Eaton Corporation plc operates as a power management company worldwide. The company's Electrical Americas and Electrical Global segment provides electrical components, industrial components, power distribution and assemblies, residential products, single and three phase power quality and connectivity products, wiring devices, circuit protection products, utility power distribution products, power reliability equipment, and services, as well as hazardous duty electrical equipment, emergency lighting, fire detection, explosion-proof instrumentation, and structural support systems. Its Aerospace segment offers pumps, motors, hydraulic power units, hoses and fittings, and electro-hydraulic pumps; valves, cylinders, electronic controls, electromechanical actuators, sensors, aircraft flap and slat systems, and nose wheel steering systems; hose, thermoplastic tubing products, fittings, adapters, couplings, and sealing and ducting products; air-to-air refueling systems, fuel pumps, fuel inerting products, sensors, and adapters and regulators; oxygen generation system, payload carriages, and thermal management products; and wiring connectors and cables, as well as hydraulic and bag filters, strainers and cartridges, and golf grips for manufacturers of commercial and military aircraft, and related after-market customers, as well as industrial applications. The company's Vehicle segment offers transmissions, clutches, hybrid power systems, superchargers, engine valves and valve actuation systems, locking and limited slip differentials, transmission controls, and fuel vapor components for the vehicle industry. Its eMobility segment provides voltage inverters, converters, fuses, circuit protection units, vehicle controls, power distribution systems, fuel tank isolation valves, and commercial vehicle hybrid systems. Eaton Corporation plc was founded in 1911 and is based in Dublin, Ireland.

Eaton Corporation, PLC

The market expects Eaton (ETN) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on October 31, 2024, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on theearnings call it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus Estimate
This power management company is expected to post quarterly earnings of $2.80 per share in its upcoming report, which represents a year-over-year change of +13.4%.
Revenues are expected to be $6.37 billion, up 8.3% from the year-ago quarter.
Estimate Revisions Trend
The consensus EPS estimate for the quarter has been revised 0.21% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Earnings Whisper
Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Eaton?
For Eaton, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.25%.
On the other hand, the stock currently carries a Zacks Rank of #2.
So, this combination indicates that Eaton will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?
While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Eaton would post earnings of $2.61 per share when it actually produced earnings of $2.73, delivering a surprise of +4.60%.
Over the last four quarters, the company has beaten consensus EPS estimates four times.
Bottom Line
An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Eaton appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
An Industry Player's Expected Results
Zurn Water (ZWS), another stock in the Zacks Manufacturing - Electronics industry, is expected to report earnings per share of $0.32 for the quarter ended September 2024. This estimate points to a year-over-year change of +10.3%. Revenues for the quarter are expected to be $406.45 million, up 2% from the year-ago quarter.
The consensus EPS estimate for Zurn Water has been revised 0.3% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of 1.73%.
This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that Zurn Water will most likely beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Eaton (ETN) Earnings Expected to Grow: What to Know Ahead of Next Week's Release

A.O. Smith (AOS) came out with quarterly earnings of $0.94 per share, beating the Zacks Consensus Estimate of $0.89 per share. This compares to earnings of $0.82 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +5.62%. A quarter ago, it was expected that this maker of water heaters and boilers would post earnings of $0.97 per share when it actually produced earnings of $1.07, delivering a surprise of +10.31%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
A.O. Smith, which belongs to the Zacks Manufacturing - Electronics industry, posted revenues of $942.5 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.69%. This compares to year-ago revenues of $902.6 million. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
A.O. Smith shares have added about 0.6% since the beginning of the year versus the S&P 500's gain of 16.9%.
What's Next for A.O. Smith?
While A.O. Smith has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for A.O. Smith was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.92 on $964.08 million in revenues for the coming quarter and $3.83 on $3.88 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Manufacturing - Electronics is currently in the top 26% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Eaton (ETN), is yet to report results for the quarter ended September 2025. The results are expected to be released on November 4.
This power management company is expected to post quarterly earnings of $3.06 per share in its upcoming report, which represents a year-over-year change of +7.8%. The consensus EPS estimate for the quarter has been revised 0% higher over the last 30 days to the current level.
Eaton's revenues are expected to be $7.06 billion, up 11.2% from the year-ago quarter.
Should You Invest in A. O. Smith Corporation (AOS)?
Before you invest in A. O. Smith Corporation (AOS), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.
Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

