Founded in 1912, Illinois Tool Works has become a diversified industrial manufacturer through acquisitions and innovations that follow customer needs. ITW operates through seven business segments, with no segment representing more than one-fifth of revenue.
It is a $75.2B industrial company. Revenue grew 4.3% over the last year, it keeps 19¢ of every dollar of sales as profit, and its net debt equals ~2.8 years of free cash flow. It trades at 23.6× earnings — around the middle of its own history.
- Website
- itw.com
- Location
- Glenview, IL
- Employees
- 43 000
- Sector
- Industrials
- Founded
- 1912
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong profitability, quality and moat; Growth and Health lag behind.
Valuation64
- P/E vs own history38th pct · 20/25
- FCF yield3.9% · 12/25
- P/S4.6x · 20/25
- EV/EBITDA19.0x · 12/25
Growth36
- Revenue CAGR2.6% · 6/25
- Net income CAGR3.3% · 6/25
- EPS CAGR ~5Y9.6% · 12/25
- Fwd implied growth5.5% · 12/25
Profitability95
- ROIC27.0% · 25/25
- ROE101.8% · 25/25
- Net margin19.4% · 20/25
- Operating margin26.5% · 25/25
Health37
- Altman Zn/a · 0/25
- Current ratio1.11 · 12/25
- Interest coverage14.8x · 25/25
- Net cash / debtD/A 50% · 0/25
Quality77
- Piotroski F4/9 · 10/25
- Beneish M-2.46 · 20/25
- FCF conversion91% · 22/25
- Margin stabilityσ 1.5% · 25/25
Moat88
- ROIC >12% years10/10 yrs · 25/25
- Median gross margin41.9% · 13/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 11.8% · 25/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2024FinancialBest year on record$3.49B net income
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $10B$13.6B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- 1912FoundedIt was founded in 1912 by Byron L
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (44.2%)
- Strong cash conversion — FCF is 17.7% of revenue
- Interest covered 14.8× by operating earnings
- High returns on invested capital (ROIC 27.0%)
Watch-outs
Nothing stands out as a concern in the available data.
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+4.3% YoY
- Profitable — makes more than it spends$3.19B TTM
- Profit growing — earnings are higher than last year+2.4% YoY
- Generates cash — cash left after running and investing$2.92B TTM
- Debt under control — could handle its obligations~2.8y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$75.2B market cap
- Not printing shares — share count not ballooning — you keep your slice-8.1% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distresshealth score 37/100
- Pays a dividend — returns cash to shareholdersyield 2.44%
- Valuation not extreme — price not wildly above earningsP/E 23.6
Peer comparisonIllinois Tool Works Inc. vs 6 largest industrials peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| ITW this company | $75.2B | 23.6 | +4.3% | 19.4% | Mixed |
| LRCX Lam Research Corp | $399.2B | 54.9 | +26.0% | 31.3% | Strong |
| CAT Caterpillar Inc. | $368.0B | 33.9 | +18.4% | 14.5% | Solid |
| RTX RTX Corporation | $251.3B | 32.4 | +11.8% | 8.3% | Strained |
| DE Deere & Company | $167.7B | 34.4 | +8.3% | 10.2% | Solid |
| ETN Eaton Corporation, plc | $167.2B | 43.6 | +15.5% | 12.8% | Mixed |
| UNP Union Pacific Corp. | $166.8B | 22.6 | +4.2% | 28.8% | Strained |
Head-to-head: ITW vs LRCX · ITW vs CAT · ITW vs RTX
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/ITW
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of ITW on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $264.13 · market cap $75.2B.