ITW:NYE-Illinois Tool Works Inc (USD)

COMMON STOCK | Specialty Industrial Machinery | NYE

Last Closing Price

USD 219.56

Change

0.00 (0.00)%

Market Cap

USD 69.36B

Volume

1.82M

Average Target Price

USD 219.18 (-0.17%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

Illinois Tool Works Inc. manufactures and sells industrial products and equipment worldwide. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products. The Automotive OEM segment offers plastic and metal components, fasteners, and assemblies for automobiles, light trucks, and other industrial uses. The Food Equipment segment provides warewashing, refrigeration, cooking, and food processing equipment; kitchen exhaust, ventilation, and pollution control systems; and food equipment maintenance and repair services. The Test & Measurement and Electronics segment produces and sells equipment, consumables, and related software for testing and measuring of materials and structures, as well as equipment and consumables used in the production of electronic subassemblies and microelectronics. The Welding segment produces arc welding equipment; and metal arc welding consumables and related accessories. The Polymers & Fluids segment produces adhesives, sealants, lubrication and cutting fluids, and fluids and polymers for auto aftermarket maintenance and appearance. The Construction Products segment offers engineered fastening systems and solutions for the residential construction, renovation/remodel, and commercial construction markets. The Specialty Products segment offers beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners. It serves the automotive OEM/tiers, commercial food equipment, construction, general industrial, and automotive aftermarket end markets. The company distributes its products directly to industrial manufacturers, as well as through independent distributors. Illinois Tool Works Inc. was founded in 1912 and is headquartered in Glenview, Illinois.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-06-20 )

Largest Industry Peers for Specialty Industrial Machinery

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
GE General Electric Company

N/A

USD112.19B 23.42 55.88
MMM 3M Company

N/A

USD111.07B 19.61 13.32
ETN Eaton Corporation plc

N/A

USD55.50B 39.17 25.05
EMR Emerson Electric Co

N/A

USD55.33B 26.03 16.83
ROP Roper Technologies, Inc

N/A

USD47.30B 47.65 27.31
PH Parker-Hannifin Corporation

N/A

USD36.26B 23.84 15.27
CMI Cummins Inc

N/A

USD34.07B 18.40 11.06
ROK Rockwell Automation, Inc

N/A

USD31.54B 20.03 15.67
AME AMETEK, Inc

N/A

USD30.17B 37.42 23.56
GNRC Generac Holdings Inc

N/A

USD24.33B 54.23 36.13

ETFs Containing ITW

Symbol Name Weight Mer Price(Change) Market Cap
FTCS First Trust Capital Stren.. 0.00 % 0.56 %

N/A

USD8.05B
VLQ:CA Vanguard Global Liquidity.. 0.00 % 0.37 %

N/A

USD0.01B
DVOL First Trust Dorsey Wright.. 0.00 % 0.60 %

N/A

USD0.13B
IUQF:LSE iShares IV Public Limited.. 0.00 % 0.20 %

N/A

USD0.64B
VLIQ:LSE Vanguard Global Liquidity.. 0.00 % 0.00 %

N/A

USD0.01B

Market Performance

  Market Performance vs.
Industry/Classification (Specialty Industrial Machinery)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 7.69% 31% F 47% F
Dividend Return 0.56% 41% F 24% F
Total Return 8.25% 33% F 46% F
Trailing 12 Months  
Capital Gain 28.49% 16% F 47% F
Dividend Return 2.63% 74% C 42% F
Total Return 31.12% 15% F 46% F
Trailing 5 Years  
Capital Gain 107.00% 58% F 81% B-
Dividend Return 16.94% 87% B+ 60% D-
Total Return 123.94% 63% D 82% B-
Average Annual (5 Year Horizon)  
Capital Gain 14.88% 56% F 77% C+
Dividend Return 2.52% 83% B 58% F
Total Return 17.40% 58% F 78% C+
Risk Return Profile  
Volatility (Standard Deviation) 18.91% 89% B+ 58% F
Risk Adjusted Return 92.02% 87% B+ 89% B+
Market Capitalization 69.36B 96% A 96% A
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Specialty Industrial Machinery)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 31.51 55% F 25% F
Price/Book Ratio 21.52 2% F 4% F
Price / Cash Flow Ratio 24.71 24% F 16% F
EV/EBITDA 21.92 30% F 27% F
Management Effectiveness  
Return on Equity 79.64% 96% A 97% A+
Return on Invested Capital 20.71% 95% A 92% A-
Return on Assets 12.76% 95% A 96% A
Debt to Equity Ratio 244.33% 6% F 13% F
Technical Ratios  
Short Ratio 3.77 42% F 29% F
Short Percent 1.29% 69% D+ 73% C
Beta 1.11 75% C 48% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters then its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Dividend Growth

This stock has shown top quartile dividend growth in the previous 5 years compared to its sector

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector