Illinois Tool Works Inc (ITW)vsLennox International Inc (LII)
ITW
Illinois Tool Works Inc
$252.72
+0.64%
INDUSTRIALS · Cap: $71.52B
LII
Lennox International Inc
$508.43
-1.86%
INDUSTRIALS · Cap: $17.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 209% more annual revenue ($16.22B vs $5.26B). ITW leads profitability with a 19.3% profit margin vs 15.1%. LII appears more attractively valued with a PEG of 1.48. ITW earns a higher WallStSmart Score of 60/100 (C).
ITW
Buy60
out of 100
Grade: C
LII
Buy58
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%
Every $100 of equity generates 65 in profit
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
4.6% revenue growth
Weak financial health signals
Trading at 22.6x book value
Trading at 14.6x book value
Elevated debt levels
Weak financial health signals
Earnings declined 7.7%
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 : LII
The strongest argument for LII centers on Return on Equity, Altman Z-Score. Profitability is solid with margins at 15.1% and operating margin at 14.3%. PEG of 1.48 suggests the stock is reasonably priced for its growth.
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 : LII
The primary concerns for LII are Price/Book, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.61 is elevated, increasing financial risk.
Key Dynamics to Monitor
ITW profiles as a value stock while LII is a mature play — different risk/reward profiles.
LII carries more volatility with a beta of 1.19 — expect wider price swings.
LII is growing revenue faster at 5.8% — sustainability is the question.
ITW generates stronger free cash flow (528M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (60/100 vs 58/100), 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.
Lennox International Inc
INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA
Lennox International Inc. designs, manufactures and markets a range of products for the heating, ventilation, air conditioning and refrigeration markets in the United States, Canada and internationally. The company is headquartered in Richardson, Texas.
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