A.O. Smith (AOS) Tops Q3 Earnings and Revenue Estimates

For Immediate Release
Chicago, IL – October 27, 2025 – Today, Zacks Equity Research discusses Eaton Corporation plc ETN, Emerson Electric Co. EMR, Franklin Electric Co., Inc. FELE and Powell Industries, Inc. POWL.
Industry: Manufacturing Electronics
Link: https://www.zacks.com/commentary/2776319/4-manufacturing-electronics-stocks-to-consider-on-promising-industry-trends
The Zacks Manufacturing - Electronics industry is well-positioned to benefit from stable demand across the electronic services end market, growing adoption of advanced manufacturing technologies and product innovation efforts. A surge in e-commerce activities is also likely to aid the industry’s growth.
However, a slowdown in the manufacturing sector and supply-chain issues have been weighing on the performance of some industry participants. Eaton Corporation plc, Emerson Electric Co., Franklin Electric Co., Inc. and Powell Industries, Inc. are a few industry participants that are expected to capitalize on the opportunities.
Industry Description
The Zacks Manufacturing-Electronics industry comprises companies that manufacture electronic products like battery chargers, battery accessories, outdoor cabinet enclosures, power transmission products, electrical motion controls and motive power devices. Some industry players also provide water-treatment products, engineered flow components, process equipment and turn-key systems.
These companies offer state-of-the-art customer support and after-market services to end users. The firms are increasing investments in developing innovative technologies, boosting customer and employee experience, and supply-chain modernization programs. The manufacturing electronic companies sell products and services in various end markets, including robotics, semiconductor, defense, aerospace, medical equipment and satellite communications.
3 Manufacturing Electronics Industry Trends in Focus
Softness in the Manufacturing Sector: Persistent weakness in the manufacturing sector has been denting the demand in the industry. After witnessing expansion in economic activities for the second consecutive month in February 2025, the manufacturing sector contracted for seven successive months in September.
Per the Institute for Supply Management’s (ISM) report, the Manufacturing Purchasing Manager’s Index touched 49.1% in September. A figure less than 50% indicates a contraction in manufacturing activity. Also, the New Orders Index contracted, registering 48.9% in the same month. In addition, supply-chain disruptions, especially related to the availability of electrical and electronic components, remain a concern for industry participants of late. This is evident from the latest ISM report’s Supplier Deliveries Index, which reflected slower deliveries for the second consecutive month in September.
Strength in the Electronics Services Market: Despite a slowdown in manufacturing activities, demand across key end markets has been stable. Electronics manufacturers are steadily benefiting from the higher adoption of advanced manufacturing technologies and processes by original equipment manufacturers. The requirement for integrating advanced electronic components into machinery and electronic devices has been supporting the electronics manufacturing services market.
In addition, a few industry players with wide exposure to the booming medical and life science markets are witnessing a positive momentum across their businesses due to sturdy demand for their products and solutions. A surge in the e-commerce business has also been boosting several industry participants’ prospects.
Technological Advancement Benefits: With the gradual development of business models and cutting-edge technologies, several industry players have been banking on digitizing their business operations for a while now. With digitization, businesses are gaining a detailed insight into their operational performances, demand cycles, delivery status and supply-chain issues. This, in turn, is helping them bolster their competitiveness in the market with enhanced operational productivity, product quality and lower costs.
Zacks Industry Rank Indicates Bright Prospects
The Zacks Manufacturing – Electronics industry, housed within the broader Zacks Industrial Products sector, currently carries a Zacks Industry Rank #84. This rank places it in the top 35% of 243 Zacks industries.
