Berkshire Hathaway Inc (BRK-A)vsIllinois Tool Works Inc (ITW)
BRK-A
Berkshire Hathaway Inc
$718,250.00
-0.24%
FINANCIAL SERVICES · Cap: $1.04T
ITW
Illinois Tool Works Inc
$266.45
+0.53%
INDUSTRIALS · Cap: $76.38B
Smart Verdict
WallStSmart Research — data-driven comparison
Berkshire Hathaway Inc generates 2215% more annual revenue ($371.44B vs $16.04B). ITW leads profitability with a 19.1% profit margin vs 18.0%. ITW appears more attractively valued with a PEG of 2.61. ITW earns a higher WallStSmart Score of 58/100 (C).
BRK-A
Buy53
out of 100
Grade: C-
ITW
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-134.1%
Fair Value
$316589.98
Current Price
$718250.00
$401660.02 premium
Margin of Safety
-53.6%
Fair Value
$194.04
Current Price
$266.45
$72.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Reasonable price relative to book value
Strong operational efficiency at 33.0%
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Generating 5.0B in free cash flow
Every $100 of equity generates 94 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.8%
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Revenue declined 0.7%
Earnings declined 2.5%
Moderate valuation
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : BRK-A
The strongest argument for BRK-A centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 18.0% and operating margin at 33.0%.
Bull Case : ITW
The strongest argument for ITW centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.1% and operating margin at 26.8%.
Bear Case : BRK-A
The primary concerns for BRK-A are Piotroski F-Score, PEG Ratio, Revenue Growth.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Revenue Growth, Piotroski F-Score.
Key Dynamics to Monitor
BRK-A profiles as a declining stock while ITW is a value play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.12 — expect wider price swings.
ITW is growing revenue faster at 4.1% — sustainability is the question.
BRK-A generates stronger free cash flow (5.0B), providing more financial flexibility.
Bottom Line
ITW scores higher overall (58/100 vs 53/100), backed by strong 19.1% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Berkshire Hathaway Inc
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA
Berkshire Hathaway Inc. is an American multinational conglomerate holding company headquartered in Omaha, Nebraska, United States. The company wholly owns GEICO, Duracell, Dairy Queen, BNSF, Lubrizol, Fruit of the Loom, Helzberg Diamonds, Long & Foster, FlightSafety International, Pampered Chef, Forest River, and NetJets, and also owns 38.6% of Pilot Flying J; and significant minority holdings in public companies Kraft Heinz Company (26.7%), American Express (18.8%), The Coca-Cola Company (9.32%), Bank of America (11.9%), and Apple (6.3%).
Visit Website →Illinois Tool Works Inc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Illinois Tool Works Inc. or ITW is an American company that produces engineered fasteners and components, equipment and consumable systems, and specialty products.
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