Donaldson Company Inc (DCI)vsIllinois Tool Works Inc (ITW)
DCI
Donaldson Company Inc
$83.65
-0.48%
INDUSTRIALS · Cap: $10.01B
ITW
Illinois Tool Works Inc
$252.72
+0.64%
INDUSTRIALS · Cap: $71.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 326% more annual revenue ($16.22B vs $3.81B). ITW leads profitability with a 19.3% profit margin vs 11.5%. DCI appears more attractively valued with a PEG of 1.65. DCI earns a higher WallStSmart Score of 66/100 (B-).
DCI
Strong Buy66
out of 100
Grade: B-
ITW
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-73.0%
Fair Value
$63.93
Current Price
$83.65
$19.72 premium
Intrinsic value data unavailable for ITW.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 108.3% YoY
Safe zone — low bankruptcy risk
Every $100 of equity generates 24 in profit
Every $100 of equity generates 97 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 25.7%
Areas to Watch
Expensive relative to growth rate
Expensive relative to growth rate
4.6% revenue growth
Weak financial health signals
Trading at 22.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : DCI
The strongest argument for DCI centers on EPS Growth, Altman Z-Score, Return on Equity.
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 25.7%.
Bear Case : DCI
The primary concerns for DCI are PEG Ratio.
Bear Case : ITW
The primary concerns for ITW are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 2.83 is elevated, increasing financial risk.
Key Dynamics to Monitor
ITW carries more volatility with a beta of 1.05 — expect wider price swings.
DCI is growing revenue faster at 5.8% — sustainability is the question.
ITW generates stronger free cash flow (528M), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DCI scores higher overall (66/100 vs 60/100). Both earn "Strong 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.
Donaldson Company Inc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Donaldson Company, Inc. manufactures and sells filtration systems and replacement parts worldwide. The company is headquartered in Bloomington, Minnesota.
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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