WallStSmart

Illinois Tool Works Inc (ITW)vsOtis Worldwide Corp (OTIS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 11% more annual revenue ($16.22B vs $14.65B). ITW leads profitability with a 19.3% profit margin vs 10.1%. OTIS appears more attractively valued with a PEG of 1.35. OTIS earns a higher WallStSmart Score of 62/100 (C+).

ITW

Buy

60

out of 100

Grade: C

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

OTIS

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 5.7Quality: 6.0
Piotroski: 5/9Altman Z: 1.83

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%

OTIS2 strengths · Avg: 9.0/10
Debt/EquityHealth
-1.4510/10

Conservative balance sheet, low leverage

EPS GrowthGrowth
42.6%8/10

Earnings expanding 42.6% YoY

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

OTIS2 concerns · Avg: 3.5/10
Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

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 : OTIS

The strongest argument for OTIS centers on Debt/Equity, EPS Growth. PEG of 1.35 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 : OTIS

The primary concerns for OTIS are Altman Z-Score, Return on Equity.

Key Dynamics to Monitor

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

OTIS is growing revenue faster at 6.4% — sustainability is the question.

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

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

OTIS scores higher overall (62/100 vs 60/100). 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.

Otis Worldwide Corp

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Otis Worldwide Corporation is an American company that develops, manufactures and markets elevators, escalators, moving walkways, and related equipment.

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