Eaton (ETN) Dividend Payout Ratio: 0.39 (As of Mar. 2026) — 11% Below Median

Eaton ETN -4.09% 89 Dividend Payout Ratio is 0.39 as of Mar. 2026, which is 11% below its 10-year median of 0.44. 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 1,723 Industrial Products companies, Eaton ranks better than 53.63% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Eaton's Dividend Payout Ratio for the months ended in Mar. 2026 was 0.39.

The historical rank and industry rank for Eaton's Dividend Payout Ratio or its related term are showing as below:

ETN' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.35 Med: 0.44 Max: 0.6
Current: 0.35

During the past 13 years, the highest Dividend Payout Ratio of Eaton was 0.60. The lowest was 0.35. And the median was 0.44.

ETN's Dividend Payout Ratio is ranked better than
53.63% of 1723 companies
in the Industrial Products industry
Industry Median: 0.37 vs ETN: 0.35

As of today (2026-06-26), the Dividend Yield % of Eaton is 1.06%.

During the past 13 years, the highest Trailing Annual Dividend Yield of Eaton was 4.37%. The lowest was 0.98%. And the median was 2.21%.

Eaton's Dividends per Share for the months ended in Mar. 2026 was $1.10.

During the past 12 months, Eaton's average Dividends Per Share Growth Rate was 9.30% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 8.70% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 7.30% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 6.30% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Eaton was 23.40% per year. The lowest was 0.00% per year. And the median was 7.90% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

Eaton (NYSE:ETN) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

Eaton Dividend Payout Ratio Related Terms

Eaton Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for Eaton's Dividend Payout Ratio 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 Dividend Payout Ratio Chart

Eaton Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Dividend Payout Ratio

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0.46

0.43

0.38

0.35

Eaton Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Dividend Payout Ratio	Get a 7-Day Free Trial															0.38	0.35	0.34	0.31	0.39

ETN vs PH, CMI, EMR: Dividend Payout Ratio Comparison

For the Specialty Industrial Machinery subindustry, Eaton's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio 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 Dividend Payout Ratio vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eaton's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where Eaton's Dividend Payout Ratio falls into.

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89GF Score

Eaton Corp PLC ETN

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Eaton Dividend Payout Ratio Calculation

Eaton's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Dividend Payout Ratio	=	Dividends per Share (A: Dec. 2025 )	/	EPS without NRI (A: Dec. 2025 )
	=	4.16	/	12.07
	=	0.34

Eaton's Dividend Payout Ratio for the quarter that ended in Mar. 2026 is calculated as

Dividend Payout Ratio	=	Dividends per Share (Q: Mar. 2026 )	/	EPS without NRI (Q: Mar. 2026 )
	=	1.1	/	2.81
	=	0.39

Frequently Asked Questions Learn more about Dividend Payout Ratio →

What does a Dividend Payout Ratio of 0.39 mean?

Eaton (ETN) has a Dividend Payout Ratio of 0.39 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Eaton and its competitors. This is 11% below median its historical median of 0.44. Over the past decade, Eaton's Dividend Payout Ratio has ranged from 0.35 to 0.60. According to the industry distribution chart, Eaton ranks #799 out of 1723 companies in the Industrial Products industry, placing it in the top 46.4%.

Is Eaton's Dividend Payout Ratio too high?

Eaton's current Dividend Payout Ratio of 0.39 is 11% below median its 10-year median of 0.44. Over the past 10 years, this metric has ranged from a low of 0.35 to a high of 0.60. The Industrial Products industry median Dividend Payout Ratio is 0.37. Eaton's value of 0.39 is 5.4% above this industry median. Based on the distribution chart, Eaton ranks #799 out of 1723 companies in the Industrial Products industry, which is above 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 Dividend Payout Ratio compare to PH and CMI?

According to the Industrial Products industry distribution chart, Eaton ranks #799 out of 1723 companies for Dividend Payout Ratio. This puts Eaton in the upper half of its industry. The industry median Dividend Payout Ratio is 0.37. Eaton's value of 0.39 is 5.4% above this benchmark. Historically, Eaton's own Dividend Payout Ratio has ranged from 0.35 to 0.60 over the past decade. While the company's 10-year median is 0.44 vs. the industry median of 0.37, Eaton has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Dividend Payout Ratio for an Industrial Products company?

The median Dividend Payout Ratio among Industrial Products companies is 0.37, based on 1,723 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Eaton's current Dividend Payout Ratio of 0.39 is 5.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Dividend Payout Ratio mean?

A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Eaton and its competitors. For the Industrial Products industry, the median Dividend Payout Ratio is 0.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eaton's current Dividend Payout Ratio is 0.39, which is 11% below median its own 10-year median of 0.44. 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 Dividend Payout Ratio is 0.39, which is 11% below median its 10-year median of 0.44 and 5.4% above the Industrial Products industry median of 0.37. 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 Dividend Payout Ratio calculated?

Dividend Payout Ratio is calculated from a company's financial statements. For Eaton (ETN), the current Dividend Payout Ratio is 0.39 as of Mar. 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:

Dividend Payout Ratio: 0.39 (11% below median its 10-year median of 0.44)
GF Value™: $387.02 vs. price of $402.68 (4% above fair value)
GF Score™: 89/100 with 6 warning signs
Industry Position: 5.4% above the Industrial Products median (#799 of 1723)

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

Industry Industrials Industrial Products

Comparable Companies PH CMI EMR ITW AME GEV ROK DOV IR OTIS XTER:SIE XPAR:SU XTER:ENR OSTO:ATCO A TSE:7011 OSTO:SAND TSE:6954 XKRX:034020 XSWX:SCHN OHEL:KNEBV

Other Exchanges ETN:Peru ETN1N:Mexico 1ETN:Italy 0Y3K:UK 3EC:Germany E1TN34:Brazil

Address 30 Pembroke Road, Eaton House, Dublin 4, Dublin, IRL, D04 Y0C2

Website https://www.eaton.com

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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$402.68

Price

$387.02

GF Value

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