Illinois Tool Works Inc (ITW)vsLowe's Companies Inc (LOW)
ITW
Illinois Tool Works Inc
$266.45
+0.53%
INDUSTRIALS · Cap: $76.38B
LOW
Lowe's Companies Inc
$236.18
-0.06%
CONSUMER CYCLICAL · Cap: $131.50B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 438% more annual revenue ($86.29B vs $16.04B). ITW leads profitability with a 19.1% profit margin vs 7.7%. LOW appears more attractively valued with a PEG of 2.40. ITW earns a higher WallStSmart Score of 58/100 (C).
ITW
Buy58
out of 100
Grade: C
LOW
Hold44
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-53.6%
Fair Value
$194.04
Current Price
$266.45
$72.41 premium
Margin of Safety
-193.3%
Fair Value
$80.51
Current Price
$236.18
$155.67 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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%
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
Moderate valuation
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
7.7% margin — thin
Earnings declined 10.8%
Comparative Analysis Report
WallStSmart ResearchBull 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 : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap. Revenue growth of 10.9% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : LOW
The primary concerns for LOW are PEG Ratio, Return on Equity, Profit Margin.
Key Dynamics to Monitor
ITW carries more volatility with a beta of 1.12 — expect wider price swings.
LOW is growing revenue faster at 10.9% — sustainability is the question.
LOW generates stronger free cash flow (964M), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ITW scores higher overall (58/100 vs 44/100), backed by strong 19.1% margins. Both earn "Buy" and "Hold" 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.
Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
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