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Illinois Tool Works Inc ITW Stock Quote

| Rating as of

NYSE: ITW

Last close prices updated as of May 31, 2023, 11:33 AM EST | USD | BATS BZX Real-Time Price
  • Last Close 223.4
  • Sector Industrials
  • Industry Specialty Industrial Machinery
  • Investment Style Large Blend
  • Day Range 217.39  –  223.18
  • Year Range 173.52  –  247.09
  • Market Cap 66.2371 Bil
  • Volume / Avg 237,957.0 /  1.1 Mil
  • Price / Sales 4.31
  • Price / Book 21.90
  • Forward Div Yield 2.35%
  • Trailing Div Yield 2.36%

Morningstar‘s Stock Analysis ITW

Valuation
Currency in
Is it the right time to buy or sell?
Is it the right time to buy or sell?

1-Star Price

INVESTOR

5-Star Price

INVESTOR

Economic Moat

INVESTOR

Capital Allocation

INVESTOR

ITW Earnings: Despite Stock Decline, We Still Think ITW Remains Overvalued

Joshua Aguilar Senior Equity Analyst

Analyst Note

| Joshua Aguilar |

Nothing in narrow-moat-rated Illinois Tool Works' latest results materially alters our long-term view. Even on a near-term basis, results were broadly in line with our expectations, as both revenue and GAAP EPS missed our expectations by a negligible 1%. Even so, they mostly followed a typical seasonal pattern. Therefore, we maintain our $203 fair value estimate. While the stock fell nearly 5% on the May 2 trading day, we still think the stock is about 15% overvalued. We value Illinois Tool Works at 21 times our 2023 GAAP EPS estimate of $9.69, just above the midpoint of the company’s revised EPS guidance.

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Key Statistics ITW

Company Profile ITW

Business Description

Illinois Tool Works is a diversified global manufacturer that produces specialized industrial equipment, consumables, and related services. The firm operates 87 global divisions through seven distinct operating segments: automotive OEM, construction products, food equipment, specialty products, test/measurement and electronics, polymers and fluids, and welding. About half of its revenue comes from its operations in North America, with the remainder originating from international markets. ITW takes a bottom-up and decentralized approach to portfolio management, with the exception that each segment must apply its 80/20 operating process modeled on the Pareto principle.

Contact
155 Harlem Avenue
Glenview, IL, 60025
Industry Specialty Industrial Machinery
Employees 46,000

Related Articles ITW

Morningstar analysts hand-select direct competitors or comparable companies to provide context on the strength and durability of ITW’s competitive advantage.

Illinois Tool Works Inc

XNYS: ITW

3M Co

XNYS: MMM

AMETEK Inc

XNYS: AME

BorgWarner Inc

XNYS: BWA
Price
218.0293.67145.0944.32
Currency
USDUSDUSDUSD
Change
−$5.38 (2.41%) −$2.39 (2.49%) −$2.44 (1.65%) −$2.22 (4.77%)
Market Cap
66.24 Bil51.60 Bil33.43 Bil10.39 Bil
Industry
Specialty Industrial Machinery Conglomerates Specialty Industrial Machinery Auto Parts
Sector
Industrials
Industrials
Industrials
Consumer Cyclical

* Trading data in this section is delayed by at least 15 minutes.

FAQs for Illinois Tool Works Inc Stock

Yes. ITW has a forward dividend yield of 2.35%. See ITW’s full dividends and stock split history on the Dividend tab.
Dividend yield allows investors, particularly those interested in dividend-paying stocks, to compare the relationship between a stock’s price and how it rewards stockholders through dividends. The formula for calculating dividend yield is to divide the annual dividend paid per share by the stock price.

Learn more about dividend yield.

ITW’s market cap is 66.24 Bil.
Market capitalization is calculated by taking a company’s share price and multiplying it by the total number of shares. It’s often used to measure a company’s size. In the Morningstar Style Box, large-cap names account for the largest 70% of U.S. stocks, mid-cap names account for the largest 70–90%, and small-cap names are the remaining 10% of companies.

Learn more about market capitalization.

ITW’s stock style is Large Core.
Style is an investment factor that has a meaningful impact on investment risk and returns. Style is calculated by combining value and growth scores, which are first individually calculated.

High-growth stocks tend to represent the technology, healthcare, and communications sectors. They rarely distribute dividends to shareholders, opting for reinvestment in their businesses. More value-oriented stocks tend to represent financial services, utilities, and energy stocks. These are established companies that reliably pay dividends.

Learn more about style.

ITW’s price/sales is 4.31.
Price/sales represents the amount an investor is willing to pay for a dollar generated from a particular company’s sales or revenues.

ITW’s price/forward earnings is 22.36.
Forward P/E gives some indication of how cheap or expensive a stock is compared with consensus earnings estimates. The lower the Forward P/E, the cheaper the stock.

ITW’s price/book is 21.90.
Price/book ratio can tell investors approximately how much they’re paying for a company’s assets, based on historical, rather than current, valuations. Historical valuations generally do not reflect a company’s current market value. Value investors frequently look for companies that have low price/book ratios.

See ITW’s valuation ratios compared to the Market Index.

ITW’s beta can be found in Trading Information at the top of this page.
A stock’s beta measures how closely tied its price movements have been to the performance of the overall market.

Compare ITW’s historical performance against its industry peers and the overall market.