WallStSmart

Eaton Corporation PLC (ETN)vsIllinois Tool Works Inc (ITW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eaton Corporation PLC generates 69% more annual revenue ($27.45B vs $16.22B). ITW leads profitability with a 19.3% profit margin vs 14.9%. ITW appears more attractively valued with a PEG of 2.55. ITW earns a higher WallStSmart Score of 60/100 (C).

ETN

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 7.5Value: 3.7Quality: 5.0
Piotroski: 4/9

ITW

Buy

60

out of 100

Grade: C

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

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ETN4 strengths · Avg: 8.5/10
Market CapQuality
$165.11B9/10

Large-cap with strong market position

Return on EquityProfitability
21.5%9/10

Every $100 of equity generates 22 in profit

Operating MarginProfitability
20.0%8/10

Strong operational efficiency at 20.0%

Free Cash FlowQuality
$1.79B8/10

Generating 1.8B in free cash flow

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
$73.63B9/10

Large-cap with strong market position

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

Areas to Watch

ETN3 concerns · Avg: 2.7/10
Price/BookValuation
8.5x4/10

Trading at 8.5x book value

PEG RatioValuation
3.152/10

Expensive relative to growth rate

P/E RatioValuation
40.6x2/10

Premium valuation, high expectations priced in

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
2.552/10

Expensive relative to growth rate

Price/BookValuation
22.9x2/10

Trading at 22.9x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ETN

The strongest argument for ETN centers on Market Cap, Return on Equity, Operating Margin. Revenue growth of 13.1% demonstrates continued momentum.

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%.

Bear Case : ETN

The primary concerns for ETN are Price/Book, PEG Ratio, P/E Ratio. A P/E of 40.6x leaves little room for execution misses.

Bear Case : ITW

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

Key Dynamics to Monitor

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

ETN is growing revenue faster at 13.1% — sustainability is the question.

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

Bottom Line

ITW scores higher overall (60/100 vs 59/100), 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.

Eaton Corporation PLC

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Eaton Corporation plc is an American Irish-domiciled multinational power management company with 2020 sales of 17.86 billion USD, founded in the United States with corporate headquarters in Dublin, Ireland, and operational headquarters in Beachwood, Ohio.

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.

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