The group’s Zacks Industry Rank, basically the average of the Zacks Rank of all the member stocks, indicates bullish near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.
The industry’s positioning in the top 50% of the Zacks-Ranked industries is a result of the solid earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are putting more faith in this group's earnings growth potential. The industry’s earnings estimates for 2025 have inched up 0.1% over the past year.
Given the strong near-term prospects of the industry, we will present a few stocks that you may want to consider for your portfolio. However, it is worth taking a look at the industry’s shareholder returns and current valuation first.
Industry Outperforms Sector & Underperforms S&P 500
The Zacks Manufacturing – Electronics industry has outperformed the broader sector and underperformed the Zacks S&P 500 composite index over the past year. Over this period, the industry has grown 8.9% compared with the sector’s rise of 1.6% and the S&P 500 Index’s increase of 17.5%.
Industry's Current Valuation
On the basis of the forward 12-month Price-to-Earnings (P/E), which is a commonly used multiple for valuing manufacturing stocks, the industry is currently trading at 22.44X compared with the S&P 500’s 23.39X. It is above the sector’s P/E ratio of 19.75X.
Over the past five years, the industry has traded as high as 25.51X, as low as 14.65X and at the median of 21.07X.
4 Manufacturing Electronics Stocks to Keep a Tab On
Franklin Electric: Based in Fort Wayne, IN, Franklin Electric is engaged in providing water and fuel pumping systems to the industrial and petroleum equipment distributors, oil and utility companies and original equipment manufacturers. FELE is well-positioned to benefit from solid momentum in the Water Systems segment, driven by an increase in demand for large dewatering equipment and water treatment products. Also, higher demand for fuel management systems and pumping systems within the Energy Systems segment bodes well for it.
In the past 60 days, estimates for this Zacks Rank #2 (Buy) company’s earnings have increased 0.5% for 2025. Although shares of Franklin Electric lost 2.3% in the past year, they rose 11.3% in the past six months. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Powell: Headquartered in Houston, TX, Powell engages in manufacturing and supplying custom-engineered equipment and systems that are used for distributing, controlling and monitoring the flow of electrical energy. The company is benefiting from strength in the oil and gas, and electric utility markets. Also, a strong pipeline of projects within the LNG market and its growing presence across the data center and electric utility sector bode well for POWL.
Shares of this Zacks Rank #2 company have soared 34.4% in the past year. The Zacks Consensus Estimate for Powell’s fiscal 2025 (ended September 2025) earnings has remained steady in the past 60 days.
Emerson: Based in St. Louis, MO, this global engineering and technology company offers a wide range of products and services to customers in the consumer, commercial and industrial markets. Emerson is witnessing solid momentum in the Final Control business, driven by strength in the power end markets. Robust growth across the Americas and Asia, Middle East & Africa regions is buoying EMR’s Measurement & Analytical business.
Shares of this Zacks Rank #3 (Hold) company have gained 23.2% in the past year. The Zacks Consensus Estimate for Emerson’s fiscal 2025 (ended September 2025) earnings has increased a penny in the past 60 days.
Eaton: Headquartered in Dublin, Ireland, Eaton is a diversified power management company and a global technology leader in electrical components and systems. ETN is benefiting from rising demand from the new AI-data center and contributions from its organic assets. The company is also poised to benefit from the megatrends, including the reindustrialization process started across the globe.
This Zacks Rank #3 company’s shares have gained 8.1% in the past year. The Zacks Consensus Estimate for Eaton’s 2025 earnings has remained steady in the past 60 days.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Zacks Industry Outlook Highlights Eaton Corporation, Emerson Electric, Franklin Electric and Powell Industries

