EMBJ vs. ITW: Embraer vs. Illinois Tool Works Stock Comparison

November 11, 2026

How do Embraer (EMBJ) and Illinois Tool Works (ITW) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Embraer (EMBJ) and Illinois Tool Works (ITW) both fall under the Capital Goods industry group, but EMBJ is classified in Aerospace & Defense while ITW is classified in Machinery.

Illinois Tool Works (ITW) trades as ordinary local shares, while Embraer (EMBJ) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Embraer (EMBJ) and Illinois Tool Works (ITW)
Profile Item	EMBJ	ITW
Name	Embraer S.A. Sponsored American Depositary Receipt	Illinois Tool Works Inc.
Country/Region	Brazil	United States
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Aerospace & Defense	Machinery
GICS Sub-Industry	Aerospace & Defense	Industrial Machinery & Supplies & Components
Market Capitalization	13.18 billion USD	79.85 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	July 21, 2000	March 13, 1973
Security Type	ADR	Common Stock

Price Performance

Cumulative Growth

EMBJ

ITW

GSPC

Embraer (EMBJ) vs. Illinois Tool Works (ITW), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Embraer (EMBJ) and Illinois Tool Works (ITW). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Embraer (EMBJ) and Illinois Tool Works (ITW). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Total Return (1Y)	20.08%	20.29%
Total Return (3Y, Annualized)	72.16%	10.62%
Total Return (5Y, Annualized)	35.19%	6.67%

Risk Profile

Drawdown History

EMBJ

ITW

GSPC

Embraer (EMBJ) vs. Illinois Tool Works (ITW), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Embraer (EMBJ) and Illinois Tool Works (ITW). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Volatility (1Y, Annualized)	41.67%	22.16%
Beta (5Y)	1.47	0.91
Max Drawdown (5Y)	-54.48%	-28.05%
Avg. Volume (3M)	1.43M	1.27M

Risk-Adjusted Performance

Risk-Return Positioning

EMBJ and ITW are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Sharpe Ratio (1Y)	0.38	0.72
Sortino Ratio (1Y)	0.52	1.12

Profitability

ROE (TTM)

Illinois Tool Works (ITW) at 101.65% clears its industry range for ROE, a sharper capital-efficiency signal than Embraer (EMBJ) at 12.19%, which is closer to a typical peer reading.

EMBJ

Capital Goods industry group

12.19%

Max: 40.55%
Q3: 19.29%
EMBJ: 12.19%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

ITW

Capital Goods industry group

101.65%

ITW: 101.65%
Max: 40.55%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Illinois Tool Works (ITW) at 19.39% retains a top-quartile share of revenue as profit, ahead of Embraer (EMBJ) at 5.28%, which keeps about the industry-typical share.

EMBJ

Capital Goods industry group

5.28%

Max: 27.47%
Q3: 12.10%
Median: 6.30%
EMBJ: 5.28%
Q1: 1.40%
Min: -12.89%

ITW

Capital Goods industry group

19.39%

Max: 27.47%
ITW: 19.39%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Illinois Tool Works (ITW) at 28.05% operates in the top operating margin quartile, ahead of Embraer (EMBJ) at 12.98%, which runs around its industry’s norm.

EMBJ

Capital Goods industry group

12.98%

Max: 36.60%
Q3: 18.33%
EMBJ: 12.98%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

ITW

Capital Goods industry group

28.05%

Max: 36.60%
ITW: 28.05%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
ROE (TTM)	12.19%	101.65%
ROA (TTM)	3.70%	17.13%
Net Margin (TTM)	5.28%	19.39%
Operating Margin (TTM)	12.98%	28.05%
Gross Margin (TTM)	17.85%	44.32%

Growth

Revenue Growth

Embraer (EMBJ) at 18.50% is around its peer norm for revenue growth, while Illinois Tool Works (ITW) at 0.92% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Embraer (EMBJ) at 0.10% and Illinois Tool Works (ITW) at -10.42% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Revenue Growth (YoY)	18.50%	0.92%
Revenue Growth (3Y CAGR)	18.62%	0.23%
EPS Growth (YoY)	0.10%	-10.42%
EPS Growth (3Y CAGR)	--	2.40%

Financial Strength

Current Ratio (MRQ)

Embraer (EMBJ) at 1.44 keeps current ratio within its industry’s typical mid-range, while Illinois Tool Works (ITW) at 1.29 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for ITW.

