WallStSmart

Illinois Tool Works Inc (ITW)vsKelly Services A Inc (KELYA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 277% more annual revenue ($16.04B vs $4.25B). ITW leads profitability with a 19.1% profit margin vs -6.0%. KELYA appears more attractively valued with a PEG of 0.82. ITW earns a higher WallStSmart Score of 58/100 (C).

ITW

Buy

58

out of 100

Grade: C

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

KELYA

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 3.0Value: 7.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ITW.

KELYAUndervalued (+84.4%)

Margin of Safety

+84.4%

Fair Value

$63.43

Current Price

$9.77

$53.66 discount

UndervaluedFair: $63.43Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITW4 strengths · Avg: 9.3/10
Return on EquityProfitability
93.7%10/10

Every $100 of equity generates 94 in profit

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Market CapQuality
$74.36B9/10

Large-cap with strong market position

Operating MarginProfitability
26.8%8/10

Strong operational efficiency at 26.8%

KELYA3 strengths · Avg: 9.3/10
Price/BookValuation
0.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
333.3%10/10

Earnings expanding 333.3% YoY

PEG RatioValuation
0.828/10

Growing faster than its price suggests

Areas to Watch

ITW4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.692/10

Expensive relative to growth rate

Price/BookValuation
23.1x2/10

Trading at 23.1x book value

KELYA4 concerns · Avg: 2.5/10
Market CapQuality
$344.78M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
0.6%3/10

Operating margin of 0.6%

Return on EquityProfitability
-23.0%2/10

ROE of -23.0% — below average capital efficiency

Revenue GrowthGrowth
-11.9%2/10

Revenue declined 11.9%

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : KELYA

The strongest argument for KELYA centers on Price/Book, EPS Growth, PEG Ratio. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bear Case : ITW

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

Bear Case : KELYA

The primary concerns for KELYA are Market Cap, Operating Margin, Return on Equity.

Key Dynamics to Monitor

ITW profiles as a value stock while KELYA is a turnaround play — different risk/reward profiles.

ITW carries more volatility with a beta of 1.15 — expect wider price swings.

ITW is growing revenue faster at 4.1% — sustainability is the question.

ITW generates stronger free cash flow (858M), providing more financial flexibility.

Bottom Line

ITW scores higher overall (58/100 vs 57/100), backed by strong 19.1% margins. KELYA offers better value entry with a 84.4% margin of safety. 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.

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.

Kelly Services A Inc

INDUSTRIALS · STAFFING & EMPLOYMENT SERVICES · USA

Kelly Services, Inc. provides workforce solutions to various industries. The company is headquartered in Troy, Michigan.

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