Key Points
AI data centers typically operate at 20 to 40 kilowatts per rack, with designs targeting 50 to 100 kilowatts or more; however, many can't break ground because the grids lack sufficient capacity.
Power bottlenecks favor physical infrastructure companies over software optimization.
These businesses capture spending before chips get installed, creating revenue tied to AI deployment regardless of architecture.
Artificial intelligence (AI) has an energy problem that software can't solve. Racks of Nvidia H100-class systems commonly run 20 to 40 kilowatts, and many new AI designs target 50 to 100 kilowatts or more with liquid cooling. The result: Hyperscalers are choosing data center locations based on power grid capacity rather than tax breaks or fiber access, and utility companies are scrambling to upgrade transmission infrastructure that wasn't designed for industrial computing loads.
This power constraint is creating winners in unglamorous businesses. Thermal management specialists are designing cooling for unprecedented heat densities. Electrical equipment makers are building distribution gear that stabilizes sudden graphics processing unit (GPU) power surges. Specialty contractors are constructing transmission lines that must be completed before facilities can break ground.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
These three AI infrastructure plays capture unavoidable costs that scale with every new AI cluster, regardless of which chip architecture ultimately dominates.
The thermal management specialist
Vertiv (NYSE: VRT) designs and manufactures thermal management systems, power distribution units, and turnkey modular data center halls for AI deployments. The company's cooling solutions address the challenge of AI racks that commonly run 20 to 40 kilowatts, with many designs targeting 50 to 100 kilowatts or more compared to the 5 to 15 kilowatts traditional server racks produce, requiring both air-cooled and liquid-cooled architectures.
Q3 2025 results showed strong performance, with raised full-year guidance reflecting order backlog tied directly to AI infrastructure builds. The equipment sales model creates multiyear revenue visibility as cooling systems require regular maintenance and eventual replacement, while new data center construction drives incremental demand from hyperscalers, colocation providers, and enterprise customers.
The electrical distribution leader
Eaton (NYSE: ETN) manufactures electrical power distribution equipment, backup power systems, and control software for commercial and industrial customers, including data centers. The company's data center portfolio includes uninterruptible power supplies, power distribution units, switchgear, and busway systems that manage electricity from the utility connection down to individual server racks.
Eaton recently launched detection and control systems designed to manage the sudden power bursts GPU clusters create when hundreds of processors spin up simultaneously. The systems address grid-to-chip instability that wasn't a concern in traditional server environments, where power draw remained relatively constant.
The company's ability to deliver integrated power solutions from utility-level gear through rack distribution creates a competitive advantage in complex builds, while decade-plus replacement cycles for major power gear generate recurring service revenue alongside new construction demand.
The grid infrastructure builder
Quanta Services (NYSE: PWR) provides specialty contracting services for electric power, pipeline, and communications infrastructure, including the design and construction of transmission lines and substations.
The company's electric power division handles the large-scale projects utility companies need to complete before hyperscalers can energize AI campuses. This work includes building high-voltage transmission lines, upgrading substations to handle increased load, and installing transformers that step down power from transmission voltages to usable levels.
Recent revenue growth and a raised 2025 outlook reflect contracts tied to grid modernization projects that utility companies must complete before data centers can break ground. Quanta captures infrastructure spending that happens months or years before the first GPU gets racked, with multiyear project timelines providing visibility into revenue beyond 2026.
The power infrastructure advantage
These three AI spillover stocks won't move in lockstep. Quanta's revenue lumps with project milestones, Eaton's business extends beyond data centers, and Vertiv faces competition from legacy HVAC manufacturers. But the physics work in each company's favor: AI clusters need power delivery and thermal management before any software runs.
Furthermore, the AI power bottleneck isn't temporary. As AI workloads scale and new architectures emerge, the constraint remains: Every processor needs electricity and cooling. These three capture infrastructure spending that happens regardless of whether future AI runs on Nvidia GPUs, custom accelerators, or architectures that don't even exist yet.
Should you invest $1,000 in Vertiv right now?
Before you buy stock in Vertiv, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vertiv wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $590,357!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,141,748!*
Now, it’s worth noting Stock Advisor’s total average return is 1,033% — a market-crushing outperformance compared to 193% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of October 20, 2025
George Budwell has positions in Nvidia. The Motley Fool has positions in and recommends Nvidia and Quanta Services. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 AI Infrastructure Stocks Solving the Power Crisis

