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Illinois Tool WorksFRA:ILT 85 EV-to-EBITDA is 18.77 as of Jul. 23, 2026, which is 11% above its 10-year median of 16.91. GuruFocus rates FRA:ILT with a GF Score™ of 85/100 and a GF Value™ of €230.59 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,473 Industrial Products companies, Illinois Tool Works ranks worse than 56% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Illinois Tool Works's enterprise value is €76,411 Mil.
Illinois Tool Works's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was €4,070 Mil. Therefore, Illinois Tool Works's EV-to-EBITDA for today is 18.77.
The historical rank and industry rank for Illinois Tool Works's EV-to-EBITDA or its related term are showing as below:
FRA:ILT'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 11.57 Med: 16.91 Max: 23.47
Current: 18.4
During the past 13 years, the highest EV-to-EBITDA of Illinois Tool Works was 23.47. The lowest was 11.57. And the median was 16.91.
FRA:ILT's EV-to-EBITDA is ranked worse than 56% of 2473
companies
in the Industrial Products industry
Industry Median: 15.74
vs FRA:ILT: 18.40
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
Illinois Tool Works (FRA:ILT) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Illinois Tool Works's PE Ratio (TTM) for today is calculated as:
Illinois Tool Works's share price for today is €236.80.
Illinois Tool Works's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €9.255.
* 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.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for Illinois Tool Works's EV-to-EBITDA 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.
For the Specialty Industrial Machinery subindustry, Illinois Tool Works's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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 EV-to-EBITDA vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Illinois Tool Works's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Illinois Tool Works's EV-to-EBITDA falls into.
Illinois Tool Works's current Enterprise Value is €76,411 Mil.
Illinois Tool Works's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €4,070 Mil.
* 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 (FRA:ILT) has a EV-to-EBITDA of 18.77 as of Jul. 23, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Illinois Tool Works. This is 11% above median its historical median of 16.91. Over the past decade, Illinois Tool Works' EV-to-EBITDA has ranged from 11.57 to 23.47. According to the industry distribution chart, Illinois Tool Works ranks #1385 out of 2473 companies in the Industrial Products industry, placing it in the top 56%.
Is Illinois Tool Works' EV-to-EBITDA too high?
Illinois Tool Works' current EV-to-EBITDA of 18.77 is 11% above median its 10-year median of 16.91. Over the past 10 years, this metric has ranged from a low of 11.57 to a high of 23.47. The Industrial Products industry median EV-to-EBITDA is 15.74. Illinois Tool Works' value of 18.77 is 19.3% above this industry median. Based on the distribution chart, Illinois Tool Works ranks #1385 out of 2473 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Illinois Tool Works has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Illinois Tool Works' EV-to-EBITDA compare to EMR and CMI?
According to the Industrial Products industry distribution chart, Illinois Tool Works ranks #1385 out of 2473 companies for EV-to-EBITDA. This places Illinois Tool Works in the lower half of its industry. The industry median EV-to-EBITDA is 15.74. Illinois Tool Works' value of 18.77 is 19.3% above this benchmark. Historically, Illinois Tool Works' own EV-to-EBITDA has ranged from 11.57 to 23.47 over the past decade. While the company's 10-year median is 16.91 vs. the industry median of 15.74, 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 EV-to-EBITDA for an Industrial Products company?
The median EV-to-EBITDA among Industrial Products companies is 15.74, based on 2,473 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Illinois Tool Works's current EV-to-EBITDA of 18.77 is 19.3% 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 EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Illinois Tool Works. For the Industrial Products industry, the median EV-to-EBITDA is 15.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Illinois Tool Works's current EV-to-EBITDA is 18.77, which is 11% above median its own 10-year median of 16.91. 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?
Based on GuruFocus' analysis, Illinois Tool Works (FRA:ILT) is currently considered Fairly Valued. The stock's GF Value™ is €230.59, compared to a current price of €236.80 — trading 2.7% above its estimated fair value. The current EV-to-EBITDA is 18.77, which is 11% above median its 10-year median of 16.91 and 19.3% above the Industrial Products industry median of 15.74. 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 EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Illinois Tool Works (FRA:ILT), the current EV-to-EBITDA is 18.77 as of Jul. 23, 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 (FRA:ILT) Overvalued in 2026?
Based on GuruFocus' analysis, Illinois Tool Works stock appears to be overvalued.
The current stock price of €236.80 is trading 2.7% above its estimated GF Value™ of €230.59.
GuruFocus considers Illinois Tool Works to be Fairly Valued.
Key valuation signals for FRA:ILT:
EV-to-EBITDA: 18.77 (11% above median its 10-year median of 16.91)
GF Value™: €230.59 vs. price of €236.80 (2.7% above fair value)
Industry Position: 19.3% above the Industrial Products median (#1385 of 2473)
No single metric tells the full story. See the FRA:ILT 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
Get the complete analysis for FRA:ILT
EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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