Illinois Tool Works Inc (ITW)vsOmnicom Group Inc (OMC)
ITW
Illinois Tool Works Inc
$254.76
-0.30%
INDUSTRIALS · Cap: $73.64B
OMC
Omnicom Group Inc
$77.06
+0.18%
COMMUNICATION SERVICES · Cap: $21.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Omnicom Group Inc generates 22% more annual revenue ($19.82B vs $16.22B). ITW leads profitability with a 19.3% profit margin vs 0.3%. ITW appears more attractively valued with a PEG of 2.58. ITW earns a higher WallStSmart Score of 60/100 (C).
ITW
Buy60
out of 100
Grade: C
OMC
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
+23.7%
Fair Value
$90.88
Current Price
$77.06
$13.82 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 97 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 25.4%
Revenue surging 69.2% year-over-year
Reasonable price relative to book value
Areas to Watch
4.6% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 22.8x book value
ROE of 2.0% — below average capital efficiency
0.3% margin — thin
Weak financial health signals
Expensive relative to growth rate
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 19.3% and operating margin at 25.4%.
Bull Case : OMC
The strongest argument for OMC centers on Revenue Growth, Price/Book. Revenue growth of 69.2% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : OMC
The primary concerns for OMC are Return on Equity, Profit Margin, Piotroski F-Score. Thin 0.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
ITW profiles as a value stock while OMC is a hypergrowth play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.05 — expect wider price swings.
OMC is growing revenue faster at 69.2% — sustainability is the question.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ITW scores higher overall (60/100 vs 51/100), backed by strong 19.3% margins. OMC offers better value entry with a 23.7% 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.
Omnicom Group Inc
COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA
Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City.
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