AIT vs. GWW: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AIT and GWW, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
GWW’s market capitalization of 50.46 billion USD is significantly greater than AIT’s 9.36 billion USD, highlighting its more substantial market valuation.
With betas of 0.92 for AIT and 1.21 for GWW, both stocks show similar sensitivity to overall market movements.
| Symbol | AIT | GWW |
|---|---|---|
| Company Name | Applied Industrial Technologies, Inc. | W.W. Grainger, Inc. |
| Country | US | US |
| Sector | Industrials | Industrials |
| Industry | Industrial - Distribution | Industrial - Distribution |
| CEO | Neil A. Schrimsher | Donald G. Macpherson |
| Price | 245.74 USD | 1,050.49 USD |
| Market Cap | 9.36 billion USD | 50.46 billion USD |
| Beta | 0.92 | 1.21 |
| Exchange | NYSE | NYSE |
| IPO Date | March 17, 1980 | February 21, 1973 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AIT and GWW by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AIT
22.01%
Industrial - Distribution Industry
- Max
- 31.99%
- Q3
- 26.73%
- Median
- 19.92%
- Q1
- 10.89%
- Min
- -9.35%
AIT’s Return on Equity of 22.01% is on par with the norm for the Industrial - Distribution industry, indicating its profitability relative to shareholder equity is typical for the sector.
GWW
56.10%
Industrial - Distribution Industry
- Max
- 31.99%
- Q3
- 26.73%
- Median
- 19.92%
- Q1
- 10.89%
- Min
- -9.35%
GWW’s Return on Equity of 56.10% is exceptionally high, placing it well beyond the typical range for the Industrial - Distribution industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Return on Invested Capital
AIT
14.75%
Industrial - Distribution Industry
- Max
- 30.61%
- Q3
- 16.52%
- Median
- 12.03%
- Q1
- 6.68%
- Min
- -1.11%
AIT’s Return on Invested Capital of 14.75% is in line with the norm for the Industrial - Distribution industry, reflecting a standard level of efficiency in generating profits from its capital base.
GWW
30.61%
Industrial - Distribution Industry
- Max
- 30.61%
- Q3
- 16.52%
- Median
- 12.03%
- Q1
- 6.68%
- Min
- -1.11%
In the upper quartile for the Industrial - Distribution industry, GWW’s Return on Invested Capital of 30.61% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
AIT
8.64%
Industrial - Distribution Industry
- Max
- 11.08%
- Q3
- 7.38%
- Median
- 5.32%
- Q1
- 3.79%
- Min
- 0.06%
A Net Profit Margin of 8.64% places AIT in the upper quartile for the Industrial - Distribution industry, signifying strong profitability and more effective cost management than most of its peers.
GWW
11.08%
Industrial - Distribution Industry
- Max
- 11.08%
- Q3
- 7.38%
- Median
- 5.32%
- Q1
- 3.79%
- Min
- 0.06%
A Net Profit Margin of 11.08% places GWW in the upper quartile for the Industrial - Distribution industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
AIT
11.29%
Industrial - Distribution Industry
- Max
- 15.31%
- Q3
- 10.56%
- Median
- 8.43%
- Q1
- 5.85%
- Min
- -0.91%
An Operating Profit Margin of 11.29% places AIT in the upper quartile for the Industrial - Distribution industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
GWW
15.31%
Industrial - Distribution Industry
- Max
- 15.31%
- Q3
- 10.56%
- Median
- 8.43%
- Q1
- 5.85%
- Min
- -0.91%
An Operating Profit Margin of 15.31% places GWW in the upper quartile for the Industrial - Distribution industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AIT | GWW |
|---|---|---|
| Return on Equity (TTM) | 22.01% | 56.10% |
| Return on Assets (TTM) | 12.47% | 22.06% |
| Return on Invested Capital (TTM) | 14.75% | 30.61% |
| Net Profit Margin (TTM) | 8.64% | 11.08% |
| Operating Profit Margin (TTM) | 11.29% | 15.31% |
| Gross Profit Margin (TTM) | 30.04% | 39.45% |
Financial Strength
Current Ratio
AIT
3.57
Industrial - Distribution Industry
- Max
- 3.57
- Q3
- 2.74
- Median
- 2.29
- Q1
- 1.94
- Min
- 1.33
AIT’s Current Ratio of 3.57 is in the upper quartile for the Industrial - Distribution industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
GWW
2.74
Industrial - Distribution Industry
- Max
- 3.57
- Q3
- 2.74
- Median
- 2.29
- Q1
- 1.94
- Min
- 1.33
GWW’s Current Ratio of 2.74 is in the upper quartile for the Industrial - Distribution industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio
AIT
0.31
Industrial - Distribution Industry
- Max
- 1.67
- Q3
- 1.26
- Median
- 0.77
- Q1
- 0.30
- Min
- 0.13
AIT’s Debt-to-Equity Ratio of 0.31 is typical for the Industrial - Distribution industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
GWW
0.77
Industrial - Distribution Industry
- Max
- 1.67
- Q3
- 1.26
- Median
- 0.77
- Q1
- 0.30
- Min
- 0.13
GWW’s Debt-to-Equity Ratio of 0.77 is typical for the Industrial - Distribution industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
AIT
29.81
Industrial - Distribution Industry
- Max
- 34.29
- Q3
- 28.91
- Median
- 12.63
- Q1
- 3.84
- Min
- -0.41
AIT’s Interest Coverage Ratio of 29.81 is in the upper quartile for the Industrial - Distribution industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
GWW
34.29
Industrial - Distribution Industry
- Max
- 34.29
- Q3
- 28.91
- Median
- 12.63
- Q1
- 3.84
- Min
- -0.41
GWW’s Interest Coverage Ratio of 34.29 is in the upper quartile for the Industrial - Distribution industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | AIT | GWW |
|---|---|---|
| Current Ratio (TTM) | 3.57 | 2.74 |
| Quick Ratio (TTM) | 2.51 | 1.60 |
| Debt-to-Equity Ratio (TTM) | 0.31 | 0.77 |
| Debt-to-Asset Ratio (TTM) | 0.18 | 0.31 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.40 | 0.71 |
| Interest Coverage Ratio (TTM) | 29.81 | 34.29 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AIT and GWW. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AIT
0.68%
Industrial - Distribution Industry
- Max
- 3.95%
- Q3
- 2.10%
- Median
- 0.82%
- Q1
- 0.00%
- Min
- 0.00%
AIT’s Dividend Yield of 0.68% is consistent with its peers in the Industrial - Distribution industry, providing a dividend return that is standard for its sector.
