Question 1

What is Illinois Tool Works's P/B ratio?

Accepted Answer

Illinois Tool Works (ITW) P/B ratio is 22.6× as of June 5, 2026. The ratio is calculated by dividing market capitalisation by book value of equity, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/B ratio calculated?

Accepted Answer

P/B = Market Capitalisation ÷ Book Value of Equity (most recent quarterly shareholders' equity), or equivalently Share Price ÷ Book Value Per Share. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/B ratio?

Accepted Answer

The price-to-book (P/B) ratio compares a company's market capitalisation to its book value of equity (total shareholders' equity) on the most recent quarterly balance sheet. It is calculated as market cap ÷ book value of equity (equivalent to share price ÷ book value per share). A P/B below 1× implies the market values the business below its accounting net worth; values well above 1× reflect intangible assets, brand value, or a high return on equity.

Question 4

What is a good P/B ratio for Illinois Tool Works?

Accepted Answer

A "good" P/B depends on the business model. Banks, insurers, and other capital-heavy financials typically trade near 1×; asset-light technology and consumer-brand companies can sustainably trade at 5×+ because much of their value is intangible. P/B is most informative when paired with return on equity (ROE). For Illinois Tool Works specifically, the relevant sector benchmark is the current sector median of 5.0×.

Question 5

Is Illinois Tool Works's P/B ratio high or low?

Accepted Answer

Illinois Tool Works's P/B ratio of 22.6× is above its own 5-year average of 22.1× and above the sector median of 5.0×. That places the current reading at the 43th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Illinois Tool Works's historical P/B ratio range?

Accepted Answer

In the available daily series, Illinois Tool Works (ITW) P/B ratio has ranged from a low of 2.1× in 2011 to a high of 27.1× in 2026. The 5-year average is 22.1× and the 5-year median is 22.5×.

Question 7

What was Illinois Tool Works's P/B ratio in 2025?

Accepted Answer

Illinois Tool Works (ITW) P/B ratio at the end of 2025 was 22.2×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month book value figure available at that date.

Question 8

Why does Illinois Tool Works's P/B ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (book value). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$71.54B	$3.23B	22.2×	-0.4×	Dec 31, 2025
2024	$74.72B	$3.32B	22.5×	-3.6×	Dec 31, 2024
2023	$78.61B	$3.01B	26.1×	+4.2×	Dec 31, 2023
2022	$67.59B	$3.09B	21.9×	+0.5×	Dec 31, 2022
2021	$77.40B	$3.63B	21.4×	+1.1×	Dec 31, 2021
2020	$64.57B	$3.18B	20.3×	+1.2×	Dec 31, 2020
2019	$57.70B	$3.03B	19.1×	+6.2×	Dec 31, 2019
2018	$41.78B	$3.25B	12.8×	+0.5×	Dec 31, 2018
2017	$56.80B	$4.58B	12.4×	+2.4×	Dec 31, 2017
2016	$42.65B	$4.25B	10.0×	+3.6×	Dec 31, 2016
2015	$33.71B	$5.22B	6.5×	+1.1×	Dec 31, 2015
2014	$36.59B	$6.82B	5.4×	+1.6×	Dec 31, 2014
2013	$36.80B	$9.70B	3.8×	+1.1×	Dec 31, 2013
2012	$27.95B	$10.56B	2.6×	+0.4×	Dec 31, 2012
2011	$22.58B	$10.02B	2.3×	-0.6×	Dec 31, 2011
2010	$26.52B	$9.37B	2.8×	+0.1×	Dec 31, 2010
2009	$24.08B	$8.81B	2.7×	+0.5×	Dec 31, 2009
2008	$17.50B	$7.66B	2.3×	-0.7×	Dec 31, 2008
2007	$28.18B	$9.35B	3.0×	+0.1×	Dec 31, 2007
2006	$25.82B	$9.02B	2.9×	-0.4×	Dec 31, 2006
2005	$24.71B	$7.55B	3.3×	-0.3×	Dec 31, 2005
2004	$27.01B	$7.63B	3.5×	+0.3×	Dec 31, 2004
2003	$25.87B	$7.87B	3.3×	+0.3×	Dec 31, 2003
2002	$19.80B	$6.65B	3.0×	-0.3×	Dec 31, 2002
2001	$19.84B	$6.04B	3.3×	—	Dec 31, 2001


PACCAR (PCAR)	3.1×
Franklin Electric Co. (FELE)	3.0×
Huntington Ingalls Industries (HII)	2.9×
Brady (BRC)	2.9×
Fortive (FTV)	2.9×
Southwest Airlines (LUV)	2.7×
Xylem (XYL)	2.6×
FedEx (FDX)	2.5×
Axon Enterprise (TASR)	2.4×
Builders FirstSource (BLDR)	2.3×
McGrath RentCorp (MGRC)	2.2×
Tennant (TNC)	2.2×
Delta Air Lines (DAL)	2.1×
AGCO (AGCO)	2.0×
Textron (TXT)	1.9×
Archer Aviation (ACHR)	1.9×
United Airlines Holdings (UAL)	1.9×
Alamo Group (ALG)	1.7×
Matthews International (MATW)	1.6×
MDU Resources Group (MDU)	1.5×
Amentum Holdings (AMTM)	1.4×
ABM Industries (ABM)	1.4×
Stanley Black & Decker (SWK)	1.2×
Alaska Air Group (ALK)	1.1×
Versant Media Group, Inc. Class A (VSNT)	0.7×

P/B Ratio for Illinois Tool Works (ITW)

P/B Ratio daily chart for Illinois Tool Works (ITW)

Historical P/B Ratio for Illinois Tool Works (ITW) from 2001 to 2025

About P/B Ratio at Illinois Tool Works (ITW)

Illinois Tool Works P/B Ratio by Year

Illinois Tool Works P/B Ratio 2025: 22.2×

Illinois Tool Works P/B Ratio 2024: 22.5×

Illinois Tool Works P/B Ratio 2023: 26.1×

Illinois Tool Works P/B Ratio 2022: 21.9×

Illinois Tool Works P/B Ratio 2021: 21.4×

Sector peers by P/B Ratio — chart

Sector peers by P/B Ratio — table

Frequently asked questions

Illinois Tool Works (ITW) Key Financials

P/B Ratio daily chart for Illinois Tool Works (ITW)

Historical P/B Ratio for Illinois Tool Works (ITW) from 2001 to 2025

About P/B Ratio at Illinois Tool Works (ITW)

Illinois Tool Works P/B Ratio by Year

Illinois Tool Works P/B Ratio 2025: 22.2×

Illinois Tool Works P/B Ratio 2024: 22.5×

Illinois Tool Works P/B Ratio 2023: 26.1×

Illinois Tool Works P/B Ratio 2022: 21.9×

Illinois Tool Works P/B Ratio 2021: 21.4×

Sector peers by P/B Ratio — chart

Sector peers by P/B Ratio — table

Frequently asked questions

+What is Illinois Tool Works's P/B ratio?

+How is the P/B ratio calculated?

+What is the P/B ratio?

+What is a good P/B ratio for Illinois Tool Works?

+Is Illinois Tool Works's P/B ratio high or low?

+What is Illinois Tool Works's historical P/B ratio range?

+What was Illinois Tool Works's P/B ratio in 2025?

+Why does Illinois Tool Works's P/B ratio change over time?

Illinois Tool Works (ITW) Key Financials