Illinois Tool Works Inc. (ITW) Stock Analysis

Over the past 10 years, Illinois Tool Works (ITW) earnings per share (EPS) grew 7.4% a year, revenue grew 1.8% a year and free cash flow grew 3.0% a year, with an average return on invested capital (ROIC) of 20.8%. ITW stock trades at $270.54, a P/E of 24.5, in line with its historical average of 25.1. Analysts' average 12-month price target is $276.86 (+2.3%).

ITW Illinois Tool Works Inc.

Illinois Tool Works Inc. is a global enterprise specializing in the production and distribution of a wide array of industrial goods and specialized equipment.

Market Cap$77.05B Current P/E24.5 52wk High$303.16 52wk Low$238.82

Current Price $270.54
Margin of Safety Price

Exhibit A Growth Dossier

πŸ”’
Metric10yr5yr1yrGrade
Book Value/Share GrowthBV/S -2.4%2.0%-8.0% F
EPS GrowthEPS 7.4%9.6%-3.3% C
Revenue GrowthRevenue 1.8%5.0%4.3% C
Cash Flow GrowthCash Flow 3.0%1.0%7.2% C
ROICROIC 20.8%24.2%24.5% A+

Exhibit B Valuation Ledger

πŸ”’
Current EPS
$11.05
Historical Avg P/E
25.1
Future P/E (used for sticker price)
Projected EPS (10yr)
Sticker Price (10yr)
Price for 15% Annual Return
Expected Annual Return
πŸ”’ The verdict is locked. Overall growth grade, valuation grade, Composite Score, margin-of-safety price, sticker price, and price target.
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Not investment advice β€” a structured read of historical fundamentals, not a forecast or recommendation. Always do your own research.


Exhibit C Raw Data (last 10 years)

MetricTrend20152016201720182019202020212022202320242025TTM
Book Value / ShareBV/S$14.12$11.91$13.22$9.65$9.29$9.99$11.46$9.94$9.92$11.13$11.03$10.08
Basic EPSEPS$5.16$5.73$4.90$7.65$7.78$6.66$8.55$9.80$9.77$11.75$10.52$11.05
RevenueRevenue$13,405,000,000$13,599,000,000$14,314,000,000$14,768,000,000$14,109,000,000$12,574,000,000$14,455,000,000$15,932,000,000$16,107,000,000$15,898,000,000$16,044,000,000$16,469,000,000
Free Cash FlowCash Flow$2,015,000,000$2,029,000,000$2,105,000,000$2,447,000,000$2,669,000,000$2,571,000,000$2,261,000,000$1,936,000,000$3,084,000,000$2,844,000,000$2,707,000,000$2,921,000,000
ROIC (%)ROIC14.4%16.4%12.4%21.3%20.1%16.7%20.9%23.7%24.6%27.2%24.5%β€”

The exact underlying data used to compute the growth rates and grades above. The highlighted TTM column is the trailing twelve months through the most recently reported quarter.


Ticker INVESTigator Price Target


Analyst Data

Price Target

Where the stock trades today vs. the range of 12-month price targets from covering analysts.

Current Price$270.54
High$297.00+9.8%
Average$276.86+2.3%
Low$254.00-6.1%

28 firms rate it β€” 5 buy, 14 hold, 9 sell · Most recent Oct 2026

update
JPMorgan10/9/2026
$277.00
lowered
Truist10/5/2026
$308.00β†’$297.00

ITW Stock FAQ

Is ITW stock undervalued?

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What is ITW's stock price target?

The average 12-month analyst price target for ITW is $276.86, with a range of $254.00 to $297.00. That is +2.3% from the current price of $270.54.

Do analysts rate ITW a buy?

Opinion is mixed. Of 28 firms covering Illinois Tool Works, the ratings are 5 buy or strong buy, 14 hold and 9 sell or strong sell.

How fast is Illinois Tool Works growing?

Annual growth rates for ITW. EPS: 7.4% over 10 years, 9.6% over 5 years, -3.3% over 1 year. Revenue: 1.8% over 10 years, 5.0% over 5 years, 4.3% over 1 year. Free cash flow: 3.0% over 10 years, 1.0% over 5 years, 7.2% over 1 year. Book value per share: -2.4% over 10 years, 2.0% over 5 years, -8.0% over 1 year.

What is ITW's ROIC?

Illinois Tool Works' return on invested capital (ROIC) was 24.5% in fiscal 2025. Its 10-year average ROIC is 20.8%. ROIC above 10% is generally a sign of a business with a durable competitive advantage.

What is ITW's P/E ratio?

ITW's current P/E ratio is 24.5, compared with a historical average of 25.1. Trailing earnings per share are $11.05.

What is Illinois Tool Works' market cap and stock price?

ITW last traded at $270.54 as of October 19, 2026. Its 52-week range is $238.82 to $303.16. Illinois Tool Works has a market cap of $77.05B.


Exhibit D Related Coverage


Similar Stocks

Data as of October 19, 2026. Findings are derived from historical fundamentals β€” not a forecast, not advice. Cross-examine before you invest.

Grades are produced by Ticker INVESTigator's own model from public financial data and are for informational and educational purposes only. They are not investment advice or a recommendation to buy or sell any security. Do your own research.