Eaton Earnings Preview: Analyts Expect Higher Earnings, Revenue from Prior Quarter

Eaton ETN unveils its next round of earnings this Monday, July 25, 2011. Here's an advanced look at Eaton's second quarter earnings report.

Earnings and Revenue:

Wall Street expects a positive EPS reading of 95 cents per share and revenues of $4.01 billion. We'll have to wait for Monday to see if Eaton falls in line with analyst expectations and reports an estimated increase in both EPS and revenue from the year-ago quarter.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter	Q1	Q4	Q3	Q2
EPS Estimate	$0.80	$0.83	$0.69	$0.58
EPS Actual	$0.84	$0.85	$0.80	$0.68

Stock Performance:

At last check, shares of Eaton were trading at $51.45. Since January 1st, shares of Eaton have given investors a return of 2.7%. For a full 12 months, the return has risen by 26.4%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

• Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for Eaton is a Hold. Over the past three months this rating's strength has declined slightly.

Competitors:

Want to check out the performance of Eaton closest competitors? Take a look at some of the company's peers in the industrials sector.

• Crane CR: Moderate Buy with a $0.76 recent quarter EPS
• Dover DOV: Hold with a $0.92 recent quarter EPS
• General Electric Company GE: Moderate Buy with a $0.31 recent quarter EPS
• Parker Hannifin PH: Hold with a $1.68 recent quarter EPS

Eaton is in the machine industrial industry, which has experienced price/earnings growth of 1.2%.

Finally, a description of the company's main areas of operation: Eaton is a power management company offering services in the sectors of electricity, hydraulics, aerospace, truck and automotive.

Take Action:

There is your peek into Eaton's upcoming earnings numbers, including some competitors to watch around the time of the announcement. Check back in with us after the announcement for a full recap of the announcement. In the meantime, here are some links to explore today.

• To see up-to-date news on Eaton, click here
• To see other trading ideas, click here
• To see other company earnings recaps, click here