ITW vs. RRX: Illinois Tool Works vs. Regal Rexnord Stock Comparison
How do Illinois Tool Works (ITW) and Regal Rexnord (RRX) 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 Regal Rexnord (RRX) both fall under the Capital Goods industry group, but ITW is classified in Machinery while RRX is classified in Electrical Equipment.
| Profile Item | ITW | RRX |
|---|---|---|
| Name | Illinois Tool Works Inc. | Regal Rexnord Corporation |
| Country/Region | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry Group | Capital Goods | Capital Goods |
| GICS Industry | Machinery | Electrical Equipment |
| GICS Sub-Industry | Industrial Machinery & Supplies & Components | Electrical Components & Equipment |
| Market Capitalization | 79.85 billion USD | 11.26 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 13, 1973 | March 17, 1980 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ITW | RRX |
|---|---|---|
| Total Return (1Y) | 20.29% | 33.67% |
| Total Return (3Y, Annualized) | 10.62% | 20.16% |
| Total Return (5Y, Annualized) | 6.67% | 2.72% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | ITW | RRX |
|---|---|---|
| Volatility (1Y, Annualized) | 22.16% | 53.85% |
| Beta (5Y) | 0.91 | 1.04 |
| Max Drawdown (5Y) | -28.05% | -48.11% |
| Avg. Volume (3M) | 1.27M | 1.21M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ITW | RRX |
|---|---|---|
| Sharpe Ratio (1Y) | 0.72 | 0.55 |
| Sortino Ratio (1Y) | 1.12 | 0.79 |
Profitability
ROE (TTM)
Illinois Tool Works (ITW) at 101.65% delivers above-range ROE, while Regal Rexnord (RRX) at 3.41% falls into the bottom quartile — a wide split in profit generated from equity.
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%
RRX
Capital Goods industry group
3.41%
- Max
- 40.55%
- Q3
- 19.29%
- Median
- 12.12%
- Q1
- 4.08%
- RRX
- 3.41%
- Min
- -17.12%
Net Margin (TTM)
Illinois Tool Works (ITW) at 19.39% retains a top-quartile share of revenue as profit, ahead of Regal Rexnord (RRX) at 3.77%, which keeps about the industry-typical share.
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%
RRX
Capital Goods industry group
3.77%
- Max
- 27.47%
- Q3
- 12.10%
- Median
- 6.30%
- RRX
- 3.77%
- Q1
- 1.40%
- Min
- -12.89%
Operating Margin (TTM)
Illinois Tool Works (ITW) at 28.05% operates in the top operating margin quartile, ahead of Regal Rexnord (RRX) at 12.10%, which runs around its industry’s norm.
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%
RRX
Capital Goods industry group
12.10%
- Max
- 36.60%
- Q3
- 18.33%
- RRX
- 12.10%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
Profitability Metrics
| Metric | ITW | RRX |
|---|---|---|
| ROE (TTM) | 101.65% | 3.41% |
| ROA (TTM) | 17.13% | 3.20% |
| Net Margin (TTM) | 19.39% | 3.77% |
| Operating Margin (TTM) | 28.05% | 12.10% |
| Gross Margin (TTM) | 44.32% | 37.24% |
Growth
Revenue Growth
Both Illinois Tool Works (ITW) at 0.92% and Regal Rexnord (RRX) at -1.65% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.
EPS Growth
Regal Rexnord (RRX) at 42.86% sits in the top EPS growth quartile, while Illinois Tool Works (ITW) at -10.42% is closer to the peer norm — faster per-share earnings growth for RRX.
Growth Metrics
| Metric | ITW | RRX |
|---|---|---|
| Revenue Growth (YoY) | 0.92% | -1.65% |
| Revenue Growth (3Y CAGR) | 0.23% | 4.38% |
| EPS Growth (YoY) | -10.42% | 42.86% |
| EPS Growth (3Y CAGR) | 2.40% | -16.79% |
Financial Strength
Current Ratio (MRQ)
Regal Rexnord (RRX) at 2.22 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
RRX
Capital Goods industry group
2.22
- Max
- 5.22
- Q3
- 2.95
- RRX
- 2.22
- Median
- 2.08
- Q1
- 1.43
- Min
- 0.36
Debt / Equity (MRQ)
Regal Rexnord (RRX) at 0.67 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.
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
RRX
Capital Goods industry group
0.67
- Max
- 2.33
- Q3
- 1.12
- RRX
- 0.67
- Median
- 0.60
- Q1
- 0.29
- Min
- 0.00
Financial Strength Metrics
| Metric | ITW | RRX |
|---|---|---|
| Current Ratio (MRQ) | 1.29 | 2.22 |
| Debt / Equity (MRQ) | 2.98 | 0.67 |
| Net Debt / EBITDA | 1.76 | 3.47 |
Dividends
Dividend Yield (TTM)
Illinois Tool Works (ITW) at 2.29% delivers top-quartile income for its industry, while Regal Rexnord (RRX) at 0.87% pays a more typical yield — both are credible income propositions, ITW the richer one.
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%
RRX
Capital Goods industry group
0.87%
- Max
- 2.66%
- Q3
- 1.14%
- RRX
- 0.87%
- Median
- 0.24%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Illinois Tool Works (ITW) at 58.43% and Regal Rexnord (RRX) at 40.35% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.
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%
RRX
Capital Goods industry group
40.35%
- Max
- 67.39%
- RRX
- 40.35%
- Q3
- 28.02%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ITW | RRX |
|---|---|---|
| Dividend Yield (TTM) | 2.29% | 0.87% |
| Dividend Payout Ratio (TTM) | 58.43% | 40.35% |
Valuation
P/E Ratio (TTM)
Illinois Tool Works (ITW) at 25.06 is near its industry’s usual P/E ratio, while Regal Rexnord (RRX) at 48.72 sits in the richer quartile — RRX needs stronger growth or earnings quality to justify the premium.
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
RRX
Capital Goods industry group
48.72
- Max
- 59.38
- RRX
- 48.72
- Q3
- 35.92
- Median
- 25.41
- Q1
- 19.47
- Min
- 3.03
P/S Ratio (TTM)
Regal Rexnord (RRX) at 1.83 is priced about in line with its industry on P/S ratio, while Illinois Tool Works (ITW) at 4.80 sits in the pricier quartile — ITW costs more per dollar of sales.
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
RRX
Capital Goods industry group
1.83
- Max
- 7.54
- Q3
- 3.76
- Median
- 2.15
- RRX
- 1.83
- Q1
- 1.03
- Min
- 0.03
P/B Ratio (MRQ)
Regal Rexnord (RRX) at 1.64 sits in the lower P/B ratio quartile relative to book while Illinois Tool Works (ITW) at 25.42 prices above its industry range — a wide valuation gap against assets.
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
RRX
Capital Goods industry group
1.64
- Max
- 9.66
- Q3
- 5.00
- Median
- 3.12
- Q1
- 1.81
- RRX
- 1.64
- Min
- -1.08
Valuation Metrics
| Metric | ITW | RRX |
|---|---|---|
| P/E Ratio (TTM) | 25.06 | 48.72 |
| P/S Ratio (TTM) | 4.80 | 1.83 |
| P/B Ratio (MRQ) | 25.42 | 1.64 |
| Free Cash Flow Yield (TTM) | 2.89% | 3.88% |