WallStSmart

Illinois Tool Works Inc (ITW)vsNordson Corporation (NDSN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 459% more annual revenue ($16.22B vs $2.90B). ITW leads profitability with a 19.3% profit margin vs 18.2%. NDSN appears more attractively valued with a PEG of 1.92. ITW earns a higher WallStSmart Score of 60/100 (C).

ITW

Buy

60

out of 100

Grade: C

Growth: 4.7Profit: 9.5Value: 5.0Quality: 5.0
Piotroski: 3/9Altman Z: 4.71

NDSN

Buy

59

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 3.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ITW.

NDSNSignificantly Overvalued (-88.8%)

Margin of Safety

-88.8%

Fair Value

$155.94

Current Price

$282.73

$126.79 premium

UndervaluedFair: $155.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
97.1%10/10

Every $100 of equity generates 97 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$71.52B9/10

Large-cap with strong market position

Operating MarginProfitability
25.7%8/10

Strong operational efficiency at 25.7%

NDSN1 strengths · Avg: 8.0/10
Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

Areas to Watch

ITW4 concerns · Avg: 3.3/10
PEG RatioValuation
2.434/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
22.6x2/10

Trading at 22.6x book value

NDSN2 concerns · Avg: 4.0/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

P/E RatioValuation
30.8x4/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull 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 : NDSN

The strongest argument for NDSN centers on Operating Margin. Profitability is solid with margins at 18.2% and operating margin at 23.5%.

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 : NDSN

The primary concerns for NDSN are PEG Ratio, P/E Ratio.

Key Dynamics to Monitor

ITW profiles as a value stock while NDSN is a mature play — different risk/reward profiles.

ITW carries more volatility with a beta of 1.05 — expect wider price swings.

NDSN is growing revenue faster at 8.5% — sustainability is the question.

ITW generates stronger free cash flow (528M), providing more financial flexibility.

Bottom Line

ITW scores higher overall (60/100 vs 59/100), 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.

Nordson Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Nordson Corporation designs, manufactures, and markets products and systems for dispensing, applying, and controlling adhesives, coatings, polymers, sealants, biomaterials, and other fluids globally. The company is headquartered in Westlake, Ohio.

Want to dig deeper into these stocks?