ITW Valuation

Illinois Tool Works Inc

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263.240

+3.11(1.196%)1D

Overview
Forecast
Valuation
Earnings

ITW Relative Valuation

ITW's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ITW is overvalued; if below, it's undervalued.

Historical Valuation

Illinois Tool Works Inc (ITW) is now in the Fair zone, suggesting that its current forward PE ratio of 24.40 is considered Fairly compared with the five-year average of 24.67. The fair price of Illinois Tool Works Inc (ITW) is between 234.67 to 269.98 according to relative valuation methord.

Relative Value

Fair Zone

234.67-269.98

Current Price：260.13

Fair

Trailing

Forward

P/E

EV/EBITDA

EV/EBIT

P/S

P/OCF

P/FCF

Trailing

Forward

23.52

P/B

Median3y

23.19

Median5y

22.32

3.73

FCF Yield

Median3y

3.51

Median5y

3.53

Competitors Valuation Multiple

The average P/S ratio for ITW's competitors is 2.01, providing a benchmark for relative valuation. Illinois Tool Works Inc Corp (ITW) exhibits a P/S ratio of 4.75, which is 136.82% above the industry average. Given its robust revenue growth of -3.37%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

ITW.N

Illinois Tool Works Inc

4.75

Average P/S: 2.01

-3.37%