Illinois Tool Works

ITW

Market cap $76B

Illinois Tool Works (ITW) is rated a buy due to accelerating revenue growth, margin expansion, and discounted valuation versus historical averages. ITW benefits from easing macro headwinds, interest rate cuts, and strong execution in automotive OEM and customer-backed innovation initiatives. Margin expansion is driven by operating leverage, cost-cutting, product line simplification, and innovation-led pricing power, with incremental margins recently reaching 65%.

GLENVIEW, Ill., Jan. 13, 2026 (GLOBE NEWSWIRE) -- Illinois Tool Works Inc. (NYSE: ITW) will issue its fourth quarter and full year 2025 results on Tuesday, February 3, 2026, at 7:00 a.m.

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ITW sees momentum in key segments and margin gains from enterprise initiatives even as certain markets soften, setting up a mixed but closely watched 2025.

ITW has a unique set of characteristics that allow it to operate very efficiently. The industrial conglomerate is a cash cow that has raised its dividend for over 60 consecutive years.

GLENVIEW, Ill., Oct. 29, 2025 (GLOBE NEWSWIRE) -- The Board of Directors of Illinois Tool Works Inc. (NYSE: ITW) declared a dividend on the company's common stock of $1.61 per share for the fourth quarter of 2025. The dividend equates to $6.44 per share on a full-year basis. The dividend will be paid on January 9, 2026 to shareholders of record as of December 31, 2025.

Illinois Tool Works reported lackluster Q3 results, with modest revenue growth and ongoing demand softness across key segments. ITW's operating margins improved, especially in Auto OEM, but inventory buildup and tepid top-line growth raise concerns about future performance. Management narrowed full-year EPS guidance and expects continued demand softness, particularly in North America and Europe.