Illinois Tool Works Inc (ITW)vsOtis Worldwide Corp (OTIS)
ITW
Illinois Tool Works Inc
$268.16
+1.12%
INDUSTRIALS · Cap: $76.37B
OTIS
Otis Worldwide Corp
$69.10
+1.78%
INDUSTRIALS · Cap: $26.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 10% more annual revenue ($16.47B vs $14.91B). ITW leads profitability with a 19.4% profit margin vs 10.2%. OTIS appears more attractively valued with a PEG of 1.41. ITW earns a higher WallStSmart Score of 62/100 (C+).
ITW
Buy62
out of 100
Grade: C+
OTIS
Buy58
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 110 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 26.9%
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Trading at 26.4x book value
Elevated debt levels
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
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 19.4% and operating margin at 26.9%.
Bull Case : OTIS
The strongest argument for OTIS centers on Debt/Equity. PEG of 1.41 suggests the stock is reasonably priced for its growth.
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.
Bear Case : OTIS
The primary concerns for OTIS are Altman Z-Score, Return on Equity.
Key Dynamics to Monitor
ITW profiles as a mature stock while OTIS is a value play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.00 — expect wider price swings.
OTIS is growing revenue faster at 7.3% — sustainability is the question.
ITW generates stronger free cash flow (631M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (62/100 vs 58/100), backed by strong 19.4% 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.
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.
Otis Worldwide Corp
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Otis Worldwide Corporation is an American company that develops, manufactures and markets elevators, escalators, moving walkways, and related equipment.
Compare with Other SPECIALTY INDUSTRIAL MACHINERY Stocks
Want to dig deeper into these stocks?