Illinois Tool Works Inc.

Illinois Tool Works Inc.

ITWยทNYSE

$250.26

+1.8%
IndustrialsIndustrial - Machinery

Illinois Tool Works Inc. manufactures and sells industrial products and equipment worldwide. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products. The Automotive OEM segment offers plastic and metal components, fasteners, and assemblies for automobiles, light trucks, and other industrial uses. The Food Equipment segment provides warewashing, refrigeration, cooking, and food processing equipment; kitchen exhaust, ventilation, and pollution control systems; and food equipment maintenance and repair services. The Test & Measurement and Electronics segment produces and sells equipment, consumables, and related software for testing and measuring of materials and structures, as well as equipment and consumables used in the production of electronic subassemblies and microelectronics. The Welding segment produces arc welding equipment; and metal arc welding consumables and related accessories. The Polymers & Fluids segment produces adhesives, sealants, lubrication and cutting fluids, and fluids and polymers for auto aftermarket maintenance and appearance. The Construction Products segment offers engineered fastening systems and solutions for the residential construction, renovation/remodel, and commercial construction markets. The Specialty Products segment offers beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners. It serves the automotive OEM/tiers, commercial food equipment, construction, general industrial, and automotive aftermarket end markets. The company distributes its products directly to industrial manufacturers, as well as through independent distributors. Illinois Tool Works Inc. was founded in 1912 and is based in Glenview, Illinois.

At a Glance

Live Snapshot
Market Cap$72.00B
EPS10.5200
P/E Ratio23.79
Earnings Date07/29/2026
Illinois Tool Works Inc.

Illinois Tool Works Inc. Fair Value Envelope

ITW ยท NYSE

Our analysis suggests that ITW has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $250.26, this represents a potential HIDDEN relative to our calculated worth for Illinois Tool Works Inc..

Intrinsic Value
Current Price: $250.26

Owner Earnings Valuation Tool

Warren Buffett's Owner Earnings DCF analysis for intrinsic value calculation

Historical Financial Data

Base year metrics used for projections

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Projection Settings

Forecast period and terminal assumptions

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DCF Valuation Summary

Calculation flow from present value to intrinsic value per share

Present Value$30.8B
+ Cash & Equivalents$851.0M
Firm Value$31.7B
- Debt$9.0B
Equity Value$22.7B
/ Shares Outstanding292,752,604B
DCF Value$78
OVERVALUED BY 69%

Owner Earnings Projections

Operating Cash Flow - Maintenance CapEx = Owner Earnings

Metric
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Year 7
Year 8
Year 9
Year 10
Operating Cash Flow
$3.0B
$2.8B
$2.7B
$2.6B
$2.4B
$2.3B
$2.2B
$2.1B
$2.0B
$1.9B
Maintenance CapEx
-$79.8M
-$75.9M
-$72.3M
-$68.8M
-$65.5M
-$62.3M
-$59.3M
-$56.5M
-$53.7M
-$51.1M
Owner Earnings
$2.9B
$2.8B
$2.6B
$2.5B
$2.4B
$2.3B
$2.2B
$2.0B
$2.0B
$1.9B
Discount Factor
0.926
0.857
0.794
0.735
0.681
0.630
0.583
0.540
0.500
0.463
Present Value
$2.7B
$2.4B
$2.1B
$1.8B
$1.6B
$1.4B
$1.3B
$1.1B
$975.9M
$860.1M
Terminal Value represents 47.4% of Enterprise Value