The Zacks Manufacturing - Electronics industry is well-positioned to benefit from stable demand across the electronic services end market, growing adoption of advanced manufacturing technologies and product innovation efforts. A surge in e-commerce activities is also likely to aid the industry’s growth.
However, a slowdown in the manufacturing sector and supply-chain issues have been weighing on the performance of some industry participants. Eaton Corporation plc ETN, Emerson Electric Co. EMR, Franklin Electric Co., Inc. FELE and Powell Industries, Inc. POWL are a few industry participants that are expected to capitalize on the opportunities.
Industry Description
The Zacks Manufacturing-Electronics industry comprises companies that manufacture electronic products like battery chargers, battery accessories, outdoor cabinet enclosures, power transmission products, electrical motion controls and motive power devices. Some industry players also provide water-treatment products, engineered flow components, process equipment and turn-key systems. These companies offer state-of-the-art customer support and after-market services to end users. The firms are increasing investments in developing innovative technologies, boosting customer and employee experience, and supply-chain modernization programs. The manufacturing electronic companies sell products and services in various end markets, including robotics, semiconductor, defense, aerospace, medical equipment and satellite communications.
3 Manufacturing Electronics Industry Trends in Focus
Softness in the Manufacturing Sector: Persistent weakness in the manufacturing sector has been denting the demand in the industry. After witnessing expansion in economic activities for the second consecutive month in February 2025, the manufacturing sector contracted for seven successive months in September. Per the Institute for Supply Management’s (ISM) report, the Manufacturing Purchasing Manager’s Index touched 49.1% in September. A figure less than 50% indicates a contraction in manufacturing activity. Also, the New Orders Index contracted, registering 48.9% in the same month. In addition, supply-chain disruptions, especially related to the availability of electrical and electronic components, remain a concern for industry participants of late. This is evident from the latest ISM report’s Supplier Deliveries Index, which reflected slower deliveries for the second consecutive month in September.
Strength in the Electronics Services Market: Despite a slowdown in manufacturing activities, demand across key end markets has been stable. Electronics manufacturers are steadily benefiting from the higher adoption of advanced manufacturing technologies and processes by original equipment manufacturers. The requirement for integrating advanced electronic components into machinery and electronic devices has been supporting the electronics manufacturing services market. In addition, a few industry players with wide exposure to the booming medical and life science markets are witnessing a positive momentum across their businesses due to sturdy demand for their products and solutions. A surge in the e-commerce business has also been boosting several industry participants’ prospects.
Technological Advancement Benefits: With the gradual development of business models and cutting-edge technologies, several industry players have been banking on digitizing their business operations for a while now. With digitization, businesses are gaining a detailed insight into their operational performances, demand cycles, delivery status and supply-chain issues. This, in turn, is helping them bolster their competitiveness in the market with enhanced operational productivity, product quality and lower costs.
Zacks Industry Rank Indicates Bright Prospects
The Zacks Manufacturing – Electronics industry, housed within the broader Zacks Industrial Products sector, currently carries a Zacks Industry Rank #84. This rank places it in the top 35% of 243 Zacks industries.
The group’s Zacks Industry Rank, basically the average of the Zacks Rank of all the member stocks, indicates bullish near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.
The industry’s positioning in the top 50% of the Zacks-Ranked industries is a result of the solid earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are putting more faith in this group's earnings growth potential. The industry’s earnings estimates for 2025 have inched up 0.1% over the past year.
Given the strong near-term prospects of the industry, we will present a few stocks that you may want to consider for your portfolio. However, it is worth taking a look at the industry’s shareholder returns and current valuation first.
Industry Outperforms Sector & Underperforms S&P 500
The Zacks Manufacturing – Electronics industry has outperformed the broader sector and underperformed the Zacks S&P 500 composite index over the past year. Over this period, the industry has grown 8.9% compared with the sector’s rise of 1.6% and the S&P 500 Index’s increase of 17.5%.
One-Year Price Performance
Industry's Current Valuation
On the basis of the forward 12-month Price-to-Earnings (P/E), which is a commonly used multiple for valuing manufacturing stocks, the industry is currently trading at 22.44X compared with the S&P 500’s 23.39X. It is above the sector’s P/E ratio of 19.75X.
Over the past five years, the industry has traded as high as 25.51X, as low as 14.65X and at the median of 21.07X, as the chart below shows.
Price-to-Earnings Ratio vs SP500
Price-to-Earnings Ratio vs Sector
4 Manufacturing Electronics Stocks to Keep a Tab on
Franklin Electric: Based in Fort Wayne, IN, Franklin Electric is engaged in providing water and fuel pumping systems to the industrial and petroleum equipment distributors, oil and utility companies and original equipment manufacturers. FELE is well-positioned to benefit from solid momentum in the Water Systems segment, driven by an increase in demand for large dewatering equipment and water treatment products. Also, higher demand for fuel management systems and pumping systems within the Energy Systems segment bodes well for it.
In the past 60 days, estimates for this Zacks Rank #2 (Buy) company’s earnings have increased 0.5% for 2025. Although shares of Franklin Electric lost 2.3% in the past year, they rose 11.3% in the past six months. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Price and Consensus: FELE
Powell: Headquartered in Houston, TX, Powell engages in manufacturing and supplying custom-engineered equipment and systems that are used for distributing, controlling and monitoring the flow of electrical energy. The company is benefiting from strength in the oil and gas, and electric utility markets. Also, a strong pipeline of projects within the LNG market and its growing presence across the data center and electric utility sector bode well for POWL.
Shares of this Zacks Rank #2 company have soared 34.4% in the past year. The Zacks Consensus Estimate for Powell’s fiscal 2025 (ended September 2025) earnings has remained steady in the past 60 days.
Price and Consensus: POWL
Emerson: Based in St. Louis, MO, this global engineering and technology company offers a wide range of products and services to customers in the consumer, commercial and industrial markets. Emerson is witnessing solid momentum in the Final Control business, driven by strength in the power end markets. Robust growth across the Americas and Asia, Middle East & Africa regions is buoying EMR’s Measurement & Analytical business.
Shares of this Zacks Rank #3 (Hold) company have gained 23.2% in the past year. The Zacks Consensus Estimate for Emerson’s fiscal 2025 (ended September 2025) earnings has increased a penny in the past 60 days.
Price and Consensus: EMR
Eaton: Headquartered in Dublin, Ireland, Eaton is a diversified power management company and a global technology leader in electrical components and systems. ETN is benefiting from rising demand from the new AI-data center and contributions from its organic assets. The company is also poised to benefit from the megatrends, including the reindustrialization process started across the globe.
This Zacks Rank #3 company’s shares have gained 8.1% in the past year. The Zacks Consensus Estimate for Eaton’s 2025 earnings has remained steady in the past 60 days.
Price and Consensus: ETN
Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

