Illinois Tool Works Inc (ITW)vsL3Harris Technologies Inc (LHX)
ITW
Illinois Tool Works Inc
$252.72
+0.64%
INDUSTRIALS · Cap: $71.52B
LHX
L3Harris Technologies Inc
$303.45
-1.52%
INDUSTRIALS · Cap: $57.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 26% more annual revenue ($16.22B vs $12.86B). ITW leads profitability with a 19.3% profit margin vs 10.4%. LHX appears more attractively valued with a PEG of 1.75. ITW earns a higher WallStSmart Score of 60/100 (C).
ITW
Buy60
out of 100
Grade: C
LHX
Buy54
out of 100
Grade: C-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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%
Revenue surging 190.0% year-over-year
Large-cap with strong market position
Conservative balance sheet, low leverage
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
4.6% revenue growth
Weak financial health signals
Trading at 22.6x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 6.1%
Negative free cash flow — burning cash
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 19.3% and operating margin at 25.7%.
Bull Case : LHX
The strongest argument for LHX centers on Revenue Growth, Market Cap, Debt/Equity. Revenue growth of 190.0% demonstrates continued momentum.
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.
Bear Case : LHX
The primary concerns for LHX are PEG Ratio, P/E Ratio, EPS Growth.
Key Dynamics to Monitor
ITW profiles as a value stock while LHX is a growth play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.05 — expect wider price swings.
LHX is growing revenue faster at 190.0% — sustainability is the question.
ITW generates stronger free cash flow (528M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (60/100 vs 54/100), 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.
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.
L3Harris Technologies Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
L3Harris Technologies (L3Harris) is an American technology company, defense contractor and information technology services provider that produces C6ISR systems and products, wireless equipment, tactical radios, avionics and electronic systems, night vision equipment, and both terrestrial and spaceborne antennas for use in the government, defense, and commercial sectors.
Compare with Other SPECIALTY INDUSTRIAL MACHINERY Stocks
Want to dig deeper into these stocks?