WallStSmart

Illinois Tool Works Inc (ITW)vsQXO, Inc. (QXO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 134% more annual revenue ($16.04B vs $6.84B). ITW leads profitability with a 19.1% profit margin vs -4.1%. ITW appears more attractively valued with a PEG of 2.69. ITW earns a higher WallStSmart Score of 58/100 (C).

ITW

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 9.5Value: 4.3Quality: 5.8
Piotroski: 3/9Altman Z: 4.71

QXO

Hold

48

out of 100

Grade: D+

Growth: 8.0Profit: 2.5Value: 3.0Quality: 4.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ITW.

QXOSignificantly Overvalued (-17.0%)

Margin of Safety

-17.0%

Fair Value

$23.12

Current Price

$19.61

$3.51 premium

UndervaluedFair: $23.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
93.7%10/10

Every $100 of equity generates 94 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$74.36B9/10

Large-cap with strong market position

Operating MarginProfitability
26.8%8/10

Strong operational efficiency at 26.8%

QXO2 strengths · Avg: 9.0/10
Revenue GrowthGrowth
14725.0%10/10

Revenue surging 14725.0% year-over-year

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Areas to Watch

ITW4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.692/10

Expensive relative to growth rate

Price/BookValuation
23.1x2/10

Trading at 23.1x book value

QXO4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.882/10

Expensive relative to growth rate

Return on EquityProfitability
-3.8%2/10

ROE of -3.8% — 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 19.1% and operating margin at 26.8%.

Bull Case : QXO

The strongest argument for QXO centers on Revenue Growth, Price/Book. Revenue growth of 14725.0% demonstrates continued momentum.

Bear Case : ITW

The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.

Bear Case : QXO

The primary concerns for QXO are EPS Growth, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

ITW profiles as a value stock while QXO is a hypergrowth play — different risk/reward profiles.

QXO carries more volatility with a beta of 2.47 — expect wider price swings.

QXO is growing revenue faster at 14725.0% — sustainability is the question.

ITW generates stronger free cash flow (858M), providing more financial flexibility.

Bottom Line

ITW scores higher overall (58/100 vs 48/100), backed by strong 19.1% margins. Both earn "Buy" and "Hold" 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.

QXO, Inc.

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

QXO, Inc. is a business application, technology, and consulting company in North America. The company is headquartered in Greenwich, Connecticut.

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