4 Manufacturing Electronics Stocks to Consider on Promising Industry Trends

In the latest close session, Eaton (ETN) was down 3.44% at $360.60. The stock fell short of the S&P 500, which registered a loss of 0.53% for the day. Elsewhere, the Dow lost 0.71%, while the tech-heavy Nasdaq lost 0.93%.
Shares of the power management company have appreciated by 1.34% over the course of the past month, underperforming the Industrial Products sector's gain of 1.64%, and outperforming the S&P 500's gain of 1.13%.
The upcoming earnings release of Eaton will be of great interest to investors. The company's earnings report is expected on November 4, 2025. The company's upcoming EPS is projected at $3.06, signifying a 7.75% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $7.06 billion, indicating a 11.23% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $12.08 per share and a revenue of $27.57 billion, demonstrating changes of +11.85% and +10.83%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Eaton. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.03% higher. Eaton currently has a Zacks Rank of #3 (Hold).
In the context of valuation, Eaton is at present trading with a Forward P/E ratio of 30.91. This represents a premium compared to its industry average Forward P/E of 24.34.
We can additionally observe that ETN currently boasts a PEG ratio of 2.67. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Manufacturing - Electronics stocks are, on average, holding a PEG ratio of 1.97 based on yesterday's closing prices.
The Manufacturing - Electronics industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 66, this industry ranks in the top 27% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Here's Why Eaton (ETN) Fell More Than Broader Market

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the The Industrial Select Sector SPDR Fund (Symbol: XLI) where we have detected an approximate $154.9 million dollar outflow -- that's a 0.6% decrease week over week (from 154,276,000 to 153,276,000). Among the largest underlying components of XLI, in trading today Boeing Co. (Symbol: BA) is down about 0.9%, Eaton Corp plc (Symbol: ETN) is down about 3%, and Honeywell International Inc (Symbol: HON) is lower by about 0.1%. For a complete list of holdings, visit the XLI Holdings page » The chart below shows the one year price performance of XLI, versus its 200 day moving average:
Looking at the chart above, XLI's low point in its 52 week range is $112.75 per share, with $155.94 as the 52 week high point — that compares with a last trade of $153.99. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Also see:
G Next Dividend Date
BSJN shares outstanding history
Top Ten Hedge Funds Holding QCOR
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

XLI, BA, ETN, HON: ETF Outflow Alert

In the latest close session, Eaton (ETN) was down 1.12% at $373.46. Elsewhere, the Dow gained 0.47%, while the tech-heavy Nasdaq lost 0.16%.
Shares of the power management company have depreciated by 0.16% over the course of the past month, underperforming the Industrial Products sector's gain of 1.12%, and the S&P 500's gain of 1.16%.
Market participants will be closely following the financial results of Eaton in its upcoming release. The company plans to announce its earnings on November 4, 2025. The company's earnings per share (EPS) are projected to be $3.06, reflecting a 7.75% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $7.06 billion, up 11.23% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $12.08 per share and a revenue of $27.57 billion, representing changes of +11.85% and +10.83%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Eaton. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.03% higher. Eaton is holding a Zacks Rank of #3 (Hold) right now.
With respect to valuation, Eaton is currently being traded at a Forward P/E ratio of 31.26. This signifies a premium in comparison to the average Forward P/E of 24.34 for its industry.
Investors should also note that ETN has a PEG ratio of 2.7 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Manufacturing - Electronics industry stood at 1.97 at the close of the market yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Eaton (ETN) Stock Moves -1.12%: What You Should Know

