WallStSmart

Illinois Tool Works Inc (ITW)vsProto Labs Inc (PRLB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Illinois Tool Works Inc generates 2909% more annual revenue ($16.04B vs $533.13M). ITW leads profitability with a 19.1% profit margin vs 4.0%. PRLB appears more attractively valued with a PEG of 0.86. 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

PRLB

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 4.5Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ITW.

PRLBUndervalued (+38.2%)

Margin of Safety

+38.2%

Fair Value

$108.67

Current Price

$64.81

$43.86 discount

UndervaluedFair: $108.67Overvalued

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%

PRLB2 strengths · Avg: 8.0/10
PEG RatioValuation
0.868/10

Growing faster than its price suggests

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

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

PRLB4 concerns · Avg: 3.3/10
EPS GrowthGrowth
4.2%4/10

4.2% earnings growth

Market CapQuality
$1.48B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.2%3/10

ROE of 3.2% — below average capital efficiency

Profit MarginProfitability
4.0%3/10

4.0% margin — thin

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 : PRLB

The strongest argument for PRLB centers on PEG Ratio, Price/Book. Revenue growth of 12.1% demonstrates continued momentum. PEG of 0.86 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 : PRLB

The primary concerns for PRLB are EPS Growth, Market Cap, Return on Equity. A P/E of 70.8x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

PRLB carries more volatility with a beta of 1.31 — expect wider price swings.

PRLB is growing revenue faster at 12.1% — sustainability is the question.

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

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ITW scores higher overall (58/100 vs 49/100), backed by strong 19.1% margins. PRLB offers better value entry with a 38.2% margin of safety. 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.

Proto Labs Inc

INDUSTRIALS · METAL FABRICATION · USA

Proto Labs, Inc., is an e-commerce-driven digital manufacturer of custom prototypes and on-demand production parts around the world. The company is headquartered in Maple Plain, Minnesota.

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