ILLINOIS TOOL WORKS (ILT.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ILT - US4523081093 - Common Stock
225.5 EUR
+2.8 (+1.26%)
ILT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 114 industry peers in the Machinery industry. ILT scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, ILT is valued expensive at the moment. Finally ILT also has an excellent dividend rating. With these ratings, ILT could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
- In the past year ILT was profitable.
- In the past year ILT had a positive cash flow from operations.
- ILT had positive earnings in each of the past 5 years.
- In the past 5 years ILT always reported a positive cash flow from operatings.
1.2 Ratios
- ILT has a Return On Assets of 18.75%. This is amongst the best in the industry. ILT outperforms 98.25% of its industry peers.
- ILT has a better Return On Equity (94.33%) than 100.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 24.44%, ILT belongs to the top of the industry, outperforming 95.61% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital 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's Profit Margin of 19.05% is amongst the best of the industry. ILT outperforms 98.25% of its industry peers.
- ILT's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 26.20%, ILT belongs to the top of the industry, outperforming 97.37% of the companies in the same industry.
- ILT's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 43.93%, ILT is in line with its industry, outperforming 54.39% of the companies in the same industry.
- 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
- ILT has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- ILT has less shares outstanding than it did 1 year ago.
- ILT has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, ILT has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 8.12 indicates that ILT is not in any danger for bankruptcy at the moment.
- The Altman-Z score of ILT (8.12) is better than 96.49% of its industry peers.
- ILT has a debt to FCF ratio of 3.14. This is a good value and a sign of high solvency as ILT would need 3.14 years to pay back of all of its debts.
- With a decent Debt to FCF ratio value of 3.14, ILT is doing good in the industry, outperforming 67.54% of the companies in the same industry.
- A Debt/Equity ratio of 2.80 is on the high side and indicates that ILT has dependencies on debt 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 | 8.12 |
ROIC/WACC2.67
WACC9.16%
2.3 Liquidity
- A Current Ratio of 1.53 indicates that ILT should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.53, ILT perfoms like the industry average, outperforming 51.75% of the companies in the same industry.
- A Quick Ratio of 1.11 indicates that ILT should not have too much problems paying its short term obligations.
- ILT has a Quick ratio of 1.11. This is in the better half of the industry: ILT outperforms 62.28% of its industry peers.
| 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.
- The Earnings Per Share has been growing slightly by 5.34% on average over the past years.
- ILT shows a decrease in Revenue. In the last year, the revenue decreased by -0.41%.
- The Revenue has been growing slightly by 2.42% on average over the past years.
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
- Based on estimates for the next years, ILT will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.58% on average per year.
- 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
- The Price/Earnings ratio is 25.42, which means the current valuation is very expensive for ILT.
- ILT's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of ILT to the average of the S&P500 Index (27.47), we can say ILT is valued inline with the index average.
- ILT is valuated rather expensively with a Price/Forward Earnings ratio of 23.06.
- ILT's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. ILT is more expensive than 64.91% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of ILT to the average of the S&P500 Index (24.26), we can say ILT is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.42 | ||
| Fwd PE | 23.06 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ILT is valued a bit more expensive than 70.18% of the companies in the same industry.
- 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 | 26.73 | ||
| EV/EBITDA | 18.16 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- ILT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.66
PEG (5Y)4.76
EPS Next 2Y5.72%
EPS Next 3Y6.23%
5. Dividend
5.1 Amount
- ILT has a Yearly Dividend Yield of 2.54%.
- Compared to an average industry Dividend Yield of 1.55, ILT pays a better dividend. On top of this ILT pays more dividend than 82.46% of the companies listed in the same industry.
- ILT's Dividend Yield is a higher than the S&P500 average which is at 1.89.
| 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
- 58.20% of the earnings are spent on dividend by ILT. This is a bit on the high side, but may be sustainable.
- ILT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.2%
EPS Next 2Y5.72%
EPS Next 3Y6.23%
FRA:ILT (1/15/2026, 7:00:00 PM)
225.5
+2.8 (+1.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)10-24 2025-10-24/bmo
Earnings (Next)01-29 2026-01-29/amc
Inst Owners84.97%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap65.42B
Revenue(TTM)15.88B
Net Income(TTM)3.03B
Analysts52.31
Price Target222.4 (-1.37%)
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 | 25.42 | ||
| Fwd PE | 23.06 | ||
| P/S | 4.79 | ||
| P/FCF | 26.73 | ||
| P/OCF | 23.2 | ||
| P/B | 23.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.16 |
EPS(TTM)8.87
EY3.93%
EPS(NY)9.78
Fwd EY4.34%
FCF(TTM)8.44
FCFY3.74%
OCF(TTM)9.72
OCFY4.31%
SpS47.1
BVpS9.51
TBVpS-7
PEG (NY)6.66
PEG (5Y)4.76
Graham Number43.57
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 | 8.12 |
F-Score6
WACC9.16%
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 25.42 and the Price/Book (PB) ratio is 23.7.
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%.