40x Value Power Infrastructure Stocks Lose 13 Trillion in a Day

Eaton Corporation PLC (NYSE: ETN), a U.S. power management company, plunged 6.34% on the New York Stock Exchange on the 23rd, closing at $405.28—roughly 560,000 Korean won. Its market capitalization stands at about $157.3 billion (approximately 220 trillion won), with an estimated $9.4 billion (around 13 trillion won) wiped out in a single day.

The stock had drawn overvaluation concerns after a short-term rally following last month’s announcement of record first-quarter results, an upward revision to its annual organic growth guidance, and the completion of a $11 billion strategic acquisition. With the current share price implying a price-to-earnings ratio above 40, a broader valuation squeeze on growth stocks benefiting from AI and data centers, combined with interest-rate worries and a market correction, appears to have prompted profit-taking.

Headquartered in Dublin, Ireland, Eaton is a major industrial-infrastructure company supplying power-distribution equipment, uninterruptible power supplies (UPS), and power solutions for data centers and electric vehicles. Fueled by a boom in North American data-center investment, power-grid modernization, and the spread of electric vehicles, its performance has grown rapidly in recent years, marking it as one of the leading infrastructure growth stocks in the S&P 500.