Eaton Corporation PLC (ETN)vsGates Industrial Corporation plc (GTES)
ETN
Eaton Corporation PLC
$395.94
-5.42%
INDUSTRIALS · Cap: $162.16B
GTES
Gates Industrial Corporation plc
$25.63
-1.84%
INDUSTRIALS · Cap: $6.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Eaton Corporation PLC generates 728% more annual revenue ($28.52B vs $3.45B). ETN leads profitability with a 14.0% profit margin vs 7.2%. GTES trades at a lower P/E of 28.6x. ETN earns a higher WallStSmart Score of 51/100 (C-).
ETN
Buy51
out of 100
Grade: C-
GTES
Hold41
out of 100
Grade: D
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 20 in profit
16.8% revenue growth
Reasonable price relative to book value
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 9.4%
Moderate valuation
0.4% revenue growth
Grey zone — moderate risk
ROE of 7.4% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : ETN
The strongest argument for ETN centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 16.8% demonstrates continued momentum.
Bull Case : GTES
The strongest argument for GTES centers on Price/Book.
Bear Case : ETN
The primary concerns for ETN are Debt/Equity, PEG Ratio, P/E Ratio. A P/E of 40.9x leaves little room for execution misses.
Bear Case : GTES
The primary concerns for GTES are P/E Ratio, Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
ETN profiles as a growth stock while GTES is a value play — different risk/reward profiles.
GTES carries more volatility with a beta of 1.27 — expect wider price swings.
ETN is growing revenue faster at 16.8% — sustainability is the question.
ETN generates stronger free cash flow (314M), providing more financial flexibility.
Bottom Line
ETN scores higher overall (51/100 vs 41/100) and 16.8% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Eaton Corporation PLC
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Eaton Corporation plc is an American Irish-domiciled multinational power management company with 2020 sales of 17.86 billion USD, founded in the United States with corporate headquarters in Dublin, Ireland, and operational headquarters in Beachwood, Ohio.
Gates Industrial Corporation plc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.
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