Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The valuation ratios exhibit varied trends over the observed period, spanning from March 31, 2022, to December 31, 2025. Generally, the ratios demonstrate an increasing trend throughout 2022 and into 2023, followed by more fluctuation in subsequent periods. A notable increase is observed in several ratios during 2023 and early 2024, potentially reflecting shifts in market perception or company performance. The latter half of the period shows some stabilization, though continued variability is present.
- Price to Earnings (P/E) Ratio
- The P/E ratio generally increased from 26.37 in March 2022 to 35.88 in December 2022, indicating increasing investor expectations for future earnings. It then fluctuated, peaking at 37.41 in March 2024 before declining to 35.55 by December 2025. The ratio demonstrates a generally elevated level throughout the period, suggesting a premium valuation relative to earnings.
- Price to Operating Profit (P/OP) Ratio
- Similar to the P/E ratio, the P/OP ratio shows an upward trend through 2022 and into 2023, rising from 18.52 to 29.72. This increase suggests investors were willing to pay more for each dollar of operating profit. The ratio experienced volatility between 2023 and 2025, with a peak of 31.13 in March 2024 and a final value of 27.89 in December 2025. The overall trend indicates a strengthening relationship between price and operating profitability.
- Price to Sales (P/S) Ratio
- The P/S ratio exhibits the most pronounced increase among the observed ratios. Starting at 2.96 in March 2022, it rose steadily to reach 4.98 in December 2022 and peaked at 5.51 in September 2025. This substantial increase suggests a significant expansion in the market’s valuation of the company’s revenue. While fluctuating, the ratio remained at a higher level throughout the latter part of the period, indicating continued investor confidence in revenue generation.
- Price to Book Value (P/BV) Ratio
- The P/BV ratio demonstrates a consistent upward trend, increasing from 3.52 in March 2022 to 7.48 in December 2025. This indicates that the market increasingly values the company’s assets above their book value, potentially reflecting intangible assets or growth prospects. The ratio’s steady climb suggests a growing perception of the company’s net asset value and its ability to generate returns on those assets.
In summary, the observed valuation ratios generally increased through 2023, indicating a strengthening market valuation. While some fluctuation occurred in the later periods, the ratios generally remained at elevated levels, suggesting continued investor optimism. The P/S ratio experienced the most significant increase, while the P/BV ratio demonstrated the most consistent upward trend.
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Price to Earnings (P/E)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 387,900,000 | 388,400,000 | 389,300,000 | 391,300,000 | 392,000,000 | 395,200,000 | 398,100,000 | 399,800,000 | 399,500,000 | 399,300,000 | 399,000,000 | 398,600,000 | 398,000,000 | 397,700,000 | 398,300,000 | 399,000,000 | |||||
| Selected Financial Data (US$) | |||||||||||||||||||||
| Net income attributable to Eaton ordinary shareholders (in millions) | 1,131) | 1,010) | 982) | 964) | 971) | 1,009) | 993) | 821) | 945) | 891) | 744) | 638) | 722) | 607) | 601) | 532) | |||||
| Earnings per share (EPS)2 | 10.54 | 10.11 | 10.08 | 10.06 | 9.68 | 9.53 | 9.17 | 8.51 | 8.06 | 7.50 | 6.79 | 6.44 | 6.19 | 5.76 | 5.81 | 5.56 | |||||
| Share price1, 3 | 374.59 | 377.72 | 356.45 | 299.71 | 290.38 | 331.58 | 297.88 | 318.26 | 289.00 | 207.91 | 219.00 | 173.25 | 172.78 | 151.64 | 146.39 | 146.58 | |||||
| Valuation Ratio | |||||||||||||||||||||
