
Founded in 1911 by Joseph Eaton, the eponymous company began by selling truck axles in New Jersey. Eaton has since become an industrial powerhouse largely through acquisitions in various end markets. Eaton's portfolio can broadly be divided into two parts: its electrical and industrial businesses. Its electrical portfolio (representing around 70% of company revenue) sells components within data centers, utilities, and commercial and residential buildings, while its industrial business (30% of revenue) sells components within commercial and passenger vehicles and aircraft. Eaton receives favorable tax treatment as a domiciliary of Ireland, but it generates over half of its revenue within the US.
89GF Score

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Net Debt Paydown Yield % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$402.68
Price
$387.02
GF Value