Federal Signal Corporation (FSS)vsIllinois Tool Works Inc (ITW)
FSS
Federal Signal Corporation
$128.21
+0.30%
INDUSTRIALS · Cap: $7.63B
ITW
Illinois Tool Works Inc
$296.66
+0.67%
INDUSTRIALS · Cap: $84.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 573% more annual revenue ($16.47B vs $2.45B). ITW leads profitability with a 19.4% profit margin vs 11.7%. FSS appears more attractively valued with a PEG of 1.92. FSS earns a higher WallStSmart Score of 64/100 (C+).
FSS
Buy64
out of 100
Grade: C+
ITW
Buy62
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
18.7% revenue growth
Earnings expanding 20.7% YoY
Every $100 of equity generates 97 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.7%
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Moderate valuation
Weak financial health signals
Expensive relative to growth rate
Trading at 26.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : FSS
The strongest argument for FSS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 18.7% demonstrates continued momentum.
Bull Case : ITW
The strongest argument for ITW centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.4% and operating margin at 26.7%.
Bear Case : FSS
The primary concerns for FSS are PEG Ratio, P/E Ratio, Piotroski F-Score.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.83 is elevated, increasing financial risk.
Key Dynamics to Monitor
FSS profiles as a growth stock while ITW is a mature play — different risk/reward profiles.
FSS carries more volatility with a beta of 1.23 — expect wider price swings.
FSS is growing revenue faster at 18.7% — sustainability is the question.
ITW generates stronger free cash flow (528M), providing more financial flexibility.
Bottom Line
FSS scores higher overall (64/100 vs 62/100) and 18.7% revenue growth. 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.
Federal Signal Corporation
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
Federal Signal Corporation designs, manufactures, and supplies a suite of integrated products and solutions for municipal, government, industrial, and commercial customers in the United States, Canada, Europe, and internationally. The company is headquartered in Oak Brook, Illinois.
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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