Illinois Tool Works Inc (ITW)vsLegence Corp. Class A Common stock (LGN)
ITW
Illinois Tool Works Inc
$258.01
-2.88%
INDUSTRIALS · Cap: $74.36B
LGN
Legence Corp. Class A Common stock
$80.74
+0.20%
INDUSTRIALS · Cap: $13.26B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 529% more annual revenue ($16.04B vs $2.55B). ITW leads profitability with a 19.1% profit margin vs -2.3%. ITW earns a higher WallStSmart Score of 58/100 (C).
ITW
Buy58
out of 100
Grade: C
LGN
Avoid35
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
+34.0%
Fair Value
$81.29
Current Price
$80.74
$0.55 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 94 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.8%
Revenue surging 34.6% year-over-year
Areas to Watch
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.1x book value
Trading at 13.1x book value
0.0% earnings growth
Operating margin of 1.2%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : ITW
The strongest argument for ITW centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.1% and operating margin at 26.8%.
Bull Case : LGN
The strongest argument for LGN centers on Revenue Growth. Revenue growth of 34.6% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : LGN
The primary concerns for LGN are Price/Book, EPS Growth, Operating Margin.
Key Dynamics to Monitor
ITW profiles as a value stock while LGN is a hypergrowth play — different risk/reward profiles.
LGN is growing revenue faster at 34.6% — sustainability is the question.
ITW generates stronger free cash flow (858M), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ITW scores higher overall (58/100 vs 35/100), backed by strong 19.1% margins. LGN offers better value entry with a 34.0% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Legence Corp. Class A Common stock
INDUSTRIALS · ENGINEERING & CONSTRUCTION · USA
Legence Corp. The company is headquartered in San Jose, California.
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