Advertisement
ITW vs NDSN
Which Stock Would AI Choose? Illinois Tool Works Inc. (ITW) vs. Nordson Corporation (NDSN) Stock Comparison
Key Takeaways
- Illinois Tool Works (ITW) posted solid earnings beat and raised its FY 2024 EPS guidance, while Nordson (NDSN) delivered mixed Q4 results and trimmed its FY 2025 outlook.
- Both companies posted incremental revenue growth, but ITW’s growth came largely from acquisitions and operating‑margin expansion; NDSN’s gains were driven by a strong Industrial Precision segment and recent buyouts.
- ITW’s dividend yield sits near 2.2% with a 7% increase in Q3 2024; NDSN raised its quarterly dividend 15% to $0.78, marking 61 consecutive years of dividend hikes.
- Relative performance over the past month: ITW shares edged higher (+0.3%) against a flat S&P 500, while NDSN fell ~8% and underperformed the index.
- Risk factors differ – ITW faces exposure to cyclical industrial end‑markets and foreign‑currency swings; NDSN is sensitive to electronics demand and agricultural‑equipment cycles.
Introduction
Investors and active traders often compare diversified industrial manufacturers that balance steady cash flow with growth opportunities. Illinois Tool Works (ITW) and Nordson Corporation (NDSN) are two large‑cap, dividend‑paying stocks with global footprints in precision tooling, fluid dispensing, and specialty equipment. This comparison targets both income‑focused investors seeking reliable dividends and momentum traders looking for relative price strength in the current market environment.
ITW Overview and Recent Performance
ITW operates as a Fortune 300 multi‑industrial manufacturing leader. Over the recent weeks the company reported third‑quarter 2024 results, highlighting a modest revenue dip of 1.6% to $4.0 billion, offset by a 130‑basis‑point (bps) contribution from enterprise initiatives that lifted operating margin to 26.5%. Adjusted earnings per share (EPS) of $2.65 topped consensus, prompting management to raise full‑year GAAP EPS guidance to $11.63‑$11.73. The dividend was increased 7% to an annualized $6.00, underscoring a commitment to shareholder returns. Cash and equivalents fell to $947 million, while long‑term debt rose slightly to $6.6 billion. Market sentiment has been cautiously optimistic, with the stock hovering near its 52‑week high after a brief pullback driven by macro‑level concerns in automotive OEM and construction product segments.
NDSN Overview and Recent Performance
NDSN is a precision‑technology company focused on adhesive dispensing, medical‑fluid solutions, and advanced automation. In its fiscal fourth quarter 2024 release, sales climbed 4% to $744 million, driven by a 5.7% acquisition impact and favorable currency translation, while organic revenue fell 3%. Adjusted EPS of $2.78 beat estimates, but net income of $122 million slipped 5% year‑over‑year. The company announced a 15% dividend hike to $0.78 per share, marking its 61st consecutive annual increase. However, FY 2025 guidance was narrowed to $2.75‑$2.87 billion in sales and $9.70‑$10.50 in adjusted EPS, below Wall Street expectations, prompting a roughly 8% intra‑day price decline after the release. The Advanced Technology Solutions segment recorded a 22% sales drop, raising concerns about electronics demand, while Industrial Precision Solutions posted a 3% sales rise.
Trending AI Robots
The Tickeron platform hosts hundreds of AI‑driven trading bots that execute strategies across thousands of tickers. Only the top‑performing, market‑appropriate bots are featured in the curated Trending AI Robots section. These bots span a range of styles—from short‑term scalpers to long‑term trend followers—and differ in timeframes, risk parameters, and performance metrics such as win rate, Sharpe ratio, and average return per trade. Traders can explore each bot’s back‑tested statistics, trade‑execution frequency, and underlying asset selection before deploying capital.
Head-to-Head Comparison
- Business Model: ITW runs a decentralized “business model” where autonomous units own assets and profit‑share, fostering entrepreneurial execution. NDSN relies on a division‑led structure focused on precision dispensing and medical fluid solutions.
- Growth Drivers: ITW’s growth is anchored in strong acquisition integration (e.g., Wilsonart divestiture proceeds) and margin‑enhancing initiatives. NDSN’s upside stems from the expanding Industrial Precision segment and recent Atrion Medical acquisition.
- Recent Momentum: Over the past month ITW posted a modest price uptick (+0.3%) versus the flat S&P 500, reflecting resilience amid manufacturing headwinds. NDSN declined ~8% and underperformed the index, pressured by lower guidance and a weak Advanced Technology segment.
- Risk Factors: ITW faces exposure to cyclical end‑markets (automotive OEM, construction) and foreign‑currency translation effects. NDSN’s risks include softness in electronics processing, agricultural‑equipment cycles, and elevated debt servicing costs.
- Sector Exposure: Both are classified under Industrials, yet ITW’s portfolio spans food equipment, welding, and polymers, providing broader diversification. NDSN is more concentrated in fluid‑dispensing and precision‑technology niches.
- Market Sentiment: Analyst consensus rates ITW as a “Hold” with a mean price target $277 (≈+8% upside). NDSN carries a “Moderate Buy” rating, with a mean target $254 (+19% upside) but short‑term sentiment remains wary due to guidance cuts.
Tickeron AI Verdict
Based on observable metrics—trend consistency, cash‑flow generation, and forward guidance—Tickeron’s AI currently leans toward Illinois Tool Works (ITW) as the more favorable pick. ITW’s expanding operating margin, dividend increase, and stable earnings beat suggest a steadier trajectory, while NDSN’s recent earnings miss, tightened outlook, and segmental weakness introduce higher near‑term volatility. Probabilistically, the AI assigns a higher likelihood of short‑term price appreciation to ITW, though both stocks remain viable for dividend‑oriented portfolios.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer. Disclaimers and Limitations
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is ITW is a Buy and NDSN is a Buy.
