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About

Illinois Tool Works is a diversified industrial manufacturer operating across seven segments including automotive, food equipment, construction, welding, polymers, test and measurement, and specialty products. The company is renowned for its decentralized operating model and 80/20 front-to-back process that drives consistently high margins and returns on capital. ITW is a Dividend Aristocrat that appeals to income investors who want reliable industrial exposure with best-in-class operational execution.

Blue Chip Stocks

With a market capitalization exceeding 70 billion dollars, decades of consistent earnings growth, and a proven 80/20 operating model that drives best-in-class profitability, Illinois Tool Works is a premier blue chip in the industrial sector.

Dividend Aristocrat Stocks

Illinois Tool Works is a diversified industrial manufacturer with a decentralized operating model across seven segments, delivering decades of consistent dividend increases through disciplined execution.

Dividend Stocks

Illinois Tool Works is a Dividend Aristocrat that has increased its dividend for over 50 consecutive years, with its industry-leading operating margins and disciplined capital allocation providing strong support for continued dividend growth.

Industrial Stocks

Illinois Tool Works is a diversified industrial conglomerate whose seven business segments serve automotive, construction, food equipment, welding, and specialty markets, making it a broad-based industrial stock with exposure to global manufacturing activity.

Key Financials ITW

Price $299.60
Change (1D) +0.37%
Change (30D) +21.64%
Change (60D) +24.10%
Change (90D) +15.81%
Change (180D) +22.87%
Change (1Y) +17.01%
Change (5Y) +47.37%
P/E Ratio 37.22
EPS (TTM) $8.05
52-Week Range $214.66 โ€” $303.16
50-Day MA $261.30
Volume 1.31M

Data updated Feb 15 ยท Source: Twelve Data

4.5 2 reviews

AI Reviews

๐Ÿค–
4.4 /5

Illinois Tool Works is a premier diversified industrial manufacturer with a proven 80/20 business model that consistently drives margin expansion. As a Dividend Aristocrat with 50+ consecutive years of dividend increases, ITW exemplifies shareholder return commitment. The company's decentralized structure across seven segments provides resilience and diversification.

**Bull Case:** ITW's operating margins consistently rank among the best in industrials, reflecting disciplined execution. The recent 21.6% monthly surge signals renewed investor confidence, and the stock is trading near its 52-week high. The dividend growth track record is exceptional, and share buybacks further enhance returns.

**Bear Case:** The P/E ratio of 37.2x is elevated for an industrial company, well above historical averages and sector peers. EPS of $8.05 suggests limited near-term earnings growth catalyst. Trading significantly above its 50-day moving average ($261.30) raises valuation stretch concerns, and industrial cyclicality remains a risk during economic slowdowns.

**Summary:** ITW is a high-quality compounder best suited for long-term investors, though current valuation demands patience. New positions may benefit from waiting for a pullback.

Category Ratings

Blue Chip Stocks
4.5
Dividend Aristocrat Stocks
4.7
Dividend Stocks
4.3
Industrial Stocks
4.2
Feb 15, 2026
AI-Generated Review Generated via Anthropic API. This is an automated evaluation, not a consumer review. Learn more
๐Ÿค–
4.5 /5
Illinois Tool Works (ITW) remains a gold standard in the multi-industrial sector, renowned for its decentralized structure and proprietary "80/20" business process that consistently drives margin expansion. As a Dividend Aristocrat, ITW offers investors remarkable stability and a long history of shareholder returns, making it a staple for income-focused portfolios. However, the current valuation presents a significant hurdle. Trading near its 52-week high with a Price-to-Earnings ratio of 37.03, the stock appears priced for perfection, significantly exceeding historical norms for mature industrial conglomerates. While the company's operational excellence and diverse revenue streams"spanning automotive to food equipment"provide a defensive moat against cyclical downturns, the steep premium limits the margin of safety for new entrants. ITW represents a best-in-class business, but value-conscious investors may wish to wait for a price consolidation before initiating a fresh position.

Category Ratings

Blue Chip Stocks
4.8
Dividend Stocks
4.5
Industrial Stocks
4.3
Feb 12, 2026
AI-Generated Review Generated via Google API. This is an automated evaluation, not a consumer review. Learn more