Illinois Tool Works stock price target raised to $261 from $255 at Stifel

Investing.com - Stifel has raised its price target on Illinois Tool Works (NYSE:ITW) to $261.00 from $255.00 while maintaining a Hold rating on the stock. The $75 billion industrial giant, which currently trades at a P/E ratio of 22.4x, has shown resilient performance with revenue of $15.8 billion in the last twelve months.

The price target adjustment follows Illinois Tool Works’ quarterly earnings report, which showed slight top and bottom line beats for the period.

The company has also raised its guidance for 2025, reflecting current demand levels plus incremental pricing related to tariffs, updated automotive build projections, and easier year-over-year comparisons expected in the second half of 2025.

Stifel noted that management is confident in achieving the implied ramp in the second half of 2025, with all seven of the company’s segments expected to grow revenue and improve margins relative to the first half of the year.

These improvements are anticipated to come from enterprise initiatives, customer back innovation, and pricing adjustments to offset tariff costs, according to Stifel’s analysis.

In other recent news, Illinois Tool Works reported its financial results for the second quarter of 2025, surpassing analysts’ expectations with record earnings per share (EPS) and strong revenue figures. The company’s EPS was reported at $2.58, exceeding the forecast of $2.56. Revenue reached $4.1 billion, beating the anticipated $4.02 billion. These results highlight a robust financial performance for the company. In another development, Truist Securities downgraded Illinois Tool Works from Buy to Hold, maintaining a price target of $283.00. Despite the downgrade, Truist expressed a positive view of the company, noting its improved financial performance across various metrics. These include operating margins, return on invested capital, earnings, and dividends per share. These recent developments provide investors with important insights into Illinois Tool Works’ current financial standing and market perception.

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