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ITW vs. NXT: Illinois Tool Works vs. Nextracker Stock Comparison

How do Illinois Tool Works (ITW) and Nextracker (NXT) 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

Illinois Tool Works (ITW) and Nextracker (NXT) both fall under the Capital Goods industry group, but ITW is classified in Machinery while NXT is classified in Electrical Equipment.

Illinois Tool Works (ITW) has more than two decades of public-market history since March 13, 1973, whereas Nextracker (NXT) listed on February 9, 2023 and has a much shorter record to draw on.

Company profile comparison for Illinois Tool Works (ITW) and Nextracker (NXT)
Profile ItemITWNXT
NameIllinois Tool Works Inc.Nextpower Inc. Class A Common Stock
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryElectrical Equipment
GICS Sub-IndustryIndustrial Machinery & Supplies & ComponentsElectrical Components & Equipment
Market Capitalization79.85 billion USD16.00 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateMarch 13, 1973February 9, 2023
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

ITW
NXT
GSPC
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Illinois Tool Works (ITW) vs. Nextracker (NXT), 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 Illinois Tool Works (ITW) and Nextracker (NXT). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Total Return (1Y)20.29%0.06%
Total Return (3Y, Annualized)10.62%45.51%
Total Return (5Y, Annualized)6.67%--

Risk Profile

Drawdown History

ITW
NXT
GSPC
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Illinois Tool Works (ITW) vs. Nextracker (NXT), 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 Illinois Tool Works (ITW) and Nextracker (NXT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Volatility (1Y, Annualized)22.16%68.10%
Beta (5Y)0.911.66
Max Drawdown (5Y)-28.05%-51.10%
Avg. Volume (3M)1.27M2.38M

Risk-Adjusted Performance

Risk-Return Positioning

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ITW and NXT 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 Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Sharpe Ratio (1Y)0.72-0.06
Sortino Ratio (1Y)1.12-0.09

Profitability

ROE (TTM)

Both companies show strong equity returns, but Illinois Tool Works (ITW) at 101.65% is the standout with ROE above its industry range; Nextracker (NXT) at 26.46% also sits in the top quartile.

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%

NXT

Capital Goods industry group

26.46%

Max
40.55%
NXT
26.46%
Q3
19.29%
Median
12.12%
Q1
4.08%
Min
-17.12%
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Illinois Tool Works (ITW) at 19.39% and Nextracker (NXT) at 15.98% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

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%

NXT

Capital Goods industry group

15.98%

Max
27.47%
NXT
15.98%
Q3
12.10%
Median
6.30%
Q1
1.40%
Min
-12.89%
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both Illinois Tool Works (ITW) at 28.05% and Nextracker (NXT) at 20.06% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

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%

NXT

Capital Goods industry group

20.06%

Max
36.60%
NXT
20.06%
Q3
18.33%
Median
11.12%
Q1
5.14%
Min
-12.63%
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
ROE (TTM)101.65%26.46%
ROA (TTM)17.13%10.75%
Net Margin (TTM)19.39%15.98%
Operating Margin (TTM)28.05%20.06%
Gross Margin (TTM)44.32%21.84%

Growth

Revenue Growth

Nextracker (NXT) at 20.28% sits in the top revenue growth quartile, while Illinois Tool Works (ITW) at 0.92% is in the bottom quartile, showing a clear gap in revenue momentum.

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

EPS Growth

Both Illinois Tool Works (ITW) at -10.42% and Nextracker (NXT) at 10.66% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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

Growth Metrics

Growth metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Revenue Growth (YoY)0.92%20.28%
Revenue Growth (3Y CAGR)0.23%23.23%
EPS Growth (YoY)-10.42%10.66%
EPS Growth (3Y CAGR)2.40%476.90%

Financial Strength

Current Ratio (MRQ)

Nextracker (NXT) at 2.23 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.

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

NXT

Capital Goods industry group

2.23

Max
5.22
Q3
2.95
NXT
2.23
Median
2.08
Q1
1.43
Min
0.36
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Nextracker (NXT) at 0.02 keeps leverage in the lower quartile, while Illinois Tool Works (ITW) at 2.98 is above its industry debt-to-equity ratio range.

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

NXT

Capital Goods industry group

0.02

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
NXT
0.02
Min
0.00
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Current Ratio (MRQ)1.292.23
Debt / Equity (MRQ)2.980.02
Net Debt / EBITDA1.76-1.30

Dividends

Dividend Yield (TTM)

Nextracker (NXT) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Illinois Tool Works (ITW) reports a yield of 2.29%, ranking against industry peers normally.

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%

NXT

Capital Goods industry group

0.00%

Max
2.66%
Q3
1.14%
Median
0.24%
NXT
0.00%
Q1
0.00%
Min
0.00%
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Nextracker (NXT) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Illinois Tool Works (ITW) reports a payout of 58.43%, ranking against industry peers normally.

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%

NXT

Capital Goods industry group

0.00%

Max
67.39%
Q3
28.02%
Median
6.86%
NXT
0.00%
Q1
0.00%
Min
0.00%
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
Dividend Yield (TTM)2.29%0.00%
Dividend Payout Ratio (TTM)58.43%0.00%

Valuation

P/E Ratio (TTM)

Both Illinois Tool Works (ITW) at 25.06 and Nextracker (NXT) at 26.42 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

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

NXT

Capital Goods industry group

26.42

Max
59.38
Q3
35.92
NXT
26.42
Median
25.41
Q1
19.47
Min
3.03
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Both Illinois Tool Works (ITW) at 4.80 and Nextracker (NXT) at 4.17 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

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

NXT

Capital Goods industry group

4.17

Max
7.54
NXT
4.17
Q3
3.76
Median
2.15
Q1
1.03
Min
0.03
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Nextracker (NXT) at 5.98 sits in the upper P/B ratio quartile, and Illinois Tool Works (ITW) at 25.42 prices even higher, above its industry range.

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

NXT

Capital Goods industry group

5.98

Max
9.66
NXT
5.98
Q3
5.00
Median
3.12
Q1
1.81
Min
-1.08
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Illinois Tool Works (ITW) vs. Nextracker (NXT): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Illinois Tool Works (ITW) and Nextracker (NXT)
MetricITWNXT
P/E Ratio (TTM)25.0626.42
P/S Ratio (TTM)4.804.17
P/B Ratio (MRQ)25.425.98
Free Cash Flow Yield (TTM)2.89%2.32%