Eaton (ETN) Fundamental Analysis: Revenue, Earnings & Valuation

1.85 / 10

Underperform

Eaton's fundamental evaluation is concerning, scoring only 1.9/10. Key weaknesses include negative Profit-MV and Cash-MV metrics, while positives such as strong ROE and interest coverage are outweighed by asset and revenue multiples that lag peers. This configuration implies limited upside without clear catalysts.

Analysis Checks(6/10)

Revenue-MV

Value-0.21

Score2/3

Weight14.50%

1M Return11.23%

Annualized return on equity (%)

Value21.56

Score2/3

Weight4.46%

1M Return4.08%

Profit-MV

Value0.74

Score1/3

Weight11.60%

1M Return9.30%

PB-ROE

Value1.98

Score2/3

Weight14.60%

1M Return11.71%

Rate of return on total assets (%)

Value12.99

Score2/3

Weight5.12%

1M Return4.56%

Cash-UP

Value0.01

Score1/3

Weight10.38%

1M Return8.78%

Annualized return on total assets (%)

Value12.99

Score2/3

Weight5.12%

1M Return4.56%

Interest coverage ratio (EBIT / Interest expense) (%)

Value21.46

Score2/3

Weight3.02%

1M Return2.96%

Asset-MV

Value-0.53

Score1/3

Weight20.35%

1M Return14.91%

Cash-MV

Value0.15

Score0/3

Weight10.87%

1M Return9.09%

Is ETN fundamentally strong?

ETN scores 1.85/10 on fundamentals and holds a Premium valuation at present. Backed by its 21.51% ROE, 14.90% net margin, 35.53 P/E ratio, 7.46 P/B ratio, and 9.85% earnings growth, these metrics solidify its Underperform investment rating.