ITW Share Price | Illinois Tool Works Inc. Stock Analysis & Recommendation

Q: How big is Illinois Tool Works Inc.?

Market Cap: As of Jun 18, Illinois Tool Works Inc. has a market capitalization of 127,608.33 million, classifying it as a Large Cap company.Recent Quarterly Performance: For the latest four quarters, Illinois Tool Works Inc. reported net sales of 15,764.00 million and a net profit of 3,369.00 million.Balance Sheet Snapshot: As of Dec 24, the company reported shareholder's funds of 3,316.00 million and total assets of 15,067.00 million.

Q: What does Illinois Tool Works Inc. do?

Overview:Illinois Tool Works Inc. is a manufacturer of industrial products and equipment operating in the Auto Components & Equipments industry, classified as a large-cap company.Financial Snapshot:Most recent Net Sales: 3,839 Million (Quarterly Results - Mar 2025) Most recent Net Profit: 700 Million (Quarterly Results - Mar 2025) Market-cap: USD 127,608.33 Million (Large Cap)Key Metrics:P/E: 39.00 Dividend Yield: 139.81% Debt Equity: 2.28 Return on Equity: 103.95% Price to Book: 39.37Contact Details:Address: 155 Harlem Ave, GLENVIEW IL: 60025-4075 Tel: 1 847 7247500 Website: http://www.itw.com

Q: Is Illinois Tool Works Inc. overvalued or undervalued?

As of 4 August 2025, the valuation grade for Illinois Tool Works Inc. has moved from expensive to very expensive, indicating a significant concern regarding its valuation. The company appears overvalued based on its current metrics, with a P/E ratio of 39, a Price to Book Value of 40.41, and an EV to EBITDA ratio of 30.83, all of which are notably higher than the industry averages. In comparison to its peers, Illinois Tool Works Inc. has a higher P/E ratio than GE Aerospace, which stands at 136.79, and a lower EV to EBITDA ratio than Lam Research Corp. at 48.40. This suggests that while Illinois Tool Works Inc. is positioned in a competitive market, its valuation is not justified by its financial performance. Furthermore, the company's stock has underperformed relative to the S&P 500 across multiple time frames, with a 1Y return of 4.20% compared to the S&P 500's 17.14%, reinforcing the notion that the stock may be overvalued.

Q: Is Illinois Tool Works Inc. technically bullish or bearish?

As of 24 October 2025, the technical trend for Illinois Tool Works Inc. has changed from sideways to mildly bearish. The weekly and monthly MACD indicators are both mildly bearish, and Bollinger Bands also indicate a bearish stance on both time frames. The KST and OBV are mildly bearish on the weekly and monthly charts. However, the daily moving averages show a mildly bullish signal, and the Dow Theory presents a mixed view with a mildly bearish weekly and mildly bullish monthly perspective. In terms of performance, the stock has underperformed the S&P 500 across multiple periods, with a year-to-date return of -3.08% compared to the S&P's 15.47%, and a one-year return of -3.83% versus the S&P's 16.90%. Overall, the current technical stance is mildly bearish.

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

1.17 M

Shareholding (Dec 2025)

FII

12.87%

Held by 422 FIIs

DII

62.47%

Held by 53 DIIs

Promoter

0.01%

How big is Illinois Tool Works Inc.?

22-Jun-2025

As of Jun 18, Illinois Tool Works Inc. has a market capitalization of $127.61 billion, with recent net sales of $15.76 billion and a net profit of $3.37 billion.

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What does Illinois Tool Works Inc. do?

22-Jun-2025

Illinois Tool Works Inc. is a large-cap manufacturer of industrial products and equipment, with recent net sales of $3.839 billion and a net profit of $700 million. The company has a market cap of approximately $127.6 billion.

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Who are in the management team of Illinois Tool Works Inc.?

22-Jun-2025

As of March 2022, the management team of Illinois Tool Works Inc. includes Chairman and CEO Mr. Ernest Santi, Lead Independent Director Mr. Richard Lenny, and independent directors Mr. Daniel Brutto, Ms. Susan Crown, Mr. James Griffith, and Mr. Jay Henderson.

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Is Illinois Tool Works Inc. overvalued or undervalued?

20-Sep-2025

As of August 4, 2025, Illinois Tool Works Inc. is considered very expensive with a high P/E ratio of 39 and other valuation metrics significantly above industry averages, indicating potential overvaluation and underperformance compared to the S&P 500.

