Illinois Tool Works Inc (ITW)vsLockheed Martin Corporation (LMT)
ITW
Illinois Tool Works Inc
$286.75
-0.68%
INDUSTRIALS · Cap: $79.16B
LMT
Lockheed Martin Corporation
$604.19
-0.98%
INDUSTRIALS · Cap: $147.14B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 375% more annual revenue ($79.12B vs $16.65B). ITW leads profitability with a 19.4% profit margin vs 8.2%. LMT appears more attractively valued with a PEG of 1.19. LMT earns a higher WallStSmart Score of 65/100 (C+).
ITW
Buy58
out of 100
Grade: C
LMT
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
-55.4%
Fair Value
$364.87
Current Price
$604.19
$239.32 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 103 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 28.1%
Every $100 of equity generates 65 in profit
Large-cap with strong market position
Generating 3.0B in free cash flow
Areas to Watch
4.4% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 26.0x book value
Trading at 13.8x book value
Weak financial health signals
Elevated debt levels
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 19.4% and operating margin at 28.1%.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, Market Cap, Free Cash Flow. Revenue growth of 11.3% demonstrates continued momentum. PEG of 1.19 suggests the stock is reasonably priced for its growth.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.98 is elevated, increasing financial risk.
Bear Case : LMT
The primary concerns for LMT are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.04 is elevated, increasing financial risk.
Key Dynamics to Monitor
ITW carries more volatility with a beta of 0.97 — expect wider price swings.
LMT is growing revenue faster at 11.3% — sustainability is the question.
LMT generates stronger free cash flow (3.0B), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LMT scores higher overall (65/100 vs 58/100) and 11.3% 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.
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.
Lockheed Martin Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Lockheed Martin Corporation is an American aerospace, defense, information security, and technology company with worldwide interests. It is headquartered in North Bethesda, Maryland, in the Washington, D.C., area.
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