| P/E ratio4 | 35.55 | 37.36 | 35.35 | 29.79 | 30.00 | 34.78 | 32.49 | 37.41 | 35.88 | 27.72 | 32.23 | 26.89 | 27.93 | 26.32 | 25.21 | 26.37 | |||||
| Benchmarks | |||||||||||||||||||||
| P/E Ratio, Competitors5 | |||||||||||||||||||||
| Boeing Co. | 97.12 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | 40.55 | 28.80 | 21.23 | 15.18 | 15.65 | 18.85 | 14.35 | 14.40 | 15.55 | 12.95 | 17.55 | 15.65 | 19.15 | 15.15 | 14.29 | 18.28 | |||||
| GE Aerospace | 36.01 | 40.12 | 35.93 | 28.84 | 33.42 | 30.60 | 40.07 | 52.90 | 16.18 | 12.72 | 13.82 | 12.78 | — | — | — | — | |||||
| Honeywell International Inc. | 32.62 | 22.86 | 24.93 | 23.88 | 23.10 | 23.93 | 22.74 | 21.95 | 22.73 | 21.44 | 23.92 | 25.30 | 26.97 | 24.58 | 25.26 | 25.10 | |||||
| Lockheed Martin Corp. | 28.55 | 26.97 | 22.81 | 19.67 | 20.18 | 20.49 | 17.74 | 16.29 | 15.35 | 15.71 | 16.11 | 22.32 | 20.48 | 19.28 | 22.00 | 19.45 | |||||
| RTX Corp. | 39.61 | 35.20 | 32.49 | 33.04 | 36.25 | 35.41 | 66.73 | 38.75 | 38.31 | 35.32 | 22.79 | 26.67 | 27.59 | 29.12 | 29.83 | 35.16 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2025 Calculation
EPS
= (Net income attributable to Eaton ordinary shareholdersQ4 2025
+ Net income attributable to Eaton ordinary shareholdersQ3 2025
+ Net income attributable to Eaton ordinary shareholdersQ2 2025
+ Net income attributable to Eaton ordinary shareholdersQ1 2025)
÷ No. shares of common stock outstanding
= (1,131,000,000 + 1,010,000,000 + 982,000,000 + 964,000,000)
÷ 387,900,000 = 10.54
3 Closing price as at the filing date of Eaton Corp. plc Quarterly or Annual Report.
4 Q4 2025 Calculation
P/E ratio = Share price ÷ EPS
= 374.59 ÷ 10.54 = 35.55
5 Click competitor name to see calculations.
The price-to-earnings (P/E) ratio for the observed period demonstrates considerable fluctuation. Initially, the ratio exhibited relative stability between March 2022 and June 2022, ranging from 25.21 to 26.37. A subsequent increase was noted through December 2022, peaking at 27.93, before experiencing a decline in the first quarter of 2023.
A significant upward trend in the P/E ratio became apparent in the second quarter of 2023, reaching a high of 32.23. This increase coincided with rising earnings per share. The ratio then decreased slightly in the third quarter of 2023, followed by a substantial increase to 35.88 in December 2023. The first half of 2024 saw continued volatility, with the P/E ratio peaking at 37.41 in March and then decreasing to 32.49 in June.
- Overall Trend
- The P/E ratio generally trended upwards over the entire period, despite several quarterly declines. The ratio moved from a low of 25.21 in June 2022 to a high of 37.41 in March 2024. The latter half of the observed period (2024-2025) shows a more moderate range, fluctuating between approximately 29 and 37.
- Recent Performance (2024-2025)
- From March 2024 through December 2025, the P/E ratio demonstrated a pattern of oscillation. While remaining within a defined band, the ratio did not exhibit a clear directional trend. The most recent observation, December 2025, shows a P/E ratio of 35.55, slightly below the peak observed in March 2024.
The observed fluctuations in the P/E ratio suggest a dynamic market valuation influenced by both share price and earnings per share. The increases in the ratio often correlate with increases in earnings per share, but the magnitude of the P/E change indicates that investor sentiment and market conditions also play a significant role.
- Correlation with EPS
- Generally, increases in earnings per share were accompanied by increases in the P/E ratio, indicating positive investor response to improved profitability. However, the relationship was not always linear, suggesting other factors influenced the valuation.
The P/E ratio’s movement throughout the period indicates a potentially evolving investor perception of the company’s future growth prospects and risk profile.
