-0.37%
3.65%
-1.49%
6.98%
1.41%
11.21%
46.87%
AI Spotlight on ITW
Company Description
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 based in Glenview, Illinois.
Market Data
| Last Price | 259.16 |
| Change Percentage | -0.37% |
| Open | 259.4 |
| Previous Close | 260.13 |
| Market Cap ( Millions) | 76530 |
| Volume | 1253943 |
| Year High | 279.13 |
| Year Low | 232.77 |
| M A 50 | 263.12 |
| M A 200 | 252.63 |
Financial Ratios
| FCF Yield | 3.60% |
| Dividend Yield | 2.24% |
| ROE | 111.60% |
| Debt / Equity | 246.12% |
| Net Debt / EBIDTA | 147.04% |
| Price To Book | 22.63 |
| Price Earnings Ratio | 22.21 |
| Price To FCF | 27.77 |
| Price To sales | 4.8 |
| EV / EBITDA | 16.68 |
News
- Jan -31 - Illinois Tool Gears Up to Report Q4 Earnings: What to Expect
- Jan -24 - What Can The Dividend Kings Deliver In 2025?
- Jan -22 - Here's Why You Should Avoid Investing in Illinois Tool Stock Right Now
- Jan -21 - 3 Unstoppable Dividend Stocks to Buy Even if There's a Stock Market Sell-Off in 2025
- Jan -13 - ITW Schedules Fourth Quarter and Full Year 2024 Earnings Webcast
- Jan -08 - Can Illinois Tool Works (ITW) Keep the Earnings Surprise Streak Alive?
- Jan -01 - All It Takes Is $3,000 Invested in Each of These 3 Dividend Kings to Help Generate $280 in Passive Income in 2025
- Dec -30 - Highest Quality Dividend Kings For 2025
- Dec -28 - 3 Dividend Stocks to Double Up on Right Now
- Dec -18 - Illinois Tool Benefits From Business Strength Amid Headwinds
- Dec -04 - 3 Dividend King Stocks Near All-Time Highs That You Can Still Buy in December
- Nov -29 - Illinois Tool Works (ITW) Up 5.7% Since Last Earnings Report: Can It Continue?
- Nov -29 - 2 Outstanding Dividend King Stocks and 1 ETF to Buy for a Lifetime of Passive Income
- Nov -27 - Illinois Tool Works: Customer-Back Innovation And Improving Macros To Drive Upside
- Nov -27 - Illinois Tool Stock Exhibits Strong Prospects Despite Headwinds
- Nov -11 - Illinois Tool Works: Stagnant Growth May Hinder This Stock
- Oct -30 - Illinois Tool Works Inc. (ITW) Q3 2024 Earnings Conference Call Transcript
- Oct -30 - Illinois Tool's Q3 Earnings Surpass Estimates, Revenues Miss
- Oct -30 - Illinois Tool Works (ITW) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
- Oct -30 - Illinois Tool Works (ITW) Tops Q3 Earnings Estimates
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Automotive OEM
Expected Growth : 3.5 %
What the company do ?
Why we expect these perspectives ?
The 3.5% growth of Automotive OEM from Illinois Tool Works Inc. is driven by increasing demand for electric vehicles, autonomous driving, and advanced safety features. Additionally, the company's focus on innovation, cost reduction, and strategic acquisitions have contributed to its growth. Furthermore, the rising trend of vehicle electrification and the need for lightweight materials have also boosted the segment's growth.
Segment n°2 -> Test & Measurement and Electronics
Expected Growth : 3.8 %
What the company do ?
Why we expect these perspectives ?
Illinois Tool Works' Test & Measurement and Electronics segment growth of 3.8% is driven by increasing demand for electronic test and measurement solutions, particularly in the automotive and aerospace industries. Additionally, the company's diversified product portfolio, strong brand recognition, and strategic acquisitions have contributed to its growth.
Segment n°3 -> Food Equipment
Expected Growth : 3.2 %
What the company do ?
Why we expect these perspectives ?
The 3.2% growth in Food Equipment from Illinois Tool Works Inc. is driven by increasing demand for automated food processing and packaging solutions, particularly in the meat and dairy industries. Additionally, the company's focus on innovation, customer relationships, and strategic acquisitions have contributed to its growth momentum.
Segment n°4 -> Construction Products
Expected Growth : 4.2 %
What the company do ?
Why we expect these perspectives ?
Illinois Tool Works Inc.'s Construction Products segment growth of 4.2% is driven by increasing demand for infrastructure development, residential construction, and renovation projects. Additionally, the company's diversified product portfolio, including welding equipment, construction materials, and hardware, contributes to its growth. Furthermore, ITW's strategic acquisitions and investments in emerging markets also support the segment's expansion.
Segment n°5 -> Welding
Expected Growth : 3.9 %
What the company do ?
Why we expect these perspectives ?
