Eaton price target raised to $480 from $420 at KeyBanc

KeyBanc analyst Jeffrey Hammond raised the firm’s price target on Eaton (ETN) to $480 from $420 and keeps an Overweight rating on the shares. Following the company’s Q1 earnings, despite near-term margin pressure, the firm walked away impressed by the clearly robust underlying demand trends in Electrical evident in orders and feel margins are poised to improve moving forward. As such, KeyBanc is incrementally confident in its long-term thesis, as it sees uniquely robust Data Center/Utility tailwinds and relaxing capacity investment-related margin pressure in the second half of 2026 supporting upside to estimates.