Eaton Corporation, PLC 🇺🇸
ETN • Technology • USA
⚡ 90.6/100
Wide Moat Score™
$402.78
+0.0% (24H)
Fundamental Snapshot • Market Cap: $156.4B
PEG Ratio
1.39x
EXPANDED
Forward P/E
29.8x
GROWTH FAIR
Revenue Growth YoY
+21.4%
ROBUST EXPANSION
Gross Margin
36.0%
MODERATE
Free Cash Flow
$3.1B
CASH FORTRESS
Debt / EBITDA
3.2x
LEVERAGED
📊 Proprietary 12-Point Fundamental Audit
| Audit Dimension | Benchmark Criterion | ETN Actual | Evaluation |
|---|---|---|---|
| 1. Economic Moat Strength | Software lock-in / high switching barrier / patent moat | Moat Score 90.6/100 | ✅ WIDE MOAT |
| 2. Pricing Power & Margins | Gross Margin > 40% sustainable | 36.0% Gross Margin | ⚠️ MODERATE |
| 3. Revenue Acceleration | YoY Top-Line Growth > 15% | +21.4% YoY | ✅ PASSED |
| 4. Peter Lynch PEG Ratio | PEG < 1.2x (Growth at a Reasonable Price) | 1.39x PEG Ratio | ⚠️ ELEVATED |
| 5. Fortress Balance Sheet | Debt / EBITDA < 2.5x | 3.2x Net Leverage | ⚠️ WATCH |
| 6. Free Cash Flow Generation | Positive and compounding FCF | $3.1B Free Cash Flow | ✅ PASSED |
| 7. Multiple vs Sector Median | Forward P/E reasonable vs earnings growth | Forward P/E: 29.8x | ✅ ATTRACTIVE MULTIPLE |
| 8. Management & Insider Ownership | Insider Ownership > 3% | 0.1% Insider Equity | ℹ️ INSTITUTIONAL |
| 9. Superinvestor Whale Backing | Held by Top 25 13F Wall St Whales | Institutional Superinvestor Interest | ℹ️ SCREENED |
| 10. Secular Industry Tailwinds | Exposure to multi-year compound themes | Technology sector expansion | ✅ PASSED |
| 11. Trailing P/E Multiple | Historical earnings multiple sanity | Trailing P/E: 41.0x | ✅ PASSED |
| 12. Overall Moat Conviction | Composite algorithmic evaluation | Overall Score: 90.6/100 | ✅ HIGH CONVICTION |
📝 MoatPicks Investment Thesis
Competitive Moat Breakdown: Essential transformers and switchgear for data center power.
Valuation Verdict: Trading at a Forward P/E of 29.8x and PEG ratio of 1.39x, Eaton Corporation, PLC satisfies core fundamental screens for quality and durability.