The 3.9% growth in Welding segment of Illinois Tool Works Inc. is driven by increasing demand for welding equipment and consumables from automotive, construction, and general industries. Additionally, the company's focus on innovation, cost savings initiatives, and strategic acquisitions have contributed to the growth.
Segment n°6 -> Polymers & Fluids
Expected Growth : 4.1 %
What the company do ?
Why we expect these perspectives ?
The 4.1% growth in Polymers & Fluids segment of Illinois Tool Works Inc. is driven by increasing demand for specialty coatings and adhesives in the automotive and industrial markets, coupled with the company's strategic acquisitions and investments in innovative technologies, resulting in expanded product offerings and improved operational efficiencies.
Segment n°7 -> Specialty Products
Expected Growth : 3.6 %
What the company do ?
Why we expect these perspectives ?
Illinois Tool Works' Specialty Products segment growth of 3.6% is driven by increasing demand for welding and automotive aftermarket products, as well as the company's strategic acquisitions and investments in emerging markets. Additionally, the segment benefits from ITW's diversified portfolio and strong brand recognition, enabling it to capitalize on growth opportunities in the industrial and automotive industries.
Segment n°8 -> Intersegment Revenue
Expected Growth : 3.4 %
What the company do ?
Why we expect these perspectives ?
The 3.4% intersegment revenue growth of Illinois Tool Works Inc. is driven by increasing demand for automotive and industrial products, expansion in emerging markets, and strategic acquisitions. Additionally, the company's diversified portfolio and operational excellence initiatives have contributed to the growth.
Illinois Tool Works Inc. Products
| Product Range | What is it ? |
|---|---|
| Welding | ITW's welding segment provides equipment, consumables, and accessories for various welding processes, including MIG, TIG, arc, and spot welding. |
| Food Equipment | ITW's food equipment segment offers commercial food equipment, including ovens, refrigerators, and dishwashers, for the foodservice and food retail industries. |
| Polymers & Fluids | ITW's polymers and fluids segment provides adhesives, sealants, lubricants, and other specialty chemicals for various industries, including automotive, aerospace, and construction. |
| Test & Measurement and Electronics | ITW's test and measurement and electronics segment offers equipment and consumables for testing, measurement, and inspection applications, as well as electronic components and assemblies. |
| Wuhan | ITW's Wuhan segment provides equipment and consumables for the Chinese welding market. |
| Automotive OEM | ITW's automotive OEM segment provides components and systems for automotive original equipment manufacturers, including fasteners, components, and assemblies. |
| Automotive Aftermarket | ITW's automotive aftermarket segment offers repair and maintenance products, including brake pads, friction materials, and vehicle accessories. |
Illinois Tool Works Inc.'s Porter Forces
Threat Of Substitutes
Illinois Tool Works Inc. has a diversified product portfolio, which reduces the threat of substitutes. The company's products are highly specialized and customized, making it difficult for substitutes to enter the market.
Bargaining Power Of Customers
The bargaining power of customers is moderate due to the presence of large industrial customers. However, Illinois Tool Works Inc. has a strong brand reputation and a diversified customer base, which reduces the bargaining power of individual customers.
Bargaining Power Of Suppliers
The bargaining power of suppliers is low due to the company's large scale of operations and its ability to negotiate prices with suppliers. Illinois Tool Works Inc. also has a diversified supplier base, which reduces dependence on individual suppliers.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the industry. Illinois Tool Works Inc. has a strong brand reputation, a large customer base, and a significant investment in research and development, making it difficult for new entrants to compete.
Intensity Of Rivalry
The intensity of rivalry is high due to the presence of established competitors in the industry. Illinois Tool Works Inc. operates in a highly competitive market, and the company needs to continuously innovate and improve its products to maintain its market share.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 73.54% |
| Debt Cost | 4.24% |
| Equity Weight | 26.46% |
| Equity Cost | 9.59% |
| WACC | 5.65% |
| Leverage | 277.89% |
Illinois Tool Works Inc. : Quality Control
Illinois Tool Works Inc. passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
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| OTIS | Otis Worldwide Corporation manufactures, installs, and services elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment … |
| EMR | Emerson Electric Co., a technology and engineering company, provides various solutions for customers in industrial, commercial, and residential markets in the Americas, Asia, the Middle East, Africa, and Europe. The … |
| IR | Ingersoll Rand Inc. provides various mission-critical air, fluid, energy, specialty vehicle and medical technologies in the United States, Europe, the Middle East, Africa, and the Asia Pacific. It operates through … |
| AME | AMETEK, Inc. manufactures and sells electronic instruments and electromechanical devices worldwide. It operates in two segments, Electronic Instruments (EIG) and Electromechanical (EMG). The company's EIG segment offers advanced instruments for … |
Peers Metrics
DCF BETA
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Scoring Insights
Peers Group Analysis
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Cummins
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Otis
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Emerson Electric
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ITW
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AMETEK
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