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ITW vs. LTM: A Head-to-Head Stock Comparison

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

Company Profile

ITW is a standard domestic listing, while LTM trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolITWLTM
Company NameIllinois Tool Works Inc.--
CountryUnited StatesChile
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryPassenger Airlines
Market Capitalization76.38 billion USD13.74 billion USD
ExchangeNYSENYSE
Listing DateMarch 13, 1973July 25, 2024
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of ITW and LTM 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.

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

Historical Performance at a Glance

SymbolITWLTM
5-Day Price Return-0.18%6.05%
13-Week Price Return4.10%27.40%
26-Week Price Return0.74%42.67%
52-Week Price Return7.98%64.89%
Month-to-Date Return2.36%2.96%
Year-to-Date Return3.34%59.50%
10-Day Avg. Volume0.88M2,100.86M
3-Month Avg. Volume1.04M1,815.43M
3-Month Volatility17.76%24.48%
Beta1.130.54

Profitability

Return on Equity (TTM)

ITW

102.30%

Machinery Industry

Max
34.68%
Q3
19.06%
Median
13.13%
Q1
8.53%
Min
-4.87%

ITW’s Return on Equity of 102.30% is exceptionally high, placing it well beyond the typical range for the Machinery industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

LTM

141.28%

Passenger Airlines Industry

Max
49.96%
Q3
28.15%
Median
15.41%
Q1
8.29%
Min
-11.01%

LTM’s Return on Equity of 141.28% is exceptionally high, placing it well beyond the typical range for the Passenger Airlines industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ITW vs. LTM: A comparison of their Return on Equity (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Net Profit Margin (TTM)

ITW

21.31%

Machinery Industry

Max
19.74%
Q3
11.24%
Median
8.13%
Q1
5.38%
Min
-1.11%

ITW’s Net Profit Margin of 21.31% is exceptionally high, placing it well beyond the typical range for the Machinery industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

LTM

8.88%

Passenger Airlines Industry

Max
17.65%
Q3
8.90%
Median
5.80%
Q1
2.02%
Min
-3.12%

LTM’s Net Profit Margin of 8.88% is aligned with the median group of its peers in the Passenger Airlines industry. This indicates its ability to convert revenue into profit is typical for the sector.

ITW vs. LTM: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Operating Profit Margin (TTM)

ITW

25.98%

Machinery Industry

Max
26.63%
Q3
16.15%
Median
11.27%
Q1
7.72%
Min
-4.91%

An Operating Profit Margin of 25.98% places ITW in the upper quartile for the Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

LTM

14.24%

Passenger Airlines Industry

Max
22.47%
Q3
12.33%
Median
8.62%
Q1
4.43%
Min
-2.88%

An Operating Profit Margin of 14.24% places LTM in the upper quartile for the Passenger Airlines industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ITW vs. LTM: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Profitability at a Glance

SymbolITWLTM
Return on Equity (TTM)102.30%141.28%
Return on Assets (TTM)21.57%7.44%
Net Profit Margin (TTM)21.31%8.88%
Operating Profit Margin (TTM)25.98%14.24%
Gross Profit Margin (TTM)43.74%27.19%

Financial Strength

Current Ratio (MRQ)

ITW

1.59

Machinery Industry

Max
3.83
Q3
2.32
Median
1.72
Q1
1.28
Min
0.78

ITW’s Current Ratio of 1.59 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

LTM

0.60

Passenger Airlines Industry

Max
1.46
Q3
0.94
Median
0.76
Q1
0.54
Min
0.17

LTM’s Current Ratio of 0.60 aligns with the median group of the Passenger Airlines industry, indicating that its short-term liquidity is in line with its sector peers.

ITW vs. LTM: A comparison of their Current Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ITW

2.78

Machinery Industry

Max
1.49
Q3
0.75
Median
0.44
Q1
0.26
Min
0.00

With a Debt-to-Equity Ratio of 2.78, ITW operates with exceptionally high leverage compared to the Machinery industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

LTM

8.22

Passenger Airlines Industry

Max
9.80
Q3
4.82
Median
1.30
Q1
0.89
Min
0.00

LTM’s leverage is in the upper quartile of the Passenger Airlines industry, with a Debt-to-Equity Ratio of 8.22. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ITW vs. LTM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Interest Coverage Ratio (TTM)

ITW

20.06

Machinery Industry

Max
67.55
Q3
33.79
Median
13.87
Q1
7.97
Min
-1.43

ITW’s Interest Coverage Ratio of 20.06 is positioned comfortably within the norm for the Machinery industry, indicating a standard and healthy capacity to cover its interest payments.

