ILLINOIS TOOL WORKS (ILT.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ILT - US4523081093 - Common Stock
218.2 EUR
+5.6 (+2.63%)
Taking everything into account, ILT scores 6 out of 10 in our fundamental rating. ILT was compared to 114 industry peers in the Machinery industry. ILT has an excellent profitability rating, but there are some minor concerns on its financial health. ILT is quite expensive at the moment. It does show a decent growth rate. Finally ILT also has an excellent dividend rating. This makes ILT very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year ILT was profitable.
ILT had a positive operating cash flow in the past year.
In the past 5 years ILT has always been profitable.
ILT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 18.75%, ILT belongs to the top of the industry, outperforming 98.25% of the companies in the same industry.
The Return On Equity of ILT (94.33%) is better than 100.00% of its industry peers.
ILT has a Return On Invested Capital of 24.44%. This is amongst the best in the industry. ILT outperforms 95.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ILT is significantly above the industry average of 9.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.75% | ||
| ROE | 94.33% | ||
| ROIC | 24.44% |
ROA(3y)20.63%
ROA(5y)18.43%
ROE(3y)100.54%
ROE(5y)88.45%
ROIC(3y)27.14%
ROIC(5y)23.98%
1.3 Margins
ILT has a better Profit Margin (19.05%) than 98.25% of its industry peers.
In the last couple of years the Profit Margin of ILT has grown nicely.
ILT has a Operating Margin of 26.20%. This is amongst the best in the industry. ILT outperforms 97.37% of its industry peers.
In the last couple of years the Operating Margin of ILT has grown nicely.
ILT's Gross Margin of 43.93% is in line compared to the rest of the industry. ILT outperforms 54.39% of its industry peers.
In the last couple of years the Gross Margin of ILT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.2% | ||
| PM (TTM) | 19.05% | ||
| GM | 43.93% |
OM growth 3Y3.7%
OM growth 5Y2.15%
PM growth 3Y5.59%
PM growth 5Y4.19%
GM growth 3Y2.37%
GM growth 5Y1.08%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ILT is creating value.
Compared to 1 year ago, ILT has less shares outstanding
The number of shares outstanding for ILT has been reduced compared to 5 years ago.
Compared to 1 year ago, ILT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 8.01 indicates that ILT is not in any danger for bankruptcy at the moment.
ILT has a Altman-Z score of 8.01. This is amongst the best in the industry. ILT outperforms 96.49% of its industry peers.
The Debt to FCF ratio of ILT is 3.14, which is a good value as it means it would take ILT, 3.14 years of fcf income to pay off all of its debts.
ILT has a better Debt to FCF ratio (3.14) than 67.54% of its industry peers.
ILT has a Debt/Equity ratio of 2.80. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.80, ILT is doing worse than 92.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.8 | ||
| Debt/FCF | 3.14 | ||
| Altman-Z | 8.01 |
ROIC/WACC2.67
WACC9.15%
2.3 Liquidity
A Current Ratio of 1.53 indicates that ILT should not have too much problems paying its short term obligations.
The Current ratio of ILT (1.53) is comparable to the rest of the industry.
A Quick Ratio of 1.11 indicates that ILT should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.11, ILT is doing good in the industry, outperforming 62.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.59% over the past year.
ILT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.34% yearly.
The Revenue has decreased by -0.41% in the past year.
Measured over the past years, ILT shows a small growth in Revenue. The Revenue has been growing by 2.42% on average per year.
EPS 1Y (TTM)2.59%
EPS 3Y7.79%
EPS 5Y5.34%
EPS Q2Q%6.04%
Revenue 1Y (TTM)-0.41%
Revenue growth 3Y3.22%
Revenue growth 5Y2.42%
Sales Q2Q%2.34%
3.2 Future
ILT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.58% yearly.
Based on estimates for the next years, ILT will show a small growth in Revenue. The Revenue will grow by 3.85% on average per year.
EPS Next Y3.82%
EPS Next 2Y5.72%
EPS Next 3Y6.23%
EPS Next 5Y9.58%
Revenue Next Year0.35%
Revenue Next 2Y1.85%
Revenue Next 3Y2.34%
Revenue Next 5Y3.85%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.63 indicates a rather expensive valuation of ILT.
The rest of the industry has a similar Price/Earnings ratio as ILT.
Compared to an average S&P500 Price/Earnings ratio of 27.25, ILT is valued at the same level.
ILT is valuated rather expensively with a Price/Forward Earnings ratio of 22.35.
ILT's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. ILT is more expensive than 64.04% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, ILT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.63 | ||
| Fwd PE | 22.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ILT is valued a bit more expensive than the industry average as 69.30% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ILT is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.9 | ||
| EV/EBITDA | 17.64 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ILT does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of ILT may justify a higher PE ratio.
PEG (NY)6.45
PEG (5Y)4.61
EPS Next 2Y5.72%
EPS Next 3Y6.23%
5. Dividend
5.1 Amount
ILT has a Yearly Dividend Yield of 2.54%.
ILT's Dividend Yield is rather good when compared to the industry average which is at 1.55. ILT pays more dividend than 82.46% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.92, ILT pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.54% |
5.2 History
The dividend of ILT is nicely growing with an annual growth rate of 6.98%!