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is undervalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
ITW’s FA Score shows that 3 FA rating(s) are green whileNDSN’s FA Score has 1 green FA rating(s).
- ITW’s FA Score: 3 green, 2 red.
- NDSN’s FA Score: 1 green, 4 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
ITW’s TA Score shows that 5 TA indicator(s) are bullish while NDSN’s TA Score has 6 bullish TA indicator(s).
- ITW’s TA Score: 5 bullish, 5 bearish.
- NDSN’s TA Score: 6 bullish, 2 bearish.
Price Growth
ITW (@Industrial Machinery) experienced а +1.07% price change this week, while NDSN (@Industrial Machinery) price change was +1.25% for the same time period.
The average weekly price growth across all stocks in the @Industrial Machinery industry was +1.40%. For the same industry, the average monthly price growth was +5.68%, and the average quarterly price growth was +9.97%.
Reported Earning Dates
ITW is expected to report earnings on Aug 04, 2026.
NDSN is expected to report earnings on Aug 24, 2026.
Industries' Descriptions
@Industrial Machinery (+1.40% weekly)The industry makes and maintains machines for consumers, the industry, and most other companies. While it has traditionally been categorized as heavy industry, some smaller companies are also branching into the light category. The industry is pivotal in providing the equipment for production in businesses like agriculture, mining, industry and construction, gas, electricity and water utilities. It also supplies supporting equipment for almost all sectors of the economy, such as equipment for heating, and air conditioning of buildings. Illinois Tool Works Inc., Parker-Hannifin Corporation and Rockwell Automation Inc are some of the major U.S. companies operating in this industry.
| ITW | NDSN | ITW / NDSN | |
| Capitalization | 75.3B | 16.2B | 465% |
| EBITDA | 4.74B | 893M | 530% |
| Gain YTD | 8.399 | 23.444 | 36% |
| P/E Ratio | 24.63 | 31.52 | 78% |
| Revenue | 16.2B | 2.9B | 558% |
| Total Cash | 827M | N/A | - |
| Total Debt | 9.15B | 1.97B | 463% |
ITW | NDSN | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 21 | 13 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 20 Undervalued | 38 Fair valued | |
PROFIT vs RISK RATING 1..100 | 51 | 49 | |
SMR RATING 1..100 | 12 | 51 | |
PRICE GROWTH RATING 1..100 | 33 | 19 | |
P/E GROWTH RATING 1..100 | 38 | 37 | |
SEASONALITY SCORE 1..100 | n/a | n/a |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
ITW's Valuation (20) in the Industrial Machinery industry is in the same range as NDSN (38). This means that ITW’s stock grew similarly to NDSN’s over the last 12 months.
NDSN's Profit vs Risk Rating (49) in the Industrial Machinery industry is in the same range as ITW (51). This means that NDSN’s stock grew similarly to ITW’s over the last 12 months.
ITW's SMR Rating (12) in the Industrial Machinery industry is somewhat better than the same rating for NDSN (51). This means that ITW’s stock grew somewhat faster than NDSN’s over the last 12 months.
NDSN's Price Growth Rating (19) in the Industrial Machinery industry is in the same range as ITW (33). This means that NDSN’s stock grew similarly to ITW’s over the last 12 months.
NDSN's P/E Growth Rating (37) in the Industrial Machinery industry is in the same range as ITW (38). This means that NDSN’s stock grew similarly to ITW’s over the last 12 months.
| ITW | NDSN | |
|---|---|---|
| RSI ODDS (%) | 2 days ago 29% | N/A |
| Stochastic ODDS (%) | 2 days ago 39% | 2 days ago 48% |
| Momentum ODDS (%) | 2 days ago 56% | 2 days ago 63% |
| MACD ODDS (%) | 2 days ago 52% | 2 days ago 56% |
| TrendWeek ODDS (%) | 2 days ago 50% | 2 days ago 56% |
| TrendMonth ODDS (%) | 2 days ago 49% | 2 days ago 55% |
| Advances ODDS (%) | 2 days ago 49% | 8 days ago 53% |
| Declines ODDS (%) | 23 days ago 41% | 16 days ago 42% |
| BollingerBands ODDS (%) | 2 days ago 40% | 2 days ago 54% |
| Aroon ODDS (%) | 2 days ago 51% | 2 days ago 53% |
Advertisement
ITW and
Correlation & Price change
A.I.dvisor indicates that over the last year, ITW has been closely correlated with AOS. These tickers have moved in lockstep 75% of the time. This A.I.-generated data suggests there is a high statistical probability that if ITW jumps, then AOS could also see price increases.
NDSN and
Correlation & Price change
A.I.dvisor indicates that over the last year, NDSN has been closely correlated with GGG. These tickers have moved in lockstep 73% of the time. This A.I.-generated data suggests there is a high statistical probability that if NDSN jumps, then GGG could also see price increases.
| Ticker / NAME | Correlation To NDSN | 1D Price Change % | ||
|---|---|---|---|---|
| NDSN | 100% | -0.29% | ||
| GGG - NDSN | 73% Closely correlated | -0.68% | ||
| SWK - NDSN | 71% Closely correlated | -0.51% | ||
| IR - NDSN | 68% Closely correlated | -0.05% | ||
| DOV - NDSN | 68% Closely correlated | +2.61% | ||
| ROP - NDSN | 68% Closely correlated | -1.56% | ||
More | ||||