Illinois Tool Works Inc (ITW)vsTexas Instruments Incorporated (TXN)
ITW
Illinois Tool Works Inc
$254.76
-0.30%
INDUSTRIALS · Cap: $73.64B
TXN
Texas Instruments Incorporated
$287.80
+0.90%
TECHNOLOGY · Cap: $261.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Texas Instruments Incorporated generates 14% more annual revenue ($18.44B vs $16.22B). TXN leads profitability with a 29.1% profit margin vs 19.3%. TXN appears more attractively valued with a PEG of 1.61. TXN earns a higher WallStSmart Score of 72/100 (B).
ITW
Buy60
out of 100
Grade: C
TXN
Strong Buy72
out of 100
Grade: B
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%
Mega-cap, among the largest globally
Every $100 of equity generates 32 in profit
Strong operational efficiency at 37.8%
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
18.6% revenue growth
Areas to Watch
4.6% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 22.8x book value
Expensive relative to growth rate
Trading at 15.6x book value
Premium valuation, high expectations priced in
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 : TXN
The strongest argument for TXN centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.1% and operating margin at 37.8%. Revenue growth of 18.6% demonstrates continued momentum.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : TXN
The primary concerns for TXN are PEG Ratio, Price/Book, P/E Ratio. A P/E of 49.2x leaves little room for execution misses.
Key Dynamics to Monitor
ITW profiles as a value stock while TXN is a growth play — different risk/reward profiles.
TXN carries more volatility with a beta of 1.30 — expect wider price swings.
TXN is growing revenue faster at 18.6% — sustainability is the question.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TXN scores higher overall (72/100 vs 60/100), backed by strong 29.1% margins and 18.6% revenue growth. Both earn "Strong 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.
Texas Instruments Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Texas Instruments Incorporated (TI) is an American technology company headquartered in Dallas, Texas, that designs and manufactures semiconductors and various integrated circuits, which it sells to electronics designers and manufacturers globally. It is one of the top 10 semiconductor companies worldwide based on sales volume.
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