12:58 PM EST, 11/13/2024 (MT Newswires) -- Eaton (ETN) can sustain high single-digit revenue growth in the coming years due to data center growth, electrification and manufacturing capacity reshoring, UBS Securities said in a note emailed Wednesday.

The firm projects that the company's earnings per share can hit $17 in 2028 with upside to $19, supported by "robust" backlog growth and longer lead times.

UBS said that in the most recent reported period, the company's total backlog rose 23% year over year to $15.9 billion.

"At the same time, the portion of the backlog that comprises revenue beyond 12 months is up over 200% (to now 29% of the backlog vs. 18% two years ago)," the firm said. "This elongating of the backlog gives us increased confidence in our multiyear forecasts."

UBS has a buy rating on Eaton with a price target of $431.

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