Illinois Tool Works Inc.

Fundamentals7.0
Price Action6.5
News Sentiment7.0
AI Rating
6.8

Key Drivers

  • Margin Strength
  • Cash Conversion
  • Balance Sheet Risk

AI
AI Summary

6.8

ITW should now be viewed less as a pure defensive compounder and more as a cyclical earnings play on improving manufacturing/capex activity, but with upside capped by a rich valuation and no meaningful increase in margin ambition, making a sustained breakout above recent resistance the key confirmation signal.

CyclicalRebound
ValuationRisk
BreakoutWatch‍

Price Chart

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Financial Metrics

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Revenue (TTM)
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Net Income (TTM)
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EPS (Q)
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MCAP

Deep Analysis

Research tool. Not personalized advice.

Fundamental Analysis

7.0

Key Financial Insights:

  • Margin Strength
  • Cash Conversion
  • Balance Sheet Risk

ITW has durable margins, strong cash generation, and high returns, but elevated leverage, modest liquidity, and a demanding valuation limit upside.

Profitability
Leverage

Price Behavior

6.5
Research tool. Not personalized advice. Technical analysis is for informational purposes only.

Key Price Behavior Insights:

  • Higher lows
  • Cooling momentum
  • Resistance test

Over the last month, ITW has remained in an uptrend with higher lows and mild RSI support, but it is now cooling below $295-$297 resistance while $288-$285 remains key support.

bullish
watch
Support Level: $288-$285
Resistance Level: $295-$297

Sharp swings around

Sentiment & News

7.0

Key News Insights:

  • Earnings beat
  • Outlook raised
  • Buyback boost

ITW beat Q2 estimates, raised its 2026 outlook, and reinforced bullish momentum with stronger sales, margin expansion, and larger capital returns.

EarningsBeat
ShareholderReturns

The results and shareholder-friendly actions are likely to support the stock, though elevated valuation and mixed investor positioning could limit near-term upside