Eaton , a maker of power management solutions for AI data centers and other commercial markets, delivered a solid quarter on Friday that raised more questions for us than it answered. Earnings per share for the first quarter ended in March rose more than 33% from the year-ago period to $2.72, beating the LSEG compiled analyst consensus estimate by a penny. Revenue rose 7.3% to $6.38 billion, beating the LSEG compiled analyst consensus estimate of $6.26 billion. Organic sales grew 9%, far exceeding the Bloomberg estimate for a 6.8% increase. Eaton Why we own it: Eaton has exposure to several important megatrends like electrification, energy transition, and infrastructure spending. It is also a player in generative AI, where data centers use its power management solutions and electrical equipment to keep up with the heightened demand for more computing power. We see a long runway for growth. Competitors : Parker-Hannifin , DuPont and Honeywell Most recent buy : April 3, 2025 Initiated : Nov. 15, 2023 Bottom line Has Eaton’s stock peaked? During our Morning Meeting, Jim Cramer said he’s concerned about it. In afternoon trading, shares of Eaton turned positive in a strong overall market. However, the stock has been struggling to get back to its 2025 closing high of $371 on Jan. 22, which was just days before the Chinese startup DeepSeek’s more efficient artificial intelligence model slammed the AI trade. Jim said he’s not ready to give up on Eaton, because it’s “doing quite well,” referring to the company’s largely positive first-quarter results and guidance. Indeed, the company reported accelerating organic sales growth with record first-quarter margins. However, he did say he needs to rethink the position, given the Club’s positions in DuPont and Dover also have ties to the AI trade. He also has his eye on GE Vernova in the Bullpen to fill out the electrification/power generation theme. ETN YTD mountain Eaton YTD In addition to Eaton’s revenue and EPS beats, sales at three of the company’s five segments — Electrical Americas, Electrical Global, and Aerospace were better than expected, with solid growth. The other two segments, Vehicle and eMobility missed, with the former sinking nearly 15% year over year and the latter up just 2.5%. Orders for the Electrical Americas segment, which accounts for nearly half of total company revenue, fell 4% organically on a 12-month rolling average. Excluding one large multi-year data center order in the first quarter of 2024, orders rose 4%. Jeff Marks, director of portfolio analysis for the Club, said Friday the market seemed to be aware of the order slowdown as Eaton and all multinational companies try to figure out President Donald Trump ‘s tariff endgame. Slowing order growth has been a multi-quarter trend due to tough comps going back to 2023. “Book-to-bill remained above one, with 6% growth in our large $10.1 billion backlog, providing strong visibility for our organic growth in 2025 and beyond,” CFO Olivier Leonetti said on the company’s post-earnings call. The data center end-market makes up 17% of Eaton’s total revenue, according to the company’s 2025 growth assumptions. On the call, incoming CEO Paulo Ruiz referred to the tech companies that reported earnings this week, which included Club names Amazon , Meta Platforms , and Microsoft , saying, “all the calls we have had this week, all the hyperscalers have confirmed the level of capex. So, we believe that this 15% CAGR for data centers is still intact.” Capex stands for capital expenditures, and CAGR stands for compound annual growth rate. Ruiz will become CEO following the May 31 retirement of Craig Arnold, who has been at the helm since 2016. Management also talked about the data center designs of the future that require Eaton to work with not only the hyperscaler clients, the big tech companies that run the facilities, but also with chipmakers. “Therefore, you need to have open discussions with the likes of … Nvidia and so on. Not many companies, especially foreign companies, can have a dialogue with them. So again, this is another entry barrier that creates” opportunity for Eaton in this development area of the end market, Ruiz said on the call. Eaton, which aims to manage through the tariffs, plans to adjust its costs, supply chains, and prices as needed. Ruiz said, “We will see how the tariff evolves. We expect over time to recover from a margin standpoint, but not this year.” The company expects to fully offset the impact of tariffs through USMCA, the 2020 United States-Mexico-Canada Agreement, compliance, supply chain optimization, disciplined cost containment, and commercial actions. Eaton believes its region-for-region strategy provides a competitive advantage. Guidance Eaton raised its full-year organic sales growth guidance range to 7.5% to 9.5% from 7% to 9%, but slightly lowered its segment margins outlook as a result of tariff cost pass-through. The company reaffirmed its full-year EPS guidance. The company’s second quarter adjusted EPS guidance of $2.85 to $2.95 was short of estimates. Perhaps, management was being a little conservative here. The outlook for Q2 organic sales growth and segment margins was fine. Management said on the call that these forecasts reflect the “net impact of the announced tariffs and assumes the current 90-day pause on reciprocal tariffs will persist to the end of the year.” (Jim Cramer’s Charitable Trust is long ETN, DD, DOV, AMZN, META, MSFT, NVDA. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Eaton Corporation signage at the NYSE
Source: NYSE
Eaton, a maker of power management solutions for AI data centers and other commercial markets, delivered a solid quarter on Friday that raised more questions for us than it answered.