LTM

2.97

Passenger Airlines Industry

Max
22.60
Q3
16.29
Median
6.75
Q1
1.94
Min
-8.55

LTM’s Interest Coverage Ratio of 2.97 is positioned comfortably within the norm for the Passenger Airlines industry, indicating a standard and healthy capacity to cover its interest payments.

ITW vs. LTM: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Financial Strength at a Glance

SymbolITWLTM
Current Ratio (MRQ)1.590.60
Quick Ratio (MRQ)1.040.53
Debt-to-Equity Ratio (MRQ)2.788.22
Interest Coverage Ratio (TTM)20.062.97

Growth

Revenue Growth

ITW vs. LTM: 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

ITW vs. LTM: 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)

ITW

2.26%

Machinery Industry

Max
5.32%
Q3
2.84%
Median
1.87%
Q1
1.09%
Min
0.00%

ITW’s Dividend Yield of 2.26% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

LTM

2.14%

Passenger Airlines Industry

Max
6.71%
Q3
3.95%
Median
1.10%
Q1
0.00%
Min
0.00%

LTM’s Dividend Yield of 2.14% is consistent with its peers in the Passenger Airlines industry, providing a dividend return that is standard for its sector.

ITW vs. LTM: A comparison of their Dividend Yield (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Dividend Payout Ratio (TTM)

ITW

51.65%

Machinery Industry

Max
202.17%
Q3
98.65%
Median
55.54%
Q1
29.03%
Min
0.00%

ITW’s Dividend Payout Ratio of 51.65% is within the typical range for the Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

LTM

49.16%

Passenger Airlines Industry

Max
71.59%
Q3
38.54%
Median
8.16%
Q1
0.00%
Min
0.00%

LTM’s Dividend Payout Ratio of 49.16% is in the upper quartile for the Passenger Airlines industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ITW vs. LTM: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Dividend at a Glance

SymbolITWLTM
Dividend Yield (TTM)2.26%2.14%
Dividend Payout Ratio (TTM)51.65%49.16%

Valuation

Price-to-Earnings Ratio (TTM)

ITW

22.83

Machinery Industry

Max
53.66
Q3
31.29
Median
22.00
Q1
16.18
Min
7.00

ITW’s P/E Ratio of 22.83 is within the middle range for the Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LTM

11.74

Passenger Airlines Industry

Max
13.29
Q3
11.94
Median
8.78
Q1
7.42
Min
3.07

LTM’s P/E Ratio of 11.74 is within the middle range for the Passenger Airlines industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ITW vs. LTM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Price-to-Sales Ratio (TTM)

ITW

4.87

Machinery Industry

Max
5.04
Q3
2.72
Median
1.67
Q1
1.04
Min
0.24

ITW’s P/S Ratio of 4.87 is in the upper echelon for the Machinery 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.

LTM

1.04

Passenger Airlines Industry

Max
1.09
Q3
0.74
Median
0.61
Q1
0.44
Min
0.09

LTM’s P/S Ratio of 1.04 is in the upper echelon for the Passenger Airlines 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.

ITW vs. LTM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Price-to-Book Ratio (MRQ)

ITW

22.57

Machinery Industry

Max
7.23
Q3
3.90
Median
2.52
Q1
1.47
Min
0.49

At 22.57, ITW’s P/B Ratio is at an extreme premium to the Machinery 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.

LTM

12.93

Passenger Airlines Industry

Max
3.44
Q3
2.89
Median
1.84
Q1
1.22
Min
0.56

At 12.93, LTM’s P/B Ratio is at an extreme premium to the Passenger Airlines 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.

ITW vs. LTM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Valuation at a Glance

SymbolITWLTM
Price-to-Earnings Ratio (TTM)22.8311.74
Price-to-Sales Ratio (TTM)4.871.04
Price-to-Book Ratio (MRQ)22.5712.93
Price-to-Free Cash Flow Ratio (TTM)28.2110.15