ITW's Free Cash Flow Drops; Analysts Cautious Ahead of Q3 Results
Illinois Tool Works Inc. (ITW) has reported a decrease in free cash flow and mixed earnings results, leading to a cautious outlook from analysts. The company is expected to release its fiscal Q3 2025 results on October 24, 2025.
ITW's free cash flow dropped by 11.1% to $945 million in the second quarter of 2025. Despite beating EPS expectations, the company's shares fell due to flat organic sales and declines in key segments. Analysts have a 'Hold' rating on ITW stock, reflecting their cautious view.
Looking ahead, analysts project ITW to report EPS of $2.69 in the third quarter of 2025, a 1.5% increase from the year-ago quarter. For the full fiscal year 2025, EPS is forecast to be $10.39, up 2.4% from fiscal 2024. The average analyst price target for ITW is $262.81, indicating a potential upside of 6.8%.
ITW, with a market cap of $71.4 billion, operates across seven segments serving customers worldwide. Despite recent challenges, the company continues to generate analyst interest, with EPS forecasts indicating modest growth. Investors await the company's fiscal Q3 2025 results on October 24, 2025, for further clarity on ITW's performance.