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Illinois Tool WorksMEX:ITW 85 Cyclically Adjusted PS Ratio is 4.69 as of Jul. 15, 2026, which is 2% above its 10-year median of 4.62. GuruFocus rates MEX:ITW with a GF Score™ of 85/100 and a GF Value™ of MXN4,390.41. The stock has 3 warning signs investors should review. Among 2,294 Industrial Products companies, Illinois Tool Works ranks worse than 79.08% on this metric.
The historical rank and industry rank for Illinois Tool Works's Cyclically Adjusted PS Ratio or its related term are showing as below:
MEX:ITW'
s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 3.21 Med: 4.62 Max: 5.84
Current: 4.9
During the past years, Illinois Tool Works's highest Cyclically Adjusted PS Ratio was 5.84. The lowest was 3.21. And the median was 4.62.
MEX:ITW's Cyclically Adjusted PS Ratio is ranked worse than 79.08% of 2294
companies
in the Industrial Products industry
Industry Median: 1.85
vs MEX:ITW: 4.90
The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.
Illinois Tool Works's adjusted revenue per share data for the three months ended in Mar. 2026 was MXN250.499. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is MXN957.23 for the trailing ten years ended in Mar. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Illinois Tool Works (MEX:ITW) Cyclically Adjusted PS Ratio Explanation
Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.
Illinois Tool Works Cyclically Adjusted PS Ratio Related Terms
Illinois Tool Works Cyclically Adjusted PS Ratio Historical Data
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The historical data trend for Illinois Tool Works's Cyclically Adjusted PS Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Illinois Tool Works Cyclically Adjusted PS Ratio Chart
MEX:ITW vs EMR, CMI, AME: Cyclically Adjusted PS Ratio Comparison
For the Specialty Industrial Machinery subindustry, Illinois Tool Works's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Illinois Tool Works Cyclically Adjusted PS Ratio vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Illinois Tool Works's Cyclically Adjusted PS Ratio distribution charts can be found below:
* The bar in red indicates where Illinois Tool Works's Cyclically Adjusted PS Ratio falls into.
Illinois Tool Works Cyclically Adjusted PS Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.
Illinois Tool Works's Cyclically Adjusted PS Ratio for today is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.
What does a Cyclically Adjusted PS Ratio of 4.69 mean?
Illinois Tool Works (MEX:ITW) has a Cyclically Adjusted PS Ratio of 4.69 as of Jul. 15, 2026. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Illinois Tool Works and its competitors. This is near median its historical median of 4.62. Over the past decade, Illinois Tool Works' Cyclically Adjusted PS Ratio has ranged from 3.21 to 5.84. According to the industry distribution chart, Illinois Tool Works ranks #1814 out of 2294 companies in the Industrial Products industry, placing it in the top 79.1%.
Is Illinois Tool Works' Cyclically Adjusted PS Ratio too high?
Illinois Tool Works' current Cyclically Adjusted PS Ratio of 4.69 is near median its 10-year median of 4.62. Over the past 10 years, this metric has ranged from a low of 3.21 to a high of 5.84. The Industrial Products industry median Cyclically Adjusted PS Ratio is 1.85. Illinois Tool Works' value of 4.69 is 153.5% above this industry median. Based on the distribution chart, Illinois Tool Works ranks #1814 out of 2294 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Illinois Tool Works has a GF Score™ of 85/100, reflecting its overall financial health beyond just this single metric.
How does Illinois Tool Works' Cyclically Adjusted PS Ratio compare to EMR and CMI?
According to the Industrial Products industry distribution chart, Illinois Tool Works ranks #1814 out of 2294 companies for Cyclically Adjusted PS Ratio. This places Illinois Tool Works in the lower half of its industry. The industry median Cyclically Adjusted PS Ratio is 1.85. Illinois Tool Works' value of 4.69 is 153.5% above this benchmark. Historically, Illinois Tool Works' own Cyclically Adjusted PS Ratio has ranged from 3.21 to 5.84 over the past decade. While the company's 10-year median is 4.62 vs. the industry median of 1.85, Illinois Tool Works has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PS Ratio for an Industrial Products company?
The median Cyclically Adjusted PS Ratio among Industrial Products companies is 1.85, based on 2,294 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Illinois Tool Works's current Cyclically Adjusted PS Ratio of 4.69 is 153.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PS Ratio mean?
A high Cyclically Adjusted PS Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Illinois Tool Works and its competitors. For the Industrial Products industry, the median Cyclically Adjusted PS Ratio is 1.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Illinois Tool Works's current Cyclically Adjusted PS Ratio is 4.69, which is near median its own 10-year median of 4.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Illinois Tool Works stock overvalued right now?
Illinois Tool Works (MEX:ITW) has a current Cyclically Adjusted PS Ratio of 4.69. The stock's GF Value™ is MXN4,390.41, compared to a current price of MXN4,485.30 — trading 2.2% above its estimated fair value. The current Cyclically Adjusted PS Ratio is 4.69, which is near median its 10-year median of 4.62 and 153.5% above the Industrial Products industry median of 1.85. Illinois Tool Works' overall GF Score™ is 85/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PS Ratio calculated?
Cyclically Adjusted PS Ratio is calculated from a company's financial statements. For Illinois Tool Works (MEX:ITW), the current Cyclically Adjusted PS Ratio is 4.69 as of Jul. 15, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Illinois Tool Works (MEX:ITW) Overvalued in 2026?
Based on GuruFocus' analysis, Illinois Tool Works stock appears to be overvalued.
The current stock price of MXN4,485.30 is trading 2.2% above its estimated GF Value™ of MXN4,390.41.
Key valuation signals for MEX:ITW:
Cyclically Adjusted PS Ratio: 4.69 (near median its 10-year median of 4.62)
GF Value™: MXN4,390.41 vs. price of MXN4,485.30 (2.2% above fair value)
Industry Position: 153.5% above the Industrial Products median (#1814 of 2294)
No single metric tells the full story. See the MEX:ITW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
85GF Score
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