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

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

Company Profile

SymbolITWNSC
Company NameIllinois Tool Works Inc.Norfolk Southern Corporation
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryGround Transportation
Market Capitalization76.38 billion USD64.05 billion USD
ExchangeNYSENYSE
Listing DateMarch 13, 1973June 2, 1982
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ITW and NSC 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. NSC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolITWNSC
5-Day Price Return-0.18%1.06%
13-Week Price Return4.10%17.11%
26-Week Price Return0.74%10.99%
52-Week Price Return7.98%18.38%
Month-to-Date Return2.36%2.69%
Year-to-Date Return3.34%21.64%
10-Day Avg. Volume0.88M1.69M
3-Month Avg. Volume1.04M1.75M
3-Month Volatility17.76%18.13%
Beta1.131.33

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.

NSC

23.35%

Ground Transportation Industry

Max
22.11%
Q3
13.84%
Median
9.66%
Q1
7.55%
Min
0.36%

NSC’s Return on Equity of 23.35% is exceptionally high, placing it well beyond the typical range for the Ground Transportation industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ITW vs. NSC: A comparison of their Return on Equity (TTM) against their respective Machinery and Ground Transportation 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.

NSC

27.51%

Ground Transportation Industry

Max
32.20%
Q3
18.59%
Median
7.11%
Q1
4.13%
Min
-10.38%

A Net Profit Margin of 27.51% places NSC in the upper quartile for the Ground Transportation industry, signifying strong profitability and more effective cost management than most of its peers.

ITW vs. NSC: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Ground Transportation 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.

NSC

41.45%

Ground Transportation Industry

Max
41.31%
Q3
23.16%
Median
11.33%
Q1
6.82%
Min
-12.08%

NSC’s Operating Profit Margin of 41.45% is exceptionally high, placing it well above the typical range for the Ground Transportation industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ITW vs. NSC: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Profitability at a Glance

SymbolITWNSC
Return on Equity (TTM)102.30%23.35%
Return on Assets (TTM)21.57%7.66%
Net Profit Margin (TTM)21.31%27.51%
Operating Profit Margin (TTM)25.98%41.45%
Gross Profit Margin (TTM)43.74%51.67%

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.

NSC

0.79

Ground Transportation Industry

Max
2.03
Q3
1.26
Median
0.89
Q1
0.73
Min
0.38

NSC’s Current Ratio of 0.79 aligns with the median group of the Ground Transportation industry, indicating that its short-term liquidity is in line with its sector peers.

ITW vs. NSC: A comparison of their Current Ratio (MRQ) against their respective Machinery and Ground Transportation 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.

NSC

1.17

Ground Transportation Industry

Max
2.51
Q3
1.51
Median
1.06
Q1
0.47
Min
0.00

NSC’s Debt-to-Equity Ratio of 1.17 is typical for the Ground Transportation industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ITW vs. NSC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Ground Transportation 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.

NSC

5.21

Ground Transportation Industry

Max
51.07
Q3
22.54
Median
7.94
Q1
2.72
Min
-24.57

NSC’s Interest Coverage Ratio of 5.21 is positioned comfortably within the norm for the Ground Transportation industry, indicating a standard and healthy capacity to cover its interest payments.

ITW vs. NSC: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Financial Strength at a Glance

SymbolITWNSC
Current Ratio (MRQ)1.590.79
Quick Ratio (MRQ)1.040.71
Debt-to-Equity Ratio (MRQ)2.781.17
Interest Coverage Ratio (TTM)20.065.21

Growth

Revenue Growth

ITW vs. NSC: 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. NSC: 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.

NSC

1.90%

Ground Transportation Industry

Max
5.44%
Q3
2.49%
Median
1.53%
Q1
0.39%
Min
0.00%

NSC’s Dividend Yield of 1.90% is consistent with its peers in the Ground Transportation industry, providing a dividend return that is standard for its sector.

ITW vs. NSC: A comparison of their Dividend Yield (TTM) against their respective Machinery and Ground Transportation 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.

NSC

36.42%

Ground Transportation Industry

Max
137.07%
Q3
74.71%
Median
41.16%
Q1
15.12%
Min
0.00%

NSC’s Dividend Payout Ratio of 36.42% is within the typical range for the Ground Transportation industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ITW vs. NSC: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Dividend at a Glance

SymbolITWNSC
Dividend Yield (TTM)2.26%1.90%
Dividend Payout Ratio (TTM)51.65%36.42%

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.

NSC

19.18

Ground Transportation Industry

Max
42.59
Q3
24.86
Median
16.38
Q1
12.79
Min
4.37

NSC’s P/E Ratio of 19.18 is within the middle range for the Ground Transportation 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. NSC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Ground Transportation 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.

NSC

5.28

Ground Transportation Industry

Max
4.02
Q3
2.20
Median
1.23
Q1
0.87
Min
0.22

With a P/S Ratio of 5.28, NSC trades at a valuation that eclipses even the highest in the Ground Transportation industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ITW vs. NSC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Ground Transportation 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.

NSC

3.90

Ground Transportation Industry

Max
4.95
Q3
2.78
Median
1.38
Q1
1.17
Min
0.64

NSC’s P/B Ratio of 3.90 is in the upper tier for the Ground Transportation industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ITW vs. NSC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Ground Transportation industry benchmarks.

Valuation at a Glance

SymbolITWNSC
Price-to-Earnings Ratio (TTM)22.8319.18
Price-to-Sales Ratio (TTM)4.875.28
Price-to-Book Ratio (MRQ)22.573.90
Price-to-Free Cash Flow Ratio (TTM)28.2131.74