Cummins Inc. (CMI) vs Illinois Tool Works Inc. (ITW)
ITW leads on 10 of 16 compared metrics.
A side-by-side comparison of Cummins Inc. and Illinois Tool Works Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 15, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
Total return — CMI vs ITW
growth of $100 · last 30yCMI +6297.5%ITW +1496.0%CMI compounded faster
CMI ITW
CMI vs ITW: by the numbers
- •CMI is the larger company ($91.01B vs $74.06B market cap).
- •ITW trades at the lower earnings multiple (23.90 vs 34.26 P/E).
- •ITW converts more revenue to profit (19.32% vs 7.89% net margin).
- •CMI grew revenue faster over the past five years (10.78% vs 4.71% CAGR).
- •ITW pays the higher dividend yield (2.46% vs 1.21%).
Which is better, CMI or ITW?
Metric tally: CMI 6 · ITW 10It depends on what you're optimizing for:
ValueITW(lower P/E)
GrowthCMI(faster 5Y revenue CAGR)
IncomeITW(higher dividend yield)
QualityITW(higher ROIC)
Metrics side by side
Valuation
| Metric | CMI | ITW |
|---|---|---|
| P/E ratio | 34.26 | 23.90● |
| Forward P/E | 22.71 | 22.78 |
| P/S ratio | 2.70● | 4.59 |
| P/B ratio | 7.41● | 23.05 |
| PEG ratio | 3.03 | 2.50● |
| EV / EBITDA | 20.20 | 17.79● |
| FCF yield | 2.92% | 3.68%● |
Profitability
| Metric | CMI | ITW |
|---|---|---|
| Gross margin | 25.39% | 44.12%● |
| Operating margin | 11.24% | 26.42%● |
| Net margin | 7.89% | 19.32%● |
| ROE | 21.64% | 97.06%● |
| ROIC | 11.41% | 24.49%● |
Dividends
| Metric | CMI | ITW |
|---|---|---|
| Dividend yield | 1.21% | 2.46%● |
| Payout ratio | 38.80% | 60.17% |
Growth (annualized)
| Metric | CMI | ITW |
|---|---|---|
| Revenue CAGR (5Y) | 10.78%● | 4.71% |
| EPS CAGR (5Y) | 11.31%● | 9.58% |
| FCF CAGR (5Y) | 4.25%● | 1.38% |
| Total return CAGR (5Y) | 24.28%● | 4.45% |
Frequently asked
- Which is better, CMI or ITW?
- It depends on your goal. value: ITW (lower P/E); growth: CMI (faster 5Y revenue CAGR); income: ITW (higher dividend yield); quality: ITW (higher ROIC). Across all compared metrics, ITW leads 10 to 6.
- Is CMI or ITW cheaper?
- On trailing earnings, ITW is cheaper: CMI trades at a 34.26 P/E and ITW at 23.90.
- Which has grown faster, CMI or ITW?
- Over the past five years, CMI grew revenue faster — CMI at a 10.78% CAGR versus ITW at 4.71%.
- Does CMI or ITW pay a bigger dividend?
- CMI yields 1.21% and ITW yields 2.46% based on trailing dividends and the latest price.
- Is CMI or ITW more profitable?
- ITW runs the higher net margin — CMI at 7.89% versus ITW at 19.32%.
- Which has been the better investment, CMI or ITW?
- Over the past 10-year, CMI delivered the higher annualized total return — CMI at 22.09% versus ITW at 11.65%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Cummins P/E ratioIllinois Tool Works P/E ratioCummins dividend yieldIllinois Tool Works dividend yieldCummins ROEIllinois Tool Works ROECummins operating marginIllinois Tool Works operating marginCummins revenue growthIllinois Tool Works revenue growthCummins free cash flowIllinois Tool Works free cash flow
Cummins & Illinois Tool Works appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 15, 2026.