Illinois Tool Works Inc (ITW)vsXPO Logistics Inc (XPO)
ITW
Illinois Tool Works Inc
$258.01
-2.88%
INDUSTRIALS · Cap: $74.36B
XPO
XPO Logistics Inc
$220.13
+1.58%
INDUSTRIALS · Cap: $25.44B
Smart Verdict
WallStSmart Research — data-driven comparison
Illinois Tool Works Inc generates 97% more annual revenue ($16.04B vs $8.16B). ITW leads profitability with a 19.1% profit margin vs 3.9%. XPO appears more attractively valued with a PEG of 2.65. ITW earns a higher WallStSmart Score of 58/100 (C).
ITW
Buy58
out of 100
Grade: C
XPO
Hold41
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITW.
Margin of Safety
-8.5%
Fair Value
$186.00
Current Price
$220.13
$34.13 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%
No standout strengths identified
Areas to Watch
4.1% revenue growth
Weak financial health signals
Expensive relative to growth rate
Trading at 23.1x book value
Trading at 13.8x book value
4.6% revenue growth
3.9% margin — thin
Expensive relative to growth rate
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 : XPO
XPO has a balanced fundamental profile.
Bear Case : ITW
The primary concerns for ITW are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : XPO
The primary concerns for XPO are Price/Book, Revenue Growth, Profit Margin. A P/E of 82.1x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
XPO carries more volatility with a beta of 1.72 — expect wider price swings.
XPO is growing revenue faster at 4.6% — 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 41/100), backed by strong 19.1% margins. 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.
XPO Logistics Inc
INDUSTRIALS · TRUCKING · USA
XPO Logistics, Inc. provides supply chain solutions in the United States, the rest of North America, France, the United Kingdom, the rest of Europe, and internationally. The company is headquartered in Greenwich, Connecticut.
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