GWW
0.80%
Industrial - Distribution Industry
- Max
- 3.95%
- Q3
- 2.10%
- Median
- 0.82%
- Q1
- 0.00%
- Min
- 0.00%
GWW’s Dividend Yield of 0.80% is consistent with its peers in the Industrial - Distribution industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AIT
11.02%
Industrial - Distribution Industry
- Max
- 88.24%
- Q3
- 56.62%
- Median
- 19.45%
- Q1
- 0.00%
- Min
- 0.00%
AIT’s Dividend Payout Ratio of 11.02% is within the typical range for the Industrial - Distribution industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
GWW
22.57%
Industrial - Distribution Industry
- Max
- 88.24%
- Q3
- 56.62%
- Median
- 19.45%
- Q1
- 0.00%
- Min
- 0.00%
GWW’s Dividend Payout Ratio of 22.57% is within the typical range for the Industrial - Distribution industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AIT | GWW |
|---|---|---|
| Dividend Yield (TTM) | 0.68% | 0.80% |
| Dividend Payout Ratio (TTM) | 11.02% | 22.57% |
Valuation
Price-to-Earnings Ratio
AIT
24.27
Industrial - Distribution Industry
- Max
- 53.67
- Q3
- 39.13
- Median
- 26.86
- Q1
- 22.49
- Min
- 12.77
AIT’s P/E Ratio of 24.27 is within the middle range for the Industrial - Distribution industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
GWW
26.51
Industrial - Distribution Industry
- Max
- 53.67
- Q3
- 39.13
- Median
- 26.86
- Q1
- 22.49
- Min
- 12.77
GWW’s P/E Ratio of 26.51 is within the middle range for the Industrial - Distribution industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
AIT
3.61
Industrial - Distribution Industry
- Max
- 4.88
- Q3
- 3.36
- Median
- 2.85
- Q1
- 1.53
- Min
- 0.12
A Forward PEG Ratio of 3.61 places AIT in the upper quartile for the Industrial - Distribution industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
GWW
2.91
Industrial - Distribution Industry
- Max
- 4.88
- Q3
- 3.36
- Median
- 2.85
- Q1
- 1.53
- Min
- 0.12
GWW’s Forward PEG Ratio of 2.91 is within the middle range of its peers in the Industrial - Distribution industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
AIT
2.08
Industrial - Distribution Industry
- Max
- 2.87
- Q3
- 2.21
- Median
- 1.42
- Q1
- 0.77
- Min
- 0.17
AIT’s P/S Ratio of 2.08 aligns with the market consensus for the Industrial - Distribution industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
GWW
2.93
Industrial - Distribution Industry
- Max
- 2.87
- Q3
- 2.21
- Median
- 1.42
- Q1
- 0.77
- Min
- 0.17
With a P/S Ratio of 2.93, GWW trades at a valuation that eclipses even the highest in the Industrial - Distribution industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
AIT
5.16
Industrial - Distribution Industry
- Max
- 13.04
- Q3
- 7.19
- Median
- 3.64
- Q1
- 2.91
- Min
- 0.74
AIT’s P/B Ratio of 5.16 is within the conventional range for the Industrial - Distribution industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
GWW
14.55
Industrial - Distribution Industry
- Max
- 13.04
- Q3
- 7.19
- Median
- 3.64
- Q1
- 2.91
- Min
- 0.74
At 14.55, GWW’s P/B Ratio is at an extreme premium to the Industrial - Distribution industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | AIT | GWW |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 24.27 | 26.51 |
| Forward PEG Ratio (TTM) | 3.61 | 2.91 |
| Price-to-Sales Ratio (P/S, TTM) | 2.08 | 2.93 |
| Price-to-Book Ratio (P/B, TTM) | 5.16 | 14.55 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 21.33 | 32.58 |
| EV-to-EBITDA (TTM) | 17.64 | 18.49 |
| EV-to-Sales (TTM) | 2.13 | 3.04 |