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Price to Operating Profit (P/OP)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 387,900,000 | 388,400,000 | 389,300,000 | 391,300,000 | 392,000,000 | 395,200,000 | 398,100,000 | 399,800,000 | 399,500,000 | 399,300,000 | 399,000,000 | 398,600,000 | 398,000,000 | 397,700,000 | 398,300,000 | 399,000,000 | |||||
| Selected Financial Data (US$) | |||||||||||||||||||||
| Operating income (in millions) | 1,385) | 1,367) | 1,256) | 1,201) | 1,224) | 1,211) | 1,193) | 1,004) | 1,078) | 1,060) | 946) | 801) | 875) | 790) | 711) | 643) | |||||
| Operating profit per share2 | 13.43 | 13.00 | 12.57 | 12.34 | 11.82 | 11.35 | 10.89 | 10.23 | 9.72 | 9.22 | 8.55 | 7.97 | 7.59 | 7.05 | 8.11 | 7.91 | |||||
| Share price1, 3 | 374.59 | 377.72 | 356.45 | 299.71 | 290.38 | 331.58 | 297.88 | 318.26 | 289.00 | 207.91 | 219.00 | 173.25 | 172.78 | 151.64 | 146.39 | 146.58 | |||||
| Valuation Ratio | |||||||||||||||||||||
| P/OP ratio4 | 27.89 | 29.06 | 28.37 | 24.29 | 24.57 | 29.21 | 27.36 | 31.13 | 29.72 | 22.55 | 25.61 | 21.74 | 22.78 | 21.52 | 18.06 | 18.52 | |||||
| Benchmarks | |||||||||||||||||||||
| P/OP Ratio, Competitors5 | |||||||||||||||||||||
| Boeing Co. | 42.88 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | 32.30 | 23.39 | 17.41 | 12.44 | 12.92 | 15.15 | 11.63 | 11.78 | 12.40 | 10.25 | 13.99 | 12.67 | 16.25 | 14.25 | 13.65 | 17.16 | |||||
| GE Aerospace | 28.45 | 30.56 | 28.71 | 21.98 | 26.78 | 25.88 | 26.34 | 28.91 | 27.11 | 22.82 | 26.69 | 20.39 | 19.88 | 15.70 | 13.51 | 17.08 | |||||
| Honeywell International Inc. | 27.68 | 18.48 | 18.54 | 18.00 | 17.71 | 18.68 | 17.90 | 17.33 | 18.15 | 15.87 | 18.29 | 19.31 | 20.84 | 21.54 | 21.51 | 22.09 | |||||
| Lockheed Martin Corp. | 18.53 | 18.58 | 16.10 | 14.72 | 15.35 | 15.88 | 14.04 | 12.99 | 12.49 | 12.87 | 13.18 | 15.02 | 14.06 | 13.30 | 11.97 | 13.61 | |||||
| RTX Corp. | 28.67 | 26.32 | 24.00 | 22.67 | 26.47 | 26.63 | 52.96 | 35.67 | 34.37 | 35.06 | 20.81 | 24.68 | 26.48 | 24.82 | 26.15 | 29.36 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2025 Calculation
Operating profit per share
= (Operating incomeQ4 2025
+ Operating incomeQ3 2025
+ Operating incomeQ2 2025
+ Operating incomeQ1 2025)
÷ No. shares of common stock outstanding
= (1,385,000,000 + 1,367,000,000 + 1,256,000,000 + 1,201,000,000)
÷ 387,900,000 = 13.43
3 Closing price as at the filing date of Eaton Corp. plc Quarterly or Annual Report.
4 Q4 2025 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 374.59 ÷ 13.43 = 27.89
5 Click competitor name to see calculations.
The Price to Operating Profit (P/OP) ratio for the observed period demonstrates considerable fluctuation. Initially, the ratio exhibited a moderate increase followed by a period of decline and subsequent volatility. A general upward trend is apparent over the entire timeframe, though not consistently maintained.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The P/OP ratio began at 18.52 and experienced a slight decrease to 18.06 before rising to 21.52. It peaked at 22.78 by the end of 2022, indicating increasing investor valuation relative to operating profitability during this period. This increase coincided with a rise in share price.
- 2023 – Early 2024 (Mar 31, 2023 – Jun 30, 2024)
- The ratio increased significantly to 25.61 in June 2023, driven primarily by a substantial increase in share price. However, a subsequent decline to 27.36 was observed, despite continued growth in operating profit per share. This suggests a moderation in investor enthusiasm or a shift in market sentiment. The ratio reached a high of 31.13 in March 2024.
