Ferguson Plc (FERG)vsIllinois Tool Works Inc (ITW)
FERG
Ferguson Plc
$229.58
-0.44%
INDUSTRIALS · Cap: $45.66B
ITW
Illinois Tool Works Inc
$252.72
+0.64%
INDUSTRIALS · Cap: $71.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Ferguson Plc generates 91% more annual revenue ($31.06B vs $16.22B). ITW leads profitability with a 19.3% profit margin vs 6.3%. FERG appears more attractively valued with a PEG of 1.52. ITW earns a higher WallStSmart Score of 60/100 (C).
FERG
Buy59
out of 100
Grade: C
ITW
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-84.5%
Fair Value
$144.90
Current Price
$229.58
$84.68 premium
Intrinsic value data unavailable for ITW.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 35 in profit
Safe zone — low bankruptcy risk
Earnings expanding 23.0% YoY
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
3.6% revenue growth
6.3% margin — thin
Elevated debt levels
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 : FERG
The strongest argument for FERG centers on Return on Equity, Altman Z-Score, EPS 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 25.7%.
Bear Case : FERG
The primary concerns for FERG are PEG Ratio, Revenue Growth, Profit Margin.
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
FERG carries more volatility with a beta of 1.13 — expect wider price swings.
ITW is growing revenue faster at 4.6% — sustainability is the question.
FERG generates stronger free cash flow (680M), providing more financial flexibility.
Monitor INDUSTRIAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ITW scores higher overall (60/100 vs 59/100), 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.
Ferguson Plc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Ferguson plc distributes plumbing and heating products in the United States, the United Kingdom, Canada and Central Europe. The company is headquartered in Wokingham, the United Kingdom.
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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