Illinois Tool Works slides despite Q1 beat as organic growth stays muted
ITW•Illinois Tool Works shares fell after the company reported Q1 2026 results and updated its 2026 outlook. Revenue was $4.02 billion and GAAP EPS was $2.66, while full-year GAAP EPS guidance was raised by $0.10 to $11.10–$11.50.
1. What’s moving the stock
Illinois Tool Works (ITW) is trading lower today as investors digest its first-quarter 2026 earnings release and outlook update. While the company posted headline growth and raised full-year GAAP EPS guidance, the quarter showed only modest organic revenue growth, which can pressure sentiment when expectations skew toward stronger underlying demand momentum. (globenewswire.com)
2. The quarter in numbers
ITW reported Q1 revenue of $4.02 billion, up about 5%, and GAAP EPS of $2.66, up 12%. Operating margin increased 60 basis points to 25.4%, with enterprise initiatives cited as a material contributor to margin expansion; free cash flow was $528 million, and ITW repurchased $375 million of shares during the quarter. ()
