WallStSmart

WW Grainger Inc (GWW)vsMSC Industrial Direct Company Inc (MSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

WW Grainger Inc generates 371% more annual revenue ($17.94B vs $3.81B). GWW leads profitability with a 9.5% profit margin vs 5.4%. GWW appears more attractively valued with a PEG of 1.81. MSM earns a higher WallStSmart Score of 51/100 (C-).

GWW

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 7.3Quality: 7.3
Piotroski: 5/9

MSM

Buy

51

out of 100

Grade: C-

Growth: 6.7Profit: 6.0Value: 8.0Quality: 6.3
Piotroski: 3/9Altman Z: 3.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GWWSignificantly Overvalued (-399.9%)

Margin of Safety

-399.9%

Fair Value

$240.52

Current Price

$1075.87

$835.35 premium

UndervaluedFair: $240.52Overvalued
MSMFair Value (-0.8%)

Margin of Safety

-0.8%

Fair Value

$94.25

Current Price

$91.90

$2.35 premium

UndervaluedFair: $94.25Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GWW2 strengths · Avg: 9.5/10
Return on EquityProfitability
46.1%10/10

Every $100 of equity generates 46 in profit

Market CapQuality
$50.97B9/10

Large-cap with strong market position

MSM1 strengths · Avg: 10.0/10
Altman Z-ScoreHealth
3.1910/10

Safe zone — low bankruptcy risk

Areas to Watch

GWW4 concerns · Avg: 4.0/10
PEG RatioValuation
1.814/10

Expensive relative to growth rate

P/E RatioValuation
30.4x4/10

Premium valuation, high expectations priced in

Price/BookValuation
13.7x4/10

Trading at 13.7x book value

Revenue GrowthGrowth
4.5%4/10

4.5% revenue growth

MSM4 concerns · Avg: 3.8/10
PEG RatioValuation
2.244/10

Expensive relative to growth rate

P/E RatioValuation
25.0x4/10

Moderate valuation

Revenue GrowthGrowth
4.0%4/10

4.0% revenue growth

Profit MarginProfitability
5.4%3/10

5.4% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : GWW

The strongest argument for GWW centers on Return on Equity, Market Cap.

Bull Case : MSM

The strongest argument for MSM centers on Altman Z-Score.

Bear Case : GWW

The primary concerns for GWW are PEG Ratio, P/E Ratio, Price/Book.

Bear Case : MSM

The primary concerns for MSM are PEG Ratio, P/E Ratio, Revenue Growth.

Key Dynamics to Monitor

GWW carries more volatility with a beta of 1.09 — expect wider price swings.

GWW is growing revenue faster at 4.5% — sustainability is the question.

GWW generates stronger free cash flow (269M), providing more financial flexibility.

Monitor INDUSTRIAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MSM scores higher overall (51/100 vs 50/100). 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.

WW Grainger Inc

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

W. W. Grainger, Inc. is an American Fortune 500 industrial supply company founded in 1927 in Chicago by William W. (Bill) Grainger.

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MSC Industrial Direct Company Inc

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

MSC Industrial Direct Co., Inc., distributes metalworking and maintenance, repair and operations (MRO) products in the United States, Canada, Mexico, and the United Kingdom. The company is headquartered in Melville, New York.

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