Illinois Tool Works Inc. (ITW) — Stock Score Summary

Illinois Tool Works Inc. (ITW) has a MoatMap StockRank of 69/100 based on Quality (74/100), Value (34/100), and Momentum (44/100) factor scores. The current signal is BUY. Illinois Tool Works is a premier quality compounder with a highly decentralized, high-ROIC business model that benefits from nearshoring and industrial automation. However, its mature growth profile and premium valuation limit the near-term asymmetric upside required for an active buy.

Illinois Tool Works Inc. (ITW) is a diversified global manufacturer of highly engineered industrial products and solutions organized into multiple segments including automotive OEM, food equipment, and welding. Its competitive moat is built on a proprietary business model, 80/20 Front-to-Back, which focuses on identifying and serving the most profitable customers and products, combined with deep customer understanding and differentiated innovation. ITW is a highly diversified industrial conglomerate, recognized for its strong cash flow generation and consistent operational performance across niche markets.

Key Financial Metrics

Price$251.12
Market Cap$71.8B
P/E (TTM)23.32
P/E (Forward)20.63
Price/Book22.47
Return on Equity96.8%
Return on Invested Capital38.6%
Debt/Equity283.22
Gross Margin44.1%
Operating Margin25.7%
Revenue Growth4.6%
Dividend Yield2.6%
Free Cash Flow$2.2B

Illinois Tool Works Inc. operates in the Specialty Industrial Machinery industry, part of the Industrials sector (United States).

Frequently Asked Questions

What is Illinois Tool Works Inc.’s (ITW) StockRank?
MoatMap’s StockRank for Illinois Tool Works Inc. (ITW) is 69/100, with a Buy signal. It is a composite of Quality (74), Value (34), and Momentum (44) factor ranks across MoatMap’s 19,000+ stock universe.
Does Illinois Tool Works Inc. have an economic moat?
Illinois Tool Works Inc. (ITW) has a Quality factor score of 74/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Illinois Tool Works Inc. a buy, hold, or sell?
MoatMap’s current signal for Illinois Tool Works Inc. (ITW) is Buy, based on a StockRank of 69/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Illinois Tool Works Inc. in?
Illinois Tool Works Inc. (ITW) operates in the Industrials sector, specifically the Specialty Industrial Machinery industry (United States).