Illinois Tool Works Inc. (NYSE:ITW) Sees Large Growth in Short Interest

Illinois Tool Works Inc. (NYSE:ITW) was the target of a large increase in short interest in the month of December. As of December 31st, there was short interest totalling 6,120,000 shares, an increase of 8.5% from the December 15th total of 5,640,000 shares. Currently, 2.1% of the company’s stock are short sold. Based on an average daily volume of 845,800 shares, the days-to-cover ratio is presently 7.2 days.

Analyst Ratings Changes

Several research analysts have weighed in on the stock. Citigroup lowered their price objective on shares of Illinois Tool Works from $279.00 to $265.00 and set a “neutral” rating on the stock in a report on Monday, January 13th. Truist Financial raised their price target on shares of Illinois Tool Works from $312.00 to $318.00 and gave the company a “buy” rating in a research report on Thursday, December 19th. Robert W. Baird boosted their price objective on Illinois Tool Works from $240.00 to $250.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Evercore ISI lowered Illinois Tool Works from an “in-line” rating to an “underperform” rating and raised their target price for the company from $246.00 to $255.00 in a report on Wednesday, November 13th. Finally, Jefferies Financial Group upped their price target on Illinois Tool Works from $255.00 to $290.00 and gave the stock a “hold” rating in a report on Friday, December 6th. Two investment analysts have rated the stock with a sell rating, six have given a hold rating, two have given a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $270.11.

Illinois Tool Works Price Performance

ITW opened at $256.50 on Tuesday. The firm has a market cap of $75.74 billion, a P/E ratio of 22.19, a PEG ratio of 3.55 and a beta of 1.11. The company has a debt-to-equity ratio of 1.94, a quick ratio of 0.97 and a current ratio of 1.36. Illinois Tool Works has a fifty-two week low of $232.77 and a fifty-two week high of $279.13. The firm has a 50-day moving average of $264.26 and a 200 day moving average of $255.73.

Illinois Tool Works (NYSE:ITW) last posted its quarterly earnings results on Wednesday, October 30th. The industrial products company reported $2.65 EPS for the quarter, topping analysts’ consensus estimates of $2.53 by $0.12. Illinois Tool Works had a net margin of 21.66% and a return on equity of 97.06%. The company had revenue of $3.97 billion for the quarter, compared to analysts’ expectations of $4.02 billion. During the same quarter in the previous year, the firm posted $2.55 EPS. Illinois Tool Works’s revenue was down 1.6% on a year-over-year basis. On average, research analysts expect that Illinois Tool Works will post 10.13 EPS for the current year.

Illinois Tool Works Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, January 10th. Shareholders of record on Tuesday, December 31st were issued a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a yield of 2.34%. The ex-dividend date was Tuesday, December 31st. Illinois Tool Works’s dividend payout ratio (DPR) is presently 51.90%.

Hedge Funds Weigh In On Illinois Tool Works

Several large investors have recently modified their holdings of ITW. Sugar Maple Asset Management LLC purchased a new position in Illinois Tool Works in the 4th quarter valued at approximately $28,000. True Wealth Design LLC increased its holdings in Illinois Tool Works by 1,060.0% during the 3rd quarter. True Wealth Design LLC now owns 116 shares of the industrial products company’s stock worth $30,000 after acquiring an additional 106 shares during the period. Fairscale Capital LLC bought a new position in Illinois Tool Works in the 2nd quarter valued at $30,000. Catalyst Capital Advisors LLC purchased a new position in shares of Illinois Tool Works during the 3rd quarter valued at $32,000. Finally, Ulland Investment Advisors LLC bought a new position in shares of Illinois Tool Works in the fourth quarter worth $33,000. Hedge funds and other institutional investors own 79.77% of the company’s stock.

About Illinois Tool Works

Illinois Tool Works Inc manufactures and sells industrial products and equipment in the United States and internationally. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products.