During the last three months, 10 analysts shared their evaluations of Illinois Tool Works (NYSE:ITW), revealing diverse outlooks from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 0 | 6 | 4 | 0 |
| Last 30D | 0 | 0 | 0 | 1 | 0 |
| 1M Ago | 0 | 0 | 4 | 1 | 0 |
| 2M Ago | 0 | 0 | 2 | 1 | 0 |
| 3M Ago | 0 | 0 | 0 | 1 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $249.6, a high estimate of $265.00, and a low estimate of $235.00. Surpassing the previous average price target of $242.20, the current average has increased by 3.06%.
Understanding Analyst Ratings: A Comprehensive Breakdown
A clear picture of Illinois Tool Works's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Julian Mitchell | Barclays | Maintains | Underweight | $243.00 | $243.00 |
| Julian Mitchell | Barclays | Raises | Equal-Weight | $243.00 | $240.00 |
| Nathan Jones | Stifel | Raises | Hold | $261.00 | $255.00 |
| Joseph O'Dea | Wells Fargo | Raises | Underweight | $250.00 | $235.00 |
| Steven Fisher | UBS | Raises | Neutral | $255.00 | $243.00 |
| Nathan Jones | Stifel | Raises | Hold | $255.00 | $233.00 |
| Andrew Kaplowitz | Citigroup | Raises | Neutral | $265.00 | $254.00 |
| Julian Mitchell | Barclays | Raises | Equal-Weight | $240.00 | $237.00 |
| Joseph O'Dea | Wells Fargo | Raises | Underweight | $235.00 | $230.00 |
| David Raso | Evercore ISI Group | Lowers | Underperform | $249.00 | $252.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Illinois Tool Works. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Illinois Tool Works compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Illinois Tool Works's stock. This comparison reveals trends in analysts' expectations over time.
For valuable insights into Illinois Tool Works's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Illinois Tool Works analyst ratings.
About Illinois Tool Works
Founded in 1912, Illinois Tool Works has become a diversified industrial manufacturer through acquisitions and innovations that follow customer needs. ITW operates through seven business segments, with no segment representing more than one-fifth of revenue. ITW's automotive OEM segment sells vehicle components; its food equipment segment sells commercial kitchen appliances; its test and measurement and electronics segment sells inspection and analysis equipment; its welding segment sells welding equipment and consumables; its polymers and fluids segment sells industrial and consumer adhesives, solvents, and coatings; its construction products segment sells building fasteners and tools; and its specialty products segment sells medical, packaging, HVAC, and airport ground equipment.
Understanding the Numbers: Illinois Tool Works's Finances
Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.
Revenue Growth: Illinois Tool Works's revenue growth over a period of 3M has been noteworthy. As of 30 June, 2025, the company achieved a revenue growth rate of approximately 0.65%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: Illinois Tool Works's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 18.63%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Illinois Tool Works's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 23.41%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): Illinois Tool Works's ROA stands out, surpassing industry averages. With an impressive ROA of 4.79%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Illinois Tool Works's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.78, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
Understanding the Relevance of Analyst Ratings
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.