- Mid-to-Late 2024 & 2025 (Sep 30, 2024 – Dec 31, 2025)
- A notable decrease in the P/OP ratio occurred from September 2024 to December 2024, falling to 24.57. This decline continued into early 2025, but the ratio then began to climb again, reaching 29.06 by September 2025. The period concluded with a slight decrease to 27.89, indicating a stabilization of the valuation relative to operating profit. Throughout this period, operating profit per share consistently increased, but the P/OP ratio did not always follow suit, suggesting factors beyond operating profitability influenced investor valuation.
- Overall Trend
- Despite interim fluctuations, the P/OP ratio generally increased from 18.52 in March 2022 to 27.89 in December 2025. This suggests that, over the long term, investors have been willing to pay a higher premium for each dollar of operating profit. The most significant increases occurred in conjunction with substantial increases in the share price, highlighting the strong influence of market sentiment on this valuation metric.
The observed volatility in the P/OP ratio warrants further investigation into the underlying drivers of share price movements and potential shifts in investor expectations regarding future operating performance.
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Price to Sales (P/S)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 387,900,000 | 388,400,000 | 389,300,000 | 391,300,000 | 392,000,000 | 395,200,000 | 398,100,000 | 399,800,000 | 399,500,000 | 399,300,000 | 399,000,000 | 398,600,000 | 398,000,000 | 397,700,000 | 398,300,000 | 399,000,000 | |||||
| Selected Financial Data (US$) | |||||||||||||||||||||
| Net sales (in millions) | 7,055) | 6,988) | 7,028) | 6,377) | 6,240) | 6,345) | 6,350) | 5,943) | 5,967) | 5,880) | 5,866) | 5,483) | 5,384) | 5,313) | 5,212) | 4,843) | |||||
| Sales per share2 | 70.76 | 68.57 | 66.76 | 64.69 | 63.46 | 62.26 | 60.64 | 59.17 | 58.06 | 56.63 | 55.25 | 53.67 | 52.14 | 50.71 | 49.65 | 49.57 | |||||
| Share price1, 3 | 374.59 | 377.72 | 356.45 | 299.71 | 290.38 | 331.58 | 297.88 | 318.26 | 289.00 | 207.91 | 219.00 | 173.25 | 172.78 | 151.64 | 146.39 | 146.58 | |||||
| Valuation Ratio | |||||||||||||||||||||
| P/S ratio4 | 5.29 | 5.51 | 5.34 | 4.63 | 4.58 | 5.33 | 4.91 | 5.38 | 4.98 | 3.67 | 3.96 | 3.23 | 3.31 | 2.99 | 2.95 | 2.96 | |||||
| Benchmarks | |||||||||||||||||||||
| P/S Ratio, Competitors5 | |||||||||||||||||||||
| Boeing Co. | 2.05 | 2.01 | 2.27 | 1.87 | 1.98 | 1.32 | 1.60 | 1.32 | 1.66 | 1.42 | 1.91 | 1.73 | 1.90 | 1.30 | 1.53 | 1.50 | |||||
| Caterpillar Inc. | 5.63 | 4.37 | 3.36 | 2.52 | 2.75 | 3.23 | 2.51 | 2.54 | 2.52 | 1.86 | 2.37 | 1.89 | 2.27 | 2.08 | 1.88 | 2.38 | |||||
| GE Aerospace | 7.41 | 8.02 | 7.34 | 5.60 | 6.24 | 4.37 | 3.63 | 3.02 | 2.30 | 1.84 | 1.85 | 1.51 | 1.20 | 1.11 | 1.10 | 1.25 | |||||
| Honeywell International Inc. | 4.12 | 3.44 | 3.56 | 3.47 | 3.42 | 3.59 | 3.52 | 3.41 | 3.51 | 3.19 | 3.61 | 3.68 | 3.78 | 3.78 | 3.72 | 3.84 | |||||
| Lockheed Martin Corp. | 1.91 | 1.54 | 1.33 | 1.51 | 1.52 | 1.92 | 1.68 | 1.59 | 1.57 | 1.62 | 1.69 | 1.92 | 1.78 | 1.75 | 1.61 | 1.84 | |||||
| RTX Corp. | 3.01 | 2.70 | 2.39 | 1.86 | 2.14 | 2.11 | 2.08 | 1.90 | 1.78 | 1.68 | 1.80 | 2.15 | 2.14 | 1.97 | 2.04 | 2.27 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2025 Calculation
Sales per share
= (Net salesQ4 2025
+ Net salesQ3 2025
+ Net salesQ2 2025
+ Net salesQ1 2025)
÷ No. shares of common stock outstanding
= (7,055,000,000 + 6,988,000,000 + 7,028,000,000 + 6,377,000,000)
