Herc Holdings Inc (HRI)vsIllinois Tool Works Inc (ITW)
HRI
Herc Holdings Inc
$131.60
-1.76%
INDUSTRIALS · Cap: $4.39B
ITW
Illinois Tool Works Inc
$258.01
-2.88%
INDUSTRIALS · Cap: $74.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 245% more annual revenue ($16.04B vs $4.65B). ITW leads profitability with a 19.1% profit margin vs -0.1%. HRI appears more attractively valued with a PEG of 0.06. ITW earns a higher WallStSmart Score of 58/100 (C).
HRI
Buy55
out of 100
Grade: C-
ITW
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-15.7%
Fair Value
$156.30
Current Price
$131.60
$24.70 premium
Intrinsic value data unavailable for ITW.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Revenue surging 32.3% year-over-year
Reasonable price relative to book value
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%
Areas to Watch
Weak financial health signals
ROE of -0.3% — below average capital efficiency
Earnings declined 79.0%
Distress zone — elevated risk
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.1x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : HRI
The strongest argument for HRI centers on PEG Ratio, Revenue Growth, Price/Book. Revenue growth of 32.3% demonstrates continued momentum. PEG of 0.06 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 19.1% and operating margin at 26.8%.
Bear Case : HRI
The primary concerns for HRI are Piotroski F-Score, Return on Equity, EPS Growth.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
HRI profiles as a hypergrowth stock while ITW is a value play — different risk/reward profiles.
HRI carries more volatility with a beta of 1.82 — expect wider price swings.
HRI is growing revenue faster at 32.3% — sustainability is the question.
ITW generates stronger free cash flow (858M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (58/100 vs 55/100), backed by strong 19.1% 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.
Herc Holdings Inc
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
Herc Holdings Inc. is an equipment rental provider primarily in the United States and internationally. The company is headquartered in Bonita Springs, Florida.
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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