Illinois Tool Works Inc (ITW)vsPower Solutions International, Inc. Common Stock (PSIX)
ITW
Illinois Tool Works Inc
$266.45
+0.53%
INDUSTRIALS · Cap: $76.38B
PSIX
Power Solutions International, Inc. Common Stock
$64.94
+9.94%
INDUSTRIALS · Cap: $1.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 2121% more annual revenue ($16.04B vs $722.40M). ITW leads profitability with a 19.1% profit margin vs 15.8%. PSIX trades at a lower P/E of 12.0x. ITW earns a higher WallStSmart Score of 58/100 (C).
ITW
Buy58
out of 100
Grade: C
PSIX
Buy53
out of 100
Grade: C-
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
-155.6%
Fair Value
$33.59
Current Price
$64.94
$31.35 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%
Attractively priced relative to earnings
Every $100 of equity generates 94 in profit
Revenue surging 32.5% year-over-year
Safe zone — low bankruptcy risk
Areas to Watch
Moderate valuation
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 8.4x book value
Smaller company, higher risk/reward
Earnings declined 31.6%
Negative free cash flow — burning cash
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 : PSIX
The strongest argument for PSIX centers on P/E Ratio, Return on Equity, Revenue Growth. Profitability is solid with margins at 15.8% and operating margin at 12.7%. Revenue growth of 32.5% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : PSIX
The primary concerns for PSIX are Price/Book, Market Cap, EPS Growth.
Key Dynamics to Monitor
ITW profiles as a value stock while PSIX is a growth play — different risk/reward profiles.
PSIX carries more volatility with a beta of 2.08 — expect wider price swings.
PSIX is growing revenue faster at 32.5% — sustainability is the question.
ITW generates stronger free cash flow (858M), providing more financial flexibility.
Bottom Line
ITW scores higher overall (58/100 vs 53/100), backed by strong 19.1% 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.
Power Solutions International, Inc. Common Stock
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Power Solutions International, Inc. designs, engineers, manufactures, markets, and sells engines and power systems in the United States, North America, the Pacific Rim, Europe, and internationally.
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