÷ 387,900,000 = 70.76
3 Closing price as at the filing date of Eaton Corp. plc Quarterly or Annual Report.
4 Q4 2025 Calculation
P/S ratio = Share price ÷ Sales per share
= 374.59 ÷ 70.76 = 5.29
5 Click competitor name to see calculations.
The price-to-sales (P/S) ratio for the observed period demonstrates a generally increasing trend, punctuated by periods of fluctuation. Initial values hover around 2.95 to 3.00, then exhibit significant volatility before stabilizing and increasing again towards the end of the period.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The P/S ratio begins at 2.96 and remains relatively stable through June 30, 2022, at 2.95. A slight increase to 2.99 is noted by September 30, 2022, followed by a more substantial rise to 3.31 by December 31, 2022. This initial period suggests a modest increase in valuation relative to sales.
- Volatility and Increase (Mar 31, 2023 – Dec 31, 2023)
- The ratio experiences considerable fluctuation in 2023. It decreases to 3.23 in March 2023, then surges to 3.96 in June 2023, before declining to 3.67 in September 2023. A significant increase is then observed, reaching 4.98 by December 31, 2023. This period indicates increased investor optimism or changing market conditions impacting the valuation.
- Peak and Subsequent Adjustment (Mar 31, 2024 – Dec 31, 2024)
- The P/S ratio peaks at 5.38 in March 2024, followed by a decrease to 4.91 in June 2024, and a further increase to 5.33 in September 2024. It then declines to 4.58 by December 31, 2024. This suggests a potential correction after reaching a high valuation, followed by a partial recovery.
- Recent Trend (Mar 31, 2025 – Dec 31, 2025)
- The ratio shows a slight increase to 4.63 in March 2025, then rises to 5.34 in June 2025, and further to 5.51 in September 2025. It concludes the period with a slight decrease to 5.29 in December 2025. This recent trend indicates a renewed positive sentiment, although the final value suggests a potential stabilization.
Overall, the P/S ratio demonstrates a clear upward trajectory over the observed timeframe, despite interim volatility. The ratio nearly doubles from its initial value to its highest point, indicating a significant shift in how the market values each dollar of sales. The fluctuations suggest sensitivity to underlying business performance or broader market dynamics.
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Price to Book Value (P/BV)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 387,900,000 | 388,400,000 | 389,300,000 | 391,300,000 | 392,000,000 | 395,200,000 | 398,100,000 | 399,800,000 | 399,500,000 | 399,300,000 | 399,000,000 | 398,600,000 | 398,000,000 | 397,700,000 | 398,300,000 | 399,000,000 | |||||
| Selected Financial Data (US$) | |||||||||||||||||||||
| Total Eaton shareholders’ equity (in millions) | 19,425) | 18,843) | 18,606) | 18,506) | 18,488) | 19,117) | 19,219) | 19,292) | 19,036) | 18,383) | 17,953) | 17,449) | 17,038) | 16,068) | 16,380) | 16,620) | |||||
| Book value per share (BVPS)2 | 50.08 | 48.51 | 47.79 | 47.29 | 47.16 | 48.37 | 48.28 | 48.25 | 47.65 | 46.04 | 44.99 | 43.78 | 42.81 | 40.40 | 41.12 | 41.65 | |||||
| Share price1, 3 | 374.59 | 377.72 | 356.45 | 299.71 | 290.38 | 331.58 | 297.88 | 318.26 | 289.00 | 207.91 | 219.00 | 173.25 | 172.78 | 151.64 | 146.39 | 146.58 | |||||
| Valuation Ratio | |||||||||||||||||||||
| P/BV ratio4 | 7.48 | 7.79 | 7.46 | 6.34 | 6.16 | 6.85 | 6.17 | 6.60 | 6.07 | 4.52 | 4.87 | 3.96 | 4.04 | 3.75 | 3.56 | 3.52 | |||||
| Benchmarks | |||||||||||||||||||||
