JP Morgan Cuts Illinois Tool Works (ITW) Price Target to $277

JP Morgan has downgraded Illinois Tool Works Inc. to a Neutral rating and set a new price target of $277, a 2.23% upside from the current price.

By EarningsIQ Research Desk · Published Oct 16, 2026, 2:04 PM EDT

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JP Morgan cut its price target on Illinois Tool Works Inc. ($ITW) to $277 from $350 on October 9, 2026, and rates the stock "Neutral".

Since the rating, $ITW is up 3.1% after 1 week and up 3.1% to date (from the $264.13 close on Oct 9, 2026).

ITW Illinois Tool Works Inc.

$272.28 +11.20% year to date

Daily close · Oct 16, 2026

Key Points

On October 9, 2026, JP Morgan lowered its rating on Illinois Tool Works Inc. to Neutral and set a price target of $277, down from $350.
JP Morgan's $277 price target implies 2.23% upside from Illinois Tool Works Inc.'s ($ITW) current $270.96 share price.
The stock is recently trading around $270.96, which is about 2.2% below the new target.
The company is set to report its next earnings on October 23, 2026.

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Not investment advice. EarningsIQ is not a registered investment adviser, and this automated Illinois Tool Works Inc. alert may contain errors. Disclosures

JP Morgan has downgraded Illinois Tool Works Inc. (NYSE: ITW) to a Neutral rating on October 9, 2026, lowering its price target to $277 from $350. This change reflects a shift in JP Morgan's outlook on the company amidst broader market conditions.

The new price target of $277 represents a significant decrease from the previous target. The stock is currently trading at approximately $270.96, which is about 2.2% below the new target price set by JP Morgan.

Other Institutional Activity in Illinois Tool Works

Briar Hall Management LLC reduced its holdings by 23,251 shares, ending with 25,811,219 shares worth about $7.03 billion. Blackrock Inc. also trimmed its stake, selling 93,491 shares for a total of 23,279,289 shares valued at approximately $6.34 billion. Meanwhile, State Farm Mutual Automobile Insurance Co. maintained its position with 21,029,900 shares worth about $5.73 billion. Vanguard Capital Management LLC added 55,768 shares, bringing its total to 17,483,266 shares valued at around $4.76 billion. State Street Corporation increased its holdings by 127,873 shares, ending with 12,788,570 shares valued at about $3.48 billion.

Illinois Tool Works Inc. Stock Up 0.6%

The shares of Illinois Tool Works are currently trading around $270.96. This is a notable point since the stock is positioned below the new target price of $277, which could indicate potential challenges ahead for the company.

12-month forecast

$ITW price target

Illinois Tool Works Inc. daily closes and this analyst's $277 target. Not advice.

Recent Earnings

For the trailing twelve months, Illinois Tool Works reported revenue of approximately $16.47 billion and earnings per share of $11.05. The next earnings report is scheduled for October 23, 2026, which could provide further insights into the company's performance.

Insider Buying and Selling at Illinois Tool Works Inc.

On June 2, 2026, Director Jennifer F. Scanlon bought 806 shares at an average price of $247.99, totaling about $199,880. In contrast, Officer Matteo C. Pigozzo sold 277 shares on August 13, 2026, at a price of $289.22, amounting to $80,114. Additionally, Director Ernest Scott Santi sold 41,431 shares on August 19, 2026, with a total value of approximately $11.89 million.

Analysts Set New Price Targets

On October 9, 2026, JP Morgan downgraded Illinois Tool Works to a Neutral rating with a price target of $277. This is a significant reduction from their prior target of $350. The consensus among analysts shows a mix of ratings, with firms like Baird maintaining a Neutral rating with a target of $297. Overall, the average target price remains above the current trading level.

About Illinois Tool Works

Illinois Tool Works Inc. is a diversified manufacturer that provides industrial products and equipment across various sectors globally. The company's operations span automotive components, food equipment, electronics, and more. This downgrade by JP Morgan may indicate a more cautious outlook on its future performance amid changing market dynamics.

Bottom Line

Investors will be watching Illinois Tool Works closely as it prepares for its next earnings report on October 23. The downgrade from JP Morgan is a key development to consider in the context of broader market trends and the company's performance.