Dividend Growth(5Y)6.98%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
ILT pays out 58.20% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of ILT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.2%
EPS Next 2Y5.72%
EPS Next 3Y6.23%
FRA:ILT (1/9/2026, 7:00:00 PM)
218.2
+5.6 (+2.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners84.97%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap63.30B
Revenue(TTM)15.88B
Net Income(TTM)3.03B
Analysts52.31
Price Target222.4 (1.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.54% |
Yearly Dividend4.91
Dividend Growth(5Y)6.98%
DP58.2%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.08%
Min EPS beat(2)-0.33%
Max EPS beat(2)2.48%
EPS beat(4)3
Avg EPS beat(4)0.83%
Min EPS beat(4)-0.33%
Max EPS beat(4)2.48%
EPS beat(8)6
Avg EPS beat(8)1.3%
EPS beat(12)10
Avg EPS beat(12)2.72%
EPS beat(16)14
Avg EPS beat(16)2.82%
Revenue beat(2)0
Avg Revenue beat(2)-0.94%
Min Revenue beat(2)-1.6%
Max Revenue beat(2)-0.27%
Revenue beat(4)0
Avg Revenue beat(4)-1.32%
Min Revenue beat(4)-2.36%
Max Revenue beat(4)-0.27%
Revenue beat(8)0
Avg Revenue beat(8)-1.71%
Revenue beat(12)1
Avg Revenue beat(12)-1.46%
Revenue beat(16)5
Avg Revenue beat(16)-0.55%
PT rev (1m)-1.85%
PT rev (3m)-0.14%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.99%
EPS NY rev (1m)0%
EPS NY rev (3m)0.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.7%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.63 | ||
| Fwd PE | 22.35 | ||
| P/S | 4.64 | ||
| P/FCF | 25.9 | ||
| P/OCF | 22.49 | ||
| P/B | 22.97 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.64 |
EPS(TTM)8.86
EY4.06%
EPS(NY)9.76
Fwd EY4.47%
FCF(TTM)8.42
FCFY3.86%
OCF(TTM)9.7
OCFY4.45%
SpS47.03
BVpS9.5
TBVpS-6.99
PEG (NY)6.45
PEG (5Y)4.61
Graham Number43.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.75% | ||
| ROE | 94.33% | ||
| ROCE | 34.67% | ||
| ROIC | 24.44% | ||
| ROICexc | 26.26% | ||
| ROICexgc | 47.73% | ||
| OM | 26.2% | ||
| PM (TTM) | 19.05% | ||
| GM | 43.93% | ||
| FCFM | 17.91% |
ROA(3y)20.63%
ROA(5y)18.43%
ROE(3y)100.54%
ROE(5y)88.45%
ROIC(3y)27.14%
ROIC(5y)23.98%
ROICexc(3y)29.48%
ROICexc(5y)26.81%
ROICexgc(3y)61.41%
ROICexgc(5y)56.02%
ROCE(3y)37.16%
ROCE(5y)32.24%
ROICexgc growth 3Y8.37%
ROICexgc growth 5Y6.32%
ROICexc growth 3Y9.35%
ROICexc growth 5Y5.29%
OM growth 3Y3.7%
OM growth 5Y2.15%
PM growth 3Y5.59%
PM growth 5Y4.19%
GM growth 3Y2.37%
GM growth 5Y1.08%
F-Score6
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.8 | ||
| Debt/FCF | 3.14 | ||
| Debt/EBITDA | 1.97 | ||
| Cap/Depr | 109.09% | ||
| Cap/Sales | 2.72% | ||
| Interest Coverage | 15.13 | ||
| Cash Conversion | 71.9% | ||
| Profit Quality | 94.02% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 8.01 |
F-Score6
WACC9.15%
ROIC/WACC2.67
Cap/Depr(3y)108.13%
Cap/Depr(5y)90.37%
Cap/Sales(3y)2.72%
Cap/Sales(5y)2.42%
Profit Quality(3y)83.21%
Profit Quality(5y)91.1%
High Growth Momentum
Growth
EPS 1Y (TTM)2.59%
EPS 3Y7.79%
EPS 5Y5.34%
EPS Q2Q%6.04%
EPS Next Y3.82%
EPS Next 2Y5.72%
EPS Next 3Y6.23%
EPS Next 5Y9.58%
Revenue 1Y (TTM)-0.41%
Revenue growth 3Y3.22%
Revenue growth 5Y2.42%
Sales Q2Q%2.34%
Revenue Next Year0.35%
Revenue Next 2Y1.85%
Revenue Next 3Y2.34%
Revenue Next 5Y3.85%
EBIT growth 1Y-1.4%
EBIT growth 3Y7.04%
EBIT growth 5Y4.62%
EBIT Next Year8.67%
EBIT Next 3Y6.4%
EBIT Next 5Y6.59%
FCF growth 1Y0.49%
FCF growth 3Y7.95%
FCF growth 5Y1.28%
OCF growth 1Y-1.03%
OCF growth 3Y8.67%
OCF growth 5Y1.84%
ILLINOIS TOOL WORKS / ILT.DE FAQ
What is the fundamental rating for ILT stock?
ChartMill assigns a fundamental rating of 6 / 10 to ILT.DE.
What is the valuation status of ILLINOIS TOOL WORKS (ILT.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to ILLINOIS TOOL WORKS (ILT.DE). This can be considered as Overvalued.
What is the profitability of ILT stock?
ILLINOIS TOOL WORKS (ILT.DE) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for ILT stock?
The Price/Earnings (PE) ratio for ILLINOIS TOOL WORKS (ILT.DE) is 24.63 and the Price/Book (PB) ratio is 22.97.
Is the dividend of ILLINOIS TOOL WORKS sustainable?
The dividend rating of ILLINOIS TOOL WORKS (ILT.DE) is 7 / 10 and the dividend payout ratio is 58.2%.