On today’s extreme episode of Quick Charge, we’ve got the most affordable new EV in America packing 255 miles of range, sub-30 minute charging, V2H support, and more – all that for a price about $10,000 LESS than that new “affordable” Tesla.
We’ve also got specs for the all-new, all-electric Ferrari Elettrica and a world’s first, hydrogen-powered autonomous farm tractor from Kubota.
Today’s episode is brought to you by Climate XChange, a nonpartisan nonprofit working to help states pass effective, equitable climate policies. The nonprofit just kicked off its 10th annual EV raffle, where participants have multiple opportunities to win their dream model. Visit CarbonRaffle.org/Electrek to learn more.
New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.
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If you’re considering going solar, it’s always a good idea to get quotes from a few installers. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
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Momentum, the lifestyle-focused urban bike brand under Giant Group, has just launched the latest version of its popular Vida E+ electric bike – and this one’s all about making e-biking smoother, safer, and more accessible to riders of all experience levels.
The updated Vida E+ features a new 500W SyncDrive Move S motor offering 60Nm of torque and pedal assist up to 28 mph, designed to provide natural-feeling power whether you’re cruising to work or just exploring around town. The system uses a combination of sensors to analyze torque, speed, and cadence, automatically adjusting power output to match your pedaling effort.
According to Momentum, the motor engages with as little as 4Nm of pedal pressure and just 10° of crank movement, giving riders what they describe as an ultra-smooth and effortless start every time.
A new optional throttle adds another layer of convenience, letting riders cruise at speeds up to 20 mph without pedaling, which should be perfect for hills, traffic-heavy starts, or when you just want to relax and take it easy on the way home. The bike’s EnergyPak 700 battery provides up to a claimed 55 miles (88 km) of range on pedal assist or 43 miles (69 km) on throttle-only riding.
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The Vida E+ also leans hard into comfort and safety. It sports a low-step aluminum frame for easy on-and-off, an 80 mm suspension fork, and wide 26×2.4-inch tires for stability and plushness. Four-piston hydraulic disc brakes ensure solid stopping power, while a new automatic motor cutoff feature stops assistance as soon as the brakes engage. The bike is UL 2849 certified, meaning it meets top-tier safety standards for batteries and electronics, which is a growing priority in the e-bike world as more cities and states consider requiring safety certification as a prerequisite.
With support for up to 300 pounds (136 kg) total load and optional racks front and rear, the Vida E+ is also built for everyday utility. And on the tech side, momentum’s RideControl app lets riders fine-tune speed and assistance, lock or unlock the bike electronically, and monitor battery health.
VW’s US EV lease deals just went from hero to zero. Federal tax credits are now dead, the automaker has wiped out up to $12,000 in lease incentives on the ID.4, and ended $10,500 in discounts on the ID. Buzz. The move bucks the trend as other brands continue to sweeten their EV lease offers.
As of September 30, 2025, Volkswagen offered up to $12,350 in lease cash on the ID.4, depending on configuration. That included a $7,500 federal lease tax credit for lessees as Bonus Customer Cash, plus $3,500 to $4,850 in Dealer Lease Cash. It made the ID.4 one of the top EV lease deals around.
On October 1, those incentives vanished. While the ID.4 still has a 0% APR equivalent lease rate, drivers lost more than $12,000 in savings overnight. The ID. Buzz took a similar hit. Last month, the 2025 ID. Buzz offered $10,500 off MSRP between the $7,500 tax credit and $3,000 Dealer Lease Cash. Now, almost all lease cash is gone. VW Credit is offering just $750 in Dealer Lease Cash, and weirdly, not on models with two-tone paint. According to CarsDirect’s lease calculator, the lowest-priced ID. Buzz trim now carries an effective monthly cost topping $1,000 — a considerable jump.
For comparison, the ID. Buzz Pro S was previously advertised at $589 a month for 36 months with $5,999 due at signing, or an effective monthly cost of $756.
The ID.4 lease once cost just $233 a month, making it one of the cheapest EVs to lease. According to updated estimates, that figure is now north of $800 – that’s hair-raising.
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Meanwhile, VW’s rivals are going in the opposite direction. Ford extended its Mustang Mach-E lease deals through early January. Subaru’s updated 2026 Solterra still qualifies for the $7,500 lease credit, and Jeep replaced the expiring EV lease credit with equivalent bonus cash.
If you really want a Volkswagen, though, there’s some good news: financing deals haven’t changed. The 2025 ID.4 continues to offer 0% APR for 72 months, and buyers of the ID. Buzz can still get up to $3,250 in Bonus Customer Cash through November 3, a perk unavailable to lessees.
It kinda seems like VW doesn’t want to lease their EVs anymore…?? Let me know your thoughts in the comments below.
The 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
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