Balance Sheet Dive: Illinois Tool Works, Inc (ITW)’s Debt-to-Equity and Long-Term Debt/Eq Ratios

Kevin Freeman

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After finishing at $244.46 in the prior trading day, Illinois Tool Works, Inc (NYSE: ITW) closed at $248.09, up 1.48%. In other words, the price has increased by $1.48 from its previous closing price. On the day, 1.11 million shares were traded. ITW stock price reached its highest trading level at $249.53 during the session, while it also had its lowest trading level at $242.53.

Ratios:

Our goal is to gain a better understanding of ITW by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 91.77 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 26.55. For the most recent quarter (mrq), Quick Ratio is recorded 1.15 and its Current Ratio is at 1.59. In the meantime, Its Debt-to-Equity ratio is 2.78 whereas as Long-Term Debt/Eq ratio is at 2.40.

On July 31, 2025, Truist Downgraded its rating to Hold which previously was Buy but kept the price unchanged to $283.

BofA Securities Downgraded its Neutral to Underperform on May 07, 2025, while the target price for the stock was maintained at $220.

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Sep 11 ’25 when SCHEUNEMAN RANDALL J sold 6,802 shares for $265.08 per share. The transaction valued at 1,803,074 led to the insider holds 10,314 shares of the business.

SCHEUNEMAN RANDALL J bought 6,802 shares of ITW for $1,803,070 on Sep 11 ’25. On Jun 12 ’25, another insider, Schott Jennifer Kaplan, who serves as the Former Officer of the company, bought 3,536 shares for $246.33 each.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, ITW now has a Market Capitalization of 72318230528 and an Enterprise Value of 80468238336. As of this moment, Illinois’s Price-to-Earnings (P/E) ratio for their current fiscal year is 21.77, and their Forward P/E ratio for the next fiscal year is 22.15. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 28.65. For the stock, the TTM Price-to-Sale (P/S) ratio is 4.58 while its Price-to-Book (P/B) ratio in mrq is 22.53. Its current Enterprise Value per Revenue stands at 5.096 whereas that against EBITDA is 17.744.

Stock Price History:

The Beta on a monthly basis for ITW is 1.14, which has changed by -0.0488441 over the last 52 weeks, in comparison to a change of 0.13724327 over the same period for the S&P500. Over the past 52 weeks, ITW has reached a high of $279.13, while it has fallen to a 52-week low of $214.66. The 50-Day Moving Average of the stock is -4.77%, while the 200-Day Moving Average is calculated to be -2.00%.

Shares Statistics:

The stock has traded on average 932.17K shares per day over the past 3-months and 1025380 shares per day over the last 10 days, according to various share statistics. A total of 291.50M shares are outstanding, with a floating share count of 290.47M. Insiders hold about 0.35% of the company’s shares, while institutions hold 84.05% stake in the company. Shares short for ITW as of 1759190400 were 6551017 with a Short Ratio of 7.03, compared to 1756425600 on 6504452. Therefore, it implies a Short% of Shares Outstanding of 6551017 and a Short% of Float of 2.26.

Dividends & Splits

In the trailing 12 months, ITW’s forward annual dividend rate was 6.0, compared to 6.11 this year. Against a Trailing Annual Dividend Yield of 0.024543893. The stock’s 5-year Average Dividend Yield is 2.21. . The current Payout Ratio is 49.52% for ITW, which recently paid a dividend on 2025-09-30 with an ex-dividend date of 2025-09-30. Stock splits for the company last occurred on 2006-05-26 when the company split stock in a 2:1 ratio.

Earnings Estimates

Current recommendations for the stock of the company come from 10.0 analysts. The consensus estimate for the next quarter is $2.74, with high estimates of $2.8 and low estimates of $2.63.

Analysts are recommending an EPS of between $10.5 and $10.29 for the fiscal current year, implying an average EPS of $10.4. EPS for the following year is $11.31, with 12.0 analysts recommending between $12.14 and $10.97.

Revenue Estimates

12 analysts predict $4.09B in revenue for . The current quarter. It ranges from a high estimate of $4.15B to a low estimate of $4.04B. As of . The current estimate, Illinois Tool Works, Inc’s year-ago sales were $3.97BFor the next quarter, 12 analysts are estimating revenue of $4.1B. There is a high estimate of $4.21B for the next quarter, whereas the lowest estimate is $4.04B.

A total of 14 analysts have provided revenue estimates for ITW’s current fiscal year. The highest revenue estimate was $16.25B, while the lowest revenue estimate was $16B, resulting in an average revenue estimate of $16.08B. In the same quarter a year ago, actual revenue was $15.9BBased on 15 analysts’ estimates, the company’s revenue will be $16.65B in the next fiscal year. The high estimate is $16.88B and the low estimate is $16.33B.

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