Centene Corp (CNC)vsIllinois Tool Works Inc (ITW)
CNC
Centene Corp
$55.33
+4.44%
HEALTHCARE · Cap: $26.34B
ITW
Illinois Tool Works Inc
$260.52
+2.35%
INDUSTRIALS · Cap: $73.63B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 999% more annual revenue ($178.33B vs $16.22B). ITW leads profitability with a 19.3% profit margin vs -3.6%. CNC appears more attractively valued with a PEG of 1.02. ITW earns a higher WallStSmart Score of 60/100 (C).
CNC
Buy57
out of 100
Grade: C
ITW
Buy60
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 3.4B in free cash flow
Every $100 of equity generates 97 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 25.4%
Areas to Watch
ROE of -26.0% — below average capital efficiency
Currently unprofitable
4.6% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.3x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, Free Cash Flow. PEG of 1.02 suggests the stock is reasonably priced for its growth.
Bull Case : ITW
The strongest argument for ITW centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.3% and operating margin at 25.4%.
Bear Case : CNC
The primary concerns for CNC are Return on Equity, Profit Margin.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
CNC profiles as a turnaround stock while ITW is a value play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.15 — expect wider price swings.
CNC is growing revenue faster at 5.1% — sustainability is the question.
Monitor HEALTHCARE PLANS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ITW scores higher overall (60/100 vs 57/100), backed by strong 19.3% 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.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
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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