tickrz reports
  
tickrz rank
C
Illinois Tool Works Inc (ITW)
Industrial Goods | Diversified Machinery
CEO: Ernest Scott Santi
Employees: 48000
itw.com
FACTOR RANKINGSFACTOR SCREENER 
Pure Value Rank356Dividend Rank173
Moat Rank132Financial Strength Rank129
Growth Rank411Momentum Rank87
DIVIDEND ANALYSIS
Dividend Yield1.82%
Payout Ratio40.28%
3 yr Dividend Growth14.47%
VALUATION RATIOS
P/E Ratio22.74x
P/B Ratio10.64x
P/S Ratio3.47x
EV/EBITDA Ratio15.09x
FINANCIAL STRENGTH
Piotroski F-Score7
Debt-to-Equity160%
Interest Coverage13.3x
MOAT
ROE43.27%
ROIC23.64%
Net Margin14.96%
GROWTH
5 yr EPS Growth6.35%
5 yr SPS Growth-5.23%
5 yr BPS Growth-9.95%
Illinois Tool Works Inc's return on equity of 43.27% speaks to its strong moat
 tickrz summary
Illinois Tool Works Inc receives a C ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.
 value
 pure value ranking Warren Buffett ranking
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Illinois Tool Works Inc's valuation score is comprised of a P/E ratio of 22.7x, a P/B ratio of 10.6x, a P/S ratio of 3.5x, and an EV/EBITDA ratio of 15.1x. Illinois Tool Works Inc ranks 356 out of the S&P 500 constituents on valuation--a relatively weak score.Illinois Tool Works Inc ranks 283 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a average score, meaning it ranks in the middle of the pack on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Illinois Tool Works Inc is probably not for you. However, the company's moat is strong so it could be worth investigating in the future should its valuation improve.

 quality
 moat financial strength
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is strong. Illinois Tool Works Inc appears to have a durable competitive advantage within the Industrial Goods sector. Illinois Tool Works Inc has a Piotroski F Score of 7 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 13.3x, a debt/equity ratio of 160% and a Moat Rank of 132 translate to a strong Financial Strength score.


 momentum
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 28.57% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 87. Illinois Tool Works Inc's strong 12 month stock performance will appeal to momentum investors.

 yield
 value + yield
Shares currently yield 1.82%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Illinois Tool Works Inc ranks 173 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

 growth
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.3% 5 year annualized EPS growth, -5.2% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of -10% speak to its relatively poor ranking.

Illinois Tool Works Inc (ITW)
Industrial Goods | Diversified Machinery
CEO: Ernest Scott Santi
Employees: 48000
itw.com


tickrz rank
C

VALUATION RATIOS
P/E Ratio22.74x
P/B Ratio10.64x
P/S Ratio3.47x
EV/EBITDA Ratio15.09x
DIVIDEND ANALYSIS
Dividend Yield1.82%
Payout Ratio40.28%
3 yr Dividend Growth14.47%
FINANCIAL STRENGTH
Piotroski F-Score7
Debt-to-Equity160%
Interest Coverage13.3x
MOAT
ROE43.27%
ROIC23.64%
Net Margin14.96%
GROWTH
5 yr EPS Growth6.35%
5 yr SPS Growth-5.23%
5 yr BPS Growth-9.95%

TICKRZ RANK
Illinois Tool Works Inc receives a C ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.

PURE VALUE
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Illinois Tool Works Inc's valuation score is comprised of a P/E ratio of 22.7x, a P/B ratio of 10.6x, a P/S ratio of 3.5x, and an EV/EBITDA ratio of 15.1x. Illinois Tool Works Inc ranks 356 out of the S&P 500 constituents on valuation--a relatively weak score.

WARREN BUFFETT RANKING
Illinois Tool Works Inc ranks 283 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a average score, meaning it ranks in the middle of the pack on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Illinois Tool Works Inc is probably not for you. However, the company's moat is strong so it could be worth investigating in the future should its valuation improve.

MOAT
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is strong. Illinois Tool Works Inc appears to have a durable competitive advantage within the Industrial Goods sector.

FINANCIAL STRENGTH
Illinois Tool Works Inc has a Piotroski F Score of 7 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 13.3x, a debt/equity ratio of 160% and a Moat Rank of 132 translate to a strong Financial Strength score.

MOMENTUM
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 28.57% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 87. Illinois Tool Works Inc's strong 12 month stock performance will appeal to momentum investors.

VALUE + YIELD
Shares currently yield 1.82%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Illinois Tool Works Inc ranks 173 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

GROWTH
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.3% 5 year annualized EPS growth, -5.2% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of -10% speak to its relatively poor ranking.