WallStSmart

Generac Holdings Inc (GNRC)vsIllinois Tool Works Inc (ITW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 271% more annual revenue ($16.47B vs $4.44B). ITW leads profitability with a 19.4% profit margin vs 5.8%. GNRC appears more attractively valued with a PEG of 0.57. GNRC earns a higher WallStSmart Score of 66/100 (B-).

GNRC

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 5.7Quality: 6.5
Piotroski: 3/9Altman Z: 2.48

ITW

Buy

62

out of 100

Grade: C+

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

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GNRC2 strengths · Avg: 9.0/10
EPS GrowthGrowth
92.0%10/10

Earnings expanding 92.0% YoY

PEG RatioValuation
0.578/10

Growing faster than its price suggests

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
110.4%10/10

Every $100 of equity generates 110 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$76.37B9/10

Large-cap with strong market position

Operating MarginProfitability
26.9%8/10

Strong operational efficiency at 26.9%

Areas to Watch

GNRC3 concerns · Avg: 2.7/10
Profit MarginProfitability
5.8%3/10

5.8% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
43.7x2/10

Premium valuation, high expectations priced in

ITW4 concerns · Avg: 2.5/10
PEG RatioValuation
2.464/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
26.4x2/10

Trading at 26.4x book value

Debt/EquityHealth
3.351/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : GNRC

The strongest argument for GNRC centers on EPS Growth, PEG Ratio. Revenue growth of 10.6% demonstrates continued momentum. PEG of 0.57 suggests the stock is reasonably priced for its growth.

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 26.9%.

Bear Case : GNRC

The primary concerns for GNRC are Profit Margin, Piotroski F-Score, P/E Ratio. A P/E of 43.7x leaves little room for execution misses.

Bear Case : ITW

The primary concerns for ITW are PEG Ratio, Piotroski F-Score, Price/Book. Debt-to-equity of 3.35 is elevated, increasing financial risk.

Key Dynamics to Monitor

GNRC profiles as a value stock while ITW is a mature play — different risk/reward profiles.

GNRC carries more volatility with a beta of 1.91 — expect wider price swings.

GNRC is growing revenue faster at 10.6% — sustainability is the question.

ITW generates stronger free cash flow (631M), providing more financial flexibility.

Bottom Line

GNRC scores higher overall (66/100 vs 62/100) and 10.6% 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.

Generac Holdings Inc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Generac Holdings Inc., commonly referred to as Generac, is a Fortune 1000 American manufacturer of backup power generation products for residential, light commercial and industrial markets.

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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