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Is Illinois Tool Works Inc. technically bullish or bearish?

28-Oct-2025

As of October 24, 2025, Illinois Tool Works Inc. shows a mildly bearish technical trend, with underperformance against the S&P 500 and mixed signals from various indicators.

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Compare Illinois Tool Works Inc. with Similar Stocks

Lam Research Corp.Applied Materials, Inc.GE Aerospace

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

High Management Efficiency with a high ROCE of 37.01%

Poor long term growth as Operating profit has grown by an annual rate 7.17% of over the last 5 years

Flat results in Jun 25

With ROCE of 38.45%, it has a very expensive valuation with a 13.02 Enterprise value to Capital Employed

Consistent Underperformance against the benchmark over the last 3 years

Mojo Parameters

Stock DNA

Industry

Auto Components & Equipments

Market cap

USD 140,848 Million (Large Cap)

P/E

46.00

Industry P/E

Dividend Yield

133.54%

Debt Equity

2.54

Return on Equity

95.07%

Price to Book

43.67

Revenue and Profits:

Net Sales:

4,093 Million

(Quarterly Results - Dec 2025)

Net Profit:

790 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

5.76%

6 Months

3.32%

1 Year

4.49%

2 Years

0.22%

3 Years

15.04%

4 Years

25.83%

5 Years

19.6%

Illinois Tool Works Inc. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

4.99%

EBIT Growth (5y)

7.90%

EBIT to Interest (avg)

15.97

Debt to EBITDA (avg)

1.64

Net Debt to Equity (avg)

2.28

Sales to Capital Employed (avg)

1.38

Tax Ratio

20.64%

Dividend Payout Ratio

59.30%

Pledged Shares

Institutional Holding

85.66%

ROCE (avg)

37.01%

ROE (avg)

89.50%

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

43.67

EV to EBIT

35.35

EV to EBITDA

32.31

EV to Capital Employed

13.07

EV to Sales

9.29

PEG Ratio

Dividend Yield

133.54%

ROCE (Latest)

36.97%

ROE (Latest)

95.07%

Technicals key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Dec 2025

Shareholding Compare (%holding)

Majority shareholders

Domestic Funds

Held in 142 Schemes (24.64%)

Foreign Institutions

Held by 422 Foreign Institutions (12.87%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

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Quarterly Results Snapshot (Consolidated) - Dec'25 - QoQ

Dec'25

Sep'25

Change(%)

Net Sales

4,093.00

4,059.00

0.84%

Operating Profit (PBDIT) excl Other Income

1,188.00

1,212.00

-1.98%

Interest

75.00

Exceptional Items

0.00

Consolidate Net Profit

790.00

821.00

-3.78%

Operating Profit Margin (Excl OI)

265.10%

274.00%

-0.89%

USD in Million.

Compare with Peers

Net Sales

QoQ Growth in quarter ended Dec 2025 is 0.84% vs 0.15% in Sep 2025

Consolidated Net Profit

QoQ Growth in quarter ended Dec 2025 is -3.78% vs 8.74% in Sep 2025

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'25

Dec'25

Dec'24

Change(%)

Net Sales

16,044.00

15,898.00

0.92%

Operating Profit (PBDIT) excl Other Income

4,613.00

4,666.00

-1.14%

Interest

292.00

283.00

3.18%

Exceptional Items

0.00

Consolidate Net Profit

3,066.00

3,488.00

-12.10%

Operating Profit Margin (Excl OI)

262.80%

268.20%

-0.54%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2025 is 0.92% vs -1.30% in Dec 2024

Consolidated Net Profit

YoY Growth in year ended Dec 2025 is -12.10% vs 17.96% in Dec 2024

All Annual Results

Company CV

About Illinois Tool Works Inc.

Illinois Tool Works Inc.

Auto Components & Equipments

Illinois Tool Works Inc. is a manufacturer of industrial products and equipment. The Company operates through seven segments. The Automotive OEM segment produces components and fasteners for automotive-related applications. The Food Equipment segment offers commercial food equipment. The Test & Measurement and Electronics segment produces test and measurement, and electronic manufacturing and maintenance, repair and operations (MRO) solutions. The Welding segment produces welding equipment, consumables and accessories for industrial and commercial applications. 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 supplies engineered fastening systems and solutions. The Specialty Products segment produces beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners.

Company Coordinates

Company Details

155 Harlem Ave , GLENVIEW IL : 60025-4075

Tel: 1 847 7247500

http://www.itw.com

Registrar Details