| P/BV Ratio, Competitors5 | |||||||||||||||||||||
| Boeing Co. | 33.65 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | 16.90 | 12.93 | 10.74 | 8.35 | 8.66 | 10.38 | 9.22 | 9.18 | 8.25 | 5.76 | 8.05 | 6.13 | 8.09 | 7.16 | 6.14 | 6.96 | |||||
| GE Aerospace | 16.78 | 17.19 | 14.57 | 10.48 | 11.33 | 10.13 | 10.03 | 5.96 | 5.43 | 4.31 | 4.09 | 3.39 | 2.43 | 2.53 | 2.26 | 2.27 | |||||
| Honeywell International Inc. | 11.09 | 8.35 | 8.86 | 7.78 | 7.08 | 7.81 | 7.76 | 7.64 | 8.11 | 6.74 | 7.54 | 7.81 | 8.02 | 7.46 | 7.31 | 7.17 | |||||
| Lockheed Martin Corp. | 21.31 | 18.33 | 17.98 | 16.20 | 17.00 | 19.00 | 19.35 | 16.60 | 15.54 | 11.80 | 12.31 | 13.16 | 12.67 | 9.46 | 9.05 | 12.08 | |||||
| RTX Corp. | 4.09 | 3.60 | 3.20 | 2.47 | 2.88 | 2.73 | 2.56 | 2.23 | 2.05 | 1.62 | 1.75 | 2.03 | 1.97 | 1.85 | 1.89 | 2.04 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2025 Calculation
BVPS = Total Eaton shareholders’ equity ÷ No. shares of common stock outstanding
= 19,425,000,000 ÷ 387,900,000 = 50.08
3 Closing price as at the filing date of Eaton Corp. plc Quarterly or Annual Report.
4 Q4 2025 Calculation
P/BV ratio = Share price ÷ BVPS
= 374.59 ÷ 50.08 = 7.48
5 Click competitor name to see calculations.
The price-to-book value (P/BV) ratio for the observed period demonstrates a generally increasing trend, punctuated by periods of fluctuation. Initially, the ratio exhibited relative stability between March 31, 2022, and June 30, 2022, hovering around 3.5. A moderate increase was then observed through December 31, 2022, reaching 4.04. A significant upward trajectory commenced in the first half of 2023, culminating in a ratio of 4.87 by June 30, 2023.
The ratio peaked at 6.07 in December 2023, before experiencing a slight decline in the first quarter of 2024. It subsequently increased again, reaching 6.85 by September 30, 2024, before decreasing to 6.16 by December 31, 2024. The most recent observations indicate a continued increase, with the ratio reaching 7.48 by December 31, 2025.
- Overall Trend
- The P/BV ratio generally increased over the observed period, suggesting that the market valuation of the company’s equity relative to its book value has risen. This could indicate increasing investor confidence, expectations of future growth, or a shift in market sentiment.
- Volatility
- While the overall trend is upward, the ratio exhibits volatility, particularly between September 2023 and December 2024. This suggests that market perceptions of the company’s value are subject to change, potentially influenced by external economic factors or company-specific news.
- Book Value per Share
- Book value per share consistently increased throughout the period, from $41.65 in March 2022 to $50.08 in December 2025. This indicates a steady growth in the company’s net asset value attributable to each share.
- Share Price
- The share price demonstrated a similar upward trend, but with greater fluctuations than the P/BV ratio. The share price increased from $146.58 in March 2022 to $374.59 in December 2025. The larger percentage increase in share price compared to book value per share is a primary driver of the increasing P/BV ratio.
The increasing P/BV ratio, coupled with the growth in both share price and book value per share, suggests a positive market assessment of the company’s financial health and future prospects. However, the observed volatility warrants continued monitoring to assess the sustainability of this trend.
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