Sunoco announced that the Board of Directors of SUN's general partner declared a distribution of $0.9202 per common unit, or $3.6808 on an annualized basis, for the quarter ended September 30, 2025. This represents an increase of approximately 1.25%, or $0.0114 per common unit, as compared with the quarter ended June 30, 2025. This is the fourth consecutive quarterly increase in SUN's distribution and is consistent with SUN's capital allocation strategy and 2025 business outlook which includes an annual distribution growth rate of at least 5%. Since 2022, SUN has increased distributions by approximately 11% underscoring the Partnership's ongoing commitment to returning capital to its unitholders. The quarterly distribution will be paid on November 19, 2025, to common unitholders of record as of the close of business on October 30, 2025.
HII announced today that its Board of Directors has declared a quarterly cash dividend of $1.38 per share, a $0.03 increase over the $1.35 per share dividend paid in each of the prior four quarters. The $1.38 per share dividend will be payable on Dec. 12, 2025, to shareholders of record as of the close of business on Nov. 28, 2025.
The Board of Directors of intelligent power management company Eaton today declared a quarterly dividend of $1.04 per ordinary share. The dividend is payable November 21, 2025, to shareholders of record at the close of business on November 6, 2025. Eaton has paid dividends on its shares every year since 1923.
The Board of Directors of Brunswick has approved a quarterly dividend on its common stock of $0.43 per share. The dividend will be payable on December 15, 2025, to the holders of such Common Stock of record at the close of business on November 26, 2025.
Today, the board of directors of Whirlpool declared a quarterly dividend of $0.90 per share on the Company's common stock. The dividend is payable on December 15, 2025, to stockholders of record at the close of business on November 21, 2025.
VIDEO: Daily Dividend Report: SUN,HII,ETN,BC,WHR
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Daily Dividend Report: SUN,HII,ETN,BC,WHR

Shareholders of Eaton Corp plc (Symbol: ETN) looking to boost their income beyond the stock's 1.1% annualized dividend yield can sell the January 2028 covered call at the $500 strike and collect the premium based on the $30.10 bid, which annualizes to an additional 3.6% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 4.7% annualized rate in the scenario where the stock is not called away. Any upside above $500 would be lost if the stock rises there and is called away, but ETN shares would have to climb 33.4% from current levels for that to occur, meaning that in the scenario where the stock is called, the shareholder has earned a 41.5% return from this trading level, in addition to any dividends collected before the stock was called.
In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. In the case of Eaton Corp plc, looking at the dividend history chart for ETN below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 1.1% annualized dividend yield.
Below is a chart showing ETN's trailing twelve month trading history, with the $500 strike highlighted in red:
The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2028 covered call at the $500 strike gives good reward for the risk of having given away the upside beyond $500. (Do most options expire worthless? This and six other common options myths debunked). We calculate the trailing twelve month volatility for Eaton Corp plc (considering the last 250 trading day closing values as well as today's price of $376.18) to be 37%. For other call options contract ideas at the various different available expirations, visit the ETN Stock Options page of StockOptionsChannel.com.
In mid-afternoon trading on Tuesday, the put volume among S&P 500 components was 616,962 contracts, with call volume at 1.27M, for a put:call ratio of 0.48 so far for the day. Compared to the long-term median put:call ratio of .65, that represents very high call volume relative to puts; in other words, buyers are preferring calls in options trading so far today. Find out which 15 call and put options traders are talking about today.
Also see:
SJW shares outstanding history
LEE Stock Predictions
CBIO market cap history
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	31.75 21.58
Price/Sales	4.85 1.29
P/B	6.40 2.25
P/FCF	33.43 17.83

Indicator	TTM Median
ROE	19.90 15.71
ROA	9.76 6.45
ROI	13.77 9.56
Net Worth	120.48 1.27
Quick Ratio	0.96 1.16
Current Ratio	1.50 1.57

Indicator	TTM Median
Net Profit Margin	15.25 7.31
Operating Margin	18.62 10.18
Gross Margin	38.20 32.50
Return on tangible equity	0.00 25.81

Indicator	TTM Median
EPS	2.72 0.49
EPS Forecast	2.70 0.53
Revenue	6.24B 194.00M
Gross Profit	2.43B —
EBITDA	1.46B —

Eaton Corporation, PLC

TTM metrics for the latest quarter under IFRS and their historical dynamics

Valuation

Debts

Efficiency

Other ratios

Revenue