Illinois Tool Works Inc (ITW)vsParker-Hannifin Corporation (PH)
ITW
Illinois Tool Works Inc
$257.68
-1.13%
INDUSTRIALS · Cap: $77.42B
PH
Parker-Hannifin Corporation
$894.41
-0.62%
INDUSTRIALS · Cap: $112.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Parker-Hannifin Corporation generates 28% more annual revenue ($20.46B vs $16.04B). ITW leads profitability with a 19.1% profit margin vs 17.3%. ITW appears more attractively valued with a PEG of 2.71. ITW earns a higher WallStSmart Score of 58/100 (C).
ITW
Buy58
out of 100
Grade: C
PH
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-53.9%
Fair Value
$193.67
Current Price
$257.68
$64.01 premium
Margin of Safety
-434.9%
Fair Value
$186.18
Current Price
$894.41
$708.23 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 94 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.8%
Large-cap with strong market position
Every $100 of equity generates 26 in profit
Strong operational efficiency at 21.7%
Areas to Watch
Moderate valuation
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Expensive relative to growth rate
Earnings declined 9.0%
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 19.1% and operating margin at 26.8%.
Bull Case : PH
The strongest argument for PH centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.3% and operating margin at 21.7%.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : PH
The primary concerns for PH are P/E Ratio, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
ITW profiles as a value stock while PH is a mature play — different risk/reward profiles.
PH carries more volatility with a beta of 1.22 — expect wider price swings.
PH is growing revenue faster at 9.1% — sustainability is the question.
ITW generates stronger free cash flow (858M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (58/100 vs 54/100), backed by strong 19.1% 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.
Parker-Hannifin Corporation
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Parker-Hannifin Corporation, originally Parker Appliance Company, usually referred to as just Parker, is an American corporation specializing in motion and control technologies. Its corporate headquarters are in Mayfield Heights, Ohio, in Greater Cleveland.
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