Illinois Tool Works Inc (ITW)vsZTO Express (Cayman) Inc (ZTO)
ITW
Illinois Tool Works Inc
$265.67
-1.04%
INDUSTRIALS · Cap: $74.36B
ZTO
ZTO Express (Cayman) Inc
$25.37
-0.98%
INDUSTRIALS · Cap: $19.46B
Smart Verdict
WallStSmart Research — data-driven comparison
ZTO Express (Cayman) Inc generates 206% more annual revenue ($49.10B vs $16.04B). ITW leads profitability with a 19.1% profit margin vs 18.5%. ZTO appears more attractively valued with a PEG of 1.29. ZTO earns a higher WallStSmart Score of 69/100 (B-).
ITW
Buy58
out of 100
Grade: C
ZTO
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
+81.2%
Fair Value
$132.23
Current Price
$25.37
$106.86 discount
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%
Generating 12.0B in free cash flow
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 22.3%
Areas to Watch
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.8x book value
No major concerns identified
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 : ZTO
The strongest argument for ZTO centers on Free Cash Flow, Debt/Equity, P/E Ratio. Profitability is solid with margins at 18.5% and operating margin at 22.3%. Revenue growth of 12.3% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : ZTO
No major red flags identified for ZTO, but monitor valuation.
Key Dynamics to Monitor
ITW profiles as a value stock while ZTO is a mature play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.15 — expect wider price swings.
ZTO is growing revenue faster at 12.3% — sustainability is the question.
ZTO generates stronger free cash flow (12.0B), providing more financial flexibility.
Bottom Line
ZTO scores higher overall (69/100 vs 58/100), backed by strong 18.5% margins and 12.3% revenue growth. Both earn "Strong 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.
ZTO Express (Cayman) Inc
INDUSTRIALS · INTEGRATED FREIGHT & LOGISTICS · China
ZTO Express (Cayman) Inc. provides express delivery and other value-added logistics services in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.
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