Illinois Tool WorksFRA:ILT +2.45%84 Quick Ratio is 0.86 as of Mar. 2026, which is 34% below its 10-year median of 1.31. GuruFocus rates FRA:ILT with a GF Score™ of 84/100 and a GF Value™ of €230.39 (Fairly Valued). The stock has 2 warning signs investors should review. Among 3,079 Industrial Products companies, Illinois Tool Works ranks worse than 77.56% on this metric.
Illinois Tool Works has a quick ratio of 0.86. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Illinois Tool Works's Quick Ratio or its related term are showing as below:
FRA:ILT'
s Quick Ratio Range Over the Past 10 Years
Min: 0.84 Med: 1.31 Max: 2.36
Current: 0.86
During the past 13 years, Illinois Tool Works's highest Quick Ratio was 2.36. The lowest was 0.84. And the median was 1.31.
FRA:ILT's Quick Ratio is ranked worse than 77.56% of 3079
companies
in the Industrial Products industry
Industry Median: 1.39
vs FRA:ILT: 0.86
Illinois Tool Works (FRA:ILT) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Illinois Tool Works Quick Ratio Related Terms
Illinois Tool Works Quick Ratio Historical Data
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The historical data trend for Illinois Tool Works's Quick 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.
For the Specialty Industrial Machinery subindustry, Illinois Tool Works's Quick Ratio, along with its competitors' market caps and Quick 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 Quick Ratio vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Illinois Tool Works's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Illinois Tool Works's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Illinois Tool Works's Quick Ratio for the fiscal year that ended in Dec. 2025 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.
Illinois Tool Works (FRA:ILT) has a Quick Ratio of 0.86 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Illinois Tool Works and its competitors. This is 34% below median its historical median of 1.31. Over the past decade, Illinois Tool Works' Quick Ratio has ranged from 0.84 to 2.36. According to the industry distribution chart, Illinois Tool Works ranks #2388 out of 3079 companies in the Industrial Products industry, placing it in the top 77.6%.
Is Illinois Tool Works' Quick Ratio too high?
Illinois Tool Works' current Quick Ratio of 0.86 is 34% below median its 10-year median of 1.31. Over the past 10 years, this metric has ranged from a low of 0.84 to a high of 2.36. The Industrial Products industry median Quick Ratio is 1.39. Illinois Tool Works' value of 0.86 is 38.1% below this industry median. Based on the distribution chart, Illinois Tool Works ranks #2388 out of 3079 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Illinois Tool Works has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Illinois Tool Works' Quick Ratio compare to EMR and CMI?
According to the Industrial Products industry distribution chart, Illinois Tool Works ranks #2388 out of 3079 companies for Quick Ratio. This places Illinois Tool Works in the lower half of its industry. The industry median Quick Ratio is 1.39. Illinois Tool Works' value of 0.86 is 38.1% below this benchmark. Historically, Illinois Tool Works' own Quick Ratio has ranged from 0.84 to 2.36 over the past decade. While the company's 10-year median is 1.31 vs. the industry median of 1.39, Illinois Tool Works has consistently been below 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 Quick Ratio for an Industrial Products company?
The median Quick Ratio among Industrial Products companies is 1.39, based on 3,079 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Illinois Tool Works's current Quick Ratio of 0.86 is 38.1% below 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Illinois Tool Works and its competitors. For the Industrial Products industry, the median Quick Ratio is 1.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Illinois Tool Works's current Quick Ratio is 0.86, which is 34% below median its own 10-year median of 1.31. 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 €230.39, compared to a current price of €234.40 — trading 1.7% above its estimated fair value. The current Quick Ratio is 0.86, which is 34% below median its 10-year median of 1.31 and 38.1% below the Industrial Products industry median of 1.39. Illinois Tool Works' overall GF Score™ is 84/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Illinois Tool Works (FRA:ILT), the current Quick Ratio is 0.86 as of Mar. 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 €234.40 is trading 1.7% above its estimated GF Value™ of €230.39.
GuruFocus considers Illinois Tool Works to be Fairly Valued.
Key valuation signals for FRA:ILT:
Quick Ratio: 0.86 (34% below median its 10-year median of 1.31)
GF Value™: €230.39 vs. price of €234.40 (1.7% above fair value)
Industry Position: 38.1% below the Industrial Products median (#2388 of 3079)
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.
84GF Score
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