WallStSmart

GE Aerospace (GE)vsIllinois Tool Works Inc (ITW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

GE Aerospace generates 207% more annual revenue ($50.64B vs $16.47B). ITW leads profitability with a 19.4% profit margin vs 17.7%. ITW appears more attractively valued with a PEG of 2.86. GE earns a higher WallStSmart Score of 65/100 (C+).

GE

Buy

65

out of 100

Grade: C+

Growth: 6.0Profit: 8.0Value: 3.7Quality: 4.5
Piotroski: 4/9Altman Z: 1.69

ITW

Buy

62

out of 100

Grade: C+

Growth: 5.3Profit: 9.5Value: 4.3Quality: 5.0
Piotroski: 3/9Altman Z: 4.71

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GE4 strengths · Avg: 9.0/10
Market CapQuality
$391.45B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
50.9%10/10

Every $100 of equity generates 51 in profit

Operating MarginProfitability
20.6%8/10

Strong operational efficiency at 20.6%

Revenue GrowthGrowth
21.1%8/10

Revenue surging 21.1% year-over-year

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
97.1%10/10

Every $100 of equity generates 97 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$84.89B9/10

Large-cap with strong market position

Operating MarginProfitability
26.7%8/10

Strong operational efficiency at 26.7%

Areas to Watch

GE4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.694/10

Distress zone — elevated risk

Debt/EquityHealth
1.093/10

Elevated debt levels

PEG RatioValuation
5.292/10

Expensive relative to growth rate

P/E RatioValuation
43.5x2/10

Premium valuation, high expectations priced in

ITW4 concerns · Avg: 2.8/10
P/E RatioValuation
26.1x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.862/10

Expensive relative to growth rate

Price/BookValuation
26.5x2/10

Trading at 26.5x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : GE

The strongest argument for GE centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.7% and operating margin at 20.6%. Revenue growth of 21.1% 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 19.4% and operating margin at 26.7%.

Bear Case : GE

The primary concerns for GE are Altman Z-Score, Debt/Equity, PEG Ratio. A P/E of 43.5x leaves little room for execution misses.

Bear Case : ITW

The primary concerns for ITW are P/E Ratio, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.83 is elevated, increasing financial risk.

Key Dynamics to Monitor

GE profiles as a growth stock while ITW is a mature play — different risk/reward profiles.

GE carries more volatility with a beta of 1.37 — expect wider price swings.

GE is growing revenue faster at 21.1% — sustainability is the question.

ITW generates stronger free cash flow (528M), providing more financial flexibility.

Bottom Line

GE scores higher overall (65/100 vs 62/100), backed by strong 17.7% margins and 21.1% revenue growth. 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.

GE Aerospace

INDUSTRIALS · AEROSPACE & DEFENSE · USA

General Electric Company (GE) is an American multinational conglomerate incorporated in New York City and headquartered in Boston. As of 2018, the company operates through the following segments: aviation, healthcare, power, renewable energy, digital industry, additive manufacturing and venture capital and finance.

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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