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GWW vs. ROP: A Head-to-Head Stock Comparison

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Here’s a clear look at GWW and ROP, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolGWWROP
Company NameW.W. Grainger, Inc.Roper Technologies, Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsInformation Technology
GICS IndustryTrading Companies & DistributorsSoftware
Market Capitalization47.81 billion USD58.17 billion USD
ExchangeNYSENasdaqGS
Listing DateFebruary 21, 1973February 13, 1992
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of GWW and ROP 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.

GWW vs. ROP: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolGWWROP
5-Day Price Return2.57%2.96%
13-Week Price Return-9.16%-6.88%
26-Week Price Return-2.74%-5.74%
52-Week Price Return4.33%-1.70%
Month-to-Date Return-3.84%-1.80%
Year-to-Date Return-5.16%3.98%
10-Day Avg. Volume0.29M0.77M
3-Month Avg. Volume0.28M0.58M
3-Month Volatility26.99%14.57%
Beta1.201.03

Profitability

Return on Equity (TTM)

GWW

54.86%

Trading Companies & Distributors Industry

Max
32.33%
Q3
19.92%
Median
14.05%
Q1
11.46%
Min
0.91%

GWW’s Return on Equity of 54.86% is exceptionally high, placing it well beyond the typical range for the Trading Companies & Distributors industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ROP

8.08%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

ROP’s Return on Equity of 8.08% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

GWW vs. ROP: A comparison of their Return on Equity (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Net Profit Margin (TTM)

GWW

10.99%

Trading Companies & Distributors Industry

Max
17.73%
Q3
10.81%
Median
6.13%
Q1
4.33%
Min
2.09%

A Net Profit Margin of 10.99% places GWW in the upper quartile for the Trading Companies & Distributors industry, signifying strong profitability and more effective cost management than most of its peers.

ROP

20.62%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

A Net Profit Margin of 20.62% places ROP in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

GWW vs. ROP: A comparison of their Net Profit Margin (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Operating Profit Margin (TTM)

GWW

15.27%

Trading Companies & Distributors Industry

Max
25.50%
Q3
15.13%
Median
7.46%
Q1
5.44%
Min
3.55%

An Operating Profit Margin of 15.27% places GWW in the upper quartile for the Trading Companies & Distributors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ROP

28.06%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 28.06% places ROP in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

GWW vs. ROP: A comparison of their Operating Profit Margin (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Profitability at a Glance

SymbolGWWROP
Return on Equity (TTM)54.86%8.08%
Return on Assets (TTM)21.63%4.83%
Net Profit Margin (TTM)10.99%20.62%
Operating Profit Margin (TTM)15.27%28.06%
Gross Profit Margin (TTM)39.25%68.87%

Financial Strength

Current Ratio (MRQ)

GWW

2.82

Trading Companies & Distributors Industry

Max
2.82
Q3
2.13
Median
1.60
Q1
1.43
Min
0.46

GWW’s Current Ratio of 2.82 is exceptionally high, placing it well outside the typical range for the Trading Companies & Distributors industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

ROP

0.46

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

ROP’s Current Ratio of 0.46 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

GWW vs. ROP: A comparison of their Current Ratio (MRQ) against their respective Trading Companies & Distributors and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

GWW

0.64

Trading Companies & Distributors Industry

Max
1.88
Q3
1.18
Median
0.74
Q1
0.54
Min
0.00

GWW’s Debt-to-Equity Ratio of 0.64 is typical for the Trading Companies & Distributors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ROP

0.45

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

ROP’s Debt-to-Equity Ratio of 0.45 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

GWW vs. ROP: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Trading Companies & Distributors and Software industry benchmarks.

Interest Coverage Ratio (TTM)

GWW

34.56

Trading Companies & Distributors Industry

Max
15.13
Q3
7.93
Median
5.75
Q1
2.70
Min
-1.67

With an Interest Coverage Ratio of 34.56, GWW demonstrates a superior capacity to service its debt, placing it well above the typical range for the Trading Companies & Distributors industry. This stems from either robust earnings or a conservative debt load.

ROP

80.97

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

With an Interest Coverage Ratio of 80.97, ROP demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software industry. This stems from either robust earnings or a conservative debt load.

GWW vs. ROP: A comparison of their Interest Coverage Ratio (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Financial Strength at a Glance

SymbolGWWROP
Current Ratio (MRQ)2.820.46
Quick Ratio (MRQ)1.530.43
Debt-to-Equity Ratio (MRQ)0.640.45
Interest Coverage Ratio (TTM)34.5680.97

Growth

Revenue Growth

GWW vs. ROP: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

GWW vs. ROP: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

GWW

0.92%

Trading Companies & Distributors Industry

Max
4.99%
Q3
3.04%
Median
1.94%
Q1
1.22%
Min
0.00%

GWW’s Dividend Yield of 0.92% is in the lower quartile for the Trading Companies & Distributors industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

ROP

0.58%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

ROP’s Dividend Yield of 0.58% is exceptionally high, placing it well above the typical range for the Software industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

GWW vs. ROP: A comparison of their Dividend Yield (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Dividend Payout Ratio (TTM)

GWW

22.89%

Trading Companies & Distributors Industry

Max
95.14%
Q3
62.08%
Median
51.17%
Q1
26.24%
Min
0.00%

GWW’s Dividend Payout Ratio of 22.89% is in the lower quartile for the Trading Companies & Distributors industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

ROP

21.99%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

At 21.99%, ROP’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Software industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

GWW vs. ROP: A comparison of their Dividend Payout Ratio (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Dividend at a Glance

SymbolGWWROP
Dividend Yield (TTM)0.92%0.58%
Dividend Payout Ratio (TTM)22.89%21.99%

Valuation

Price-to-Earnings Ratio (TTM)

GWW

24.84

Trading Companies & Distributors Industry

Max
48.55
Q3
26.73
Median
17.17
Q1
10.78
Min
1.62

GWW’s P/E Ratio of 24.84 is within the middle range for the Trading Companies & Distributors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ROP

37.65

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

ROP’s P/E Ratio of 37.65 is within the middle range for the Software 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 vs. ROP: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

GWW

2.73

Trading Companies & Distributors Industry

Max
4.88
Q3
2.56
Median
1.02
Q1
0.60
Min
0.29

GWW’s P/S Ratio of 2.73 is in the upper echelon for the Trading Companies & Distributors industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ROP

7.76

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

ROP’s P/S Ratio of 7.76 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

GWW vs. ROP: A comparison of their Price-to-Sales Ratio (TTM) against their respective Trading Companies & Distributors and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

GWW

13.60

Trading Companies & Distributors Industry

Max
8.77
Q3
4.33
Median
2.00
Q1
1.11
Min
0.35

At 13.60, GWW’s P/B Ratio is at an extreme premium to the Trading Companies & Distributors 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.

ROP

3.10

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

ROP’s P/B Ratio of 3.10 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

GWW vs. ROP: A comparison of their Price-to-Book Ratio (MRQ) against their respective Trading Companies & Distributors and Software industry benchmarks.

Valuation at a Glance

SymbolGWWROP
Price-to-Earnings Ratio (TTM)24.8437.65
Price-to-Sales Ratio (TTM)2.737.76
Price-to-Book Ratio (MRQ)13.603.10
Price-to-Free Cash Flow Ratio (TTM)33.7225.39