WallStSmart

Illinois Tool Works Inc (ITW)vsSherwin-Williams Co (SHW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sherwin-Williams Co generates 48% more annual revenue ($23.94B vs $16.22B). ITW leads profitability with a 19.3% profit margin vs 10.9%. ITW appears more attractively valued with a PEG of 2.58. ITW earns a higher WallStSmart Score of 60/100 (C).

ITW

Buy

60

out of 100

Grade: C

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

SHW

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 4.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ITW.

SHWUndervalued (+11.7%)

Margin of Safety

+11.7%

Fair Value

$358.94

Current Price

$316.82

$42.12 discount

UndervaluedFair: $358.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
96.9%10/10

Every $100 of equity generates 97 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$73.64B9/10

Large-cap with strong market position

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

SHW2 strengths · Avg: 9.5/10
Return on EquityProfitability
60.7%10/10

Every $100 of equity generates 61 in profit

Market CapQuality
$78.98B9/10

Large-cap with strong market position

Areas to Watch

ITW4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.582/10

Expensive relative to growth rate

Price/BookValuation
22.8x2/10

Trading at 22.8x book value

SHW3 concerns · Avg: 3.3/10
P/E RatioValuation
30.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
17.0x4/10

Trading at 17.0x book value

PEG RatioValuation
2.822/10

Expensive relative to growth rate

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 25.4%.

Bull Case : SHW

The strongest argument for SHW centers on Return on Equity, Market Cap.

Bear Case : ITW

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

Bear Case : SHW

The primary concerns for SHW are P/E Ratio, Price/Book, PEG Ratio.

Key Dynamics to Monitor

SHW carries more volatility with a beta of 1.16 — expect wider price swings.

SHW is growing revenue faster at 6.8% — sustainability is the question.

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

Bottom Line

ITW scores higher overall (60/100 vs 56/100), 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.

Sherwin-Williams Co

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Sherwin Williams Company is a Cleveland, Ohio based company in the paint and coating manufacturing industry. The company primarily engages in the manufacture, distribution, and sale of paints, coatings, floorcoverings, and related products to professional, industrial, commercial, and retail customers primarily in North and South America and Europe.

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