Illinois Tool Works Inc (ITW)vsPACCAR Inc (PCAR)
ITW
Illinois Tool Works Inc
$296.66
+0.67%
INDUSTRIALS · Cap: $84.89B
PCAR
PACCAR Inc
$133.11
+0.80%
INDUSTRIALS · Cap: $71.56B
Smart Verdict
WallStSmart Research — data-driven comparison
PACCAR Inc generates 69% more annual revenue ($27.82B vs $16.47B). ITW leads profitability with a 19.4% profit margin vs 9.0%. PCAR appears more attractively valued with a PEG of 1.32. ITW earns a higher WallStSmart Score of 62/100 (C+).
ITW
Buy62
out of 100
Grade: C+
PCAR
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
-56.3%
Fair Value
$85.29
Current Price
$133.11
$47.82 premium
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 26.7%
Large-cap with strong market position
Areas to Watch
Moderate valuation
Weak financial health signals
Expensive relative to growth rate
Trading at 26.5x book value
Moderate valuation
0.5% revenue growth
4.2% earnings growth
Weak financial health signals
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 26.7%.
Bull Case : PCAR
The strongest argument for PCAR centers on Market Cap. PEG of 1.32 suggests the stock is reasonably priced for its growth.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.83 is elevated, increasing financial risk.
Bear Case : PCAR
The primary concerns for PCAR are P/E Ratio, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
ITW profiles as a mature stock while PCAR is a value play — different risk/reward profiles.
ITW carries more volatility with a beta of 1.00 — expect wider price swings.
ITW is growing revenue faster at 6.1% — sustainability is the question.
PCAR generates stronger free cash flow (825M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (62/100 vs 52/100), 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.
PACCAR Inc
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
PACCAR Inc is an American Fortune 500 company and counts among the largest manufacturers of medium- and heavy-duty trucks in the world. PACCAR is engaged in the design, manufacture and customer support of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt, Leyland Trucks, and DAF nameplates. PACCAR also designs and manufactures powertrains, provides financial services and information technology, and distributes truck parts related to its principal business.
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