EMBJ

Capital Goods industry group

1.44

Max: 5.22
Q3: 2.95
Median: 2.08
EMBJ: 1.44
Q1: 1.43
Min: 0.36

ITW

Capital Goods industry group

1.29

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
ITW: 1.29
Min: 0.36

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Embraer (EMBJ) at 0.69 is near its industry mid-range for debt-to-equity ratio, while Illinois Tool Works (ITW) at 2.98 sits above its benchmark range, pointing to a heavier debt load relative to equity.

EMBJ

Capital Goods industry group

0.69

Max: 2.33
Q3: 1.12
EMBJ: 0.69
Median: 0.60
Q1: 0.29
Min: 0.00

ITW

Capital Goods industry group

2.98

ITW: 2.98
Max: 2.33
Q3: 1.12
Median: 0.60
Q1: 0.29
Min: 0.00

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Current Ratio (MRQ)	1.44	1.29
Debt / Equity (MRQ)	0.69	2.98
Net Debt / EBITDA	0.52	1.76

Dividends

Dividend Yield (TTM)

Illinois Tool Works (ITW) at 2.29% delivers top-quartile income for its industry, while Embraer (EMBJ) at 0.97% pays a more typical yield — both are credible income propositions, ITW the richer one.

EMBJ

Capital Goods industry group

0.97%

Max: 2.66%
Q3: 1.14%
EMBJ: 0.97%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

ITW

Capital Goods industry group

2.29%

Max: 2.66%
ITW: 2.29%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Both Embraer (EMBJ) at 31.67% and Illinois Tool Works (ITW) at 58.43% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

EMBJ

Capital Goods industry group

31.67%

Max: 67.39%
EMBJ: 31.67%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

ITW

Capital Goods industry group

58.43%

Max: 67.39%
ITW: 58.43%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
Dividend Yield (TTM)	0.97%	2.29%
Dividend Payout Ratio (TTM)	31.67%	58.43%

Valuation

P/E Ratio (TTM)

Both Embraer (EMBJ) at 29.99 and Illinois Tool Works (ITW) at 25.06 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

EMBJ

Capital Goods industry group

29.99

Max: 59.38
Q3: 35.92
EMBJ: 29.99
Median: 25.41
Q1: 19.47
Min: 3.03

ITW

Capital Goods industry group

25.06

Max: 59.38
Q3: 35.92
Median: 25.41
ITW: 25.06
Q1: 19.47
Min: 3.03

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Embraer (EMBJ) at 0.30 looks cheap on sales in the lower P/S ratio quartile, while Illinois Tool Works (ITW) at 4.80 looks rich in the upper quartile — a clear gap in price per dollar of revenue.

EMBJ

Capital Goods industry group

0.30

Max: 7.54
Q3: 3.76
Median: 2.15
Q1: 1.03
EMBJ: 0.30
Min: 0.03

ITW

Capital Goods industry group

4.80

Max: 7.54
ITW: 4.80
Q3: 3.76
Median: 2.15
Q1: 1.03
Min: 0.03

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Embraer (EMBJ) at 3.70 sits near its industry’s typical P/B ratio, while Illinois Tool Works (ITW) at 25.42 prices above its benchmark range — ITW looks rich relative to book.

EMBJ

Capital Goods industry group

3.70

Max: 9.66
Q3: 5.00
EMBJ: 3.70
Median: 3.12
Q1: 1.81
Min: -1.08

ITW

Capital Goods industry group

25.42

ITW: 25.42
Max: 9.66
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08

Embraer (EMBJ) vs. Illinois Tool Works (ITW): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Embraer (EMBJ) and Illinois Tool Works (ITW)
Metric	EMBJ	ITW
P/E Ratio (TTM)	29.99	25.06
P/S Ratio (TTM)	0.30	4.80
P/B Ratio (MRQ)	3.70	25.42
Free Cash Flow Yield (TTM)	12.70%	2.89%