Hormel Foods Corporation (HRL) vs Illinois Tool Works Inc. (ITW)
A side-by-side comparison of Hormel Foods Corporation and Illinois Tool Works Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 28, 2026. Differences are shown without an overall score or investment verdict.
Different business models: HRL is classified in Consumer Defensive; ITW is classified in Industrials. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
HRL
Hormel Foods Corporation
$25.56Consumer DefensiveDelayed quote: Jul 28, 2026, 4:02 PM EDT
ITW
Illinois Tool Works Inc.
$295.16IndustrialsDelayed quote: Jul 28, 2026, 4:00 PM EDT
Total return — HRL vs ITW
growth of $100 · dividends reinvested · last 30yHRL +1551.6%ITW +3172.8%ITW compounded faster
HRL ITW
HRL vs ITW: by the numbers
- •ITW is the larger company ($84.92B vs $14.07B market cap).
- •ITW trades at the lower trailing earnings multiple (26.45 vs 30.65 P/E), one valuation lens rather than an overall verdict.
- •ITW converts more revenue to profit (19.32% vs 3.82% net margin).
- •ITW grew revenue faster over the past five years (4.71% vs 4.36% CAGR).
- •HRL pays the higher dividend yield (4.47% vs 2.26%).
Metrics side by side
Valuation
| Metric | HRL | ITW |
|---|---|---|
| P/E ratio | 30.65 | 26.45 |
| Forward P/E | 17.47 | 25.19 |
| P/S ratio | 1.17 | 5.08 |
| P/B ratio | 1.81 | 25.50 |
| PEG ratio | N/A | 2.76 |
| EV / EBITDA | 16.84 | 19.70 |
| FCF yield | 4.83% | 3.33% |
Profitability
| Metric | HRL | ITW |
|---|---|---|
| Gross margin | 15.72% | 44.12% |
| Operating margin | 5.75% | 26.42% |
| Net margin | 3.82% | 19.32% |
| ROE | 5.87% | 97.06% |
| ROIC | 4.31% | 24.49% |
Dividends
| Metric | HRL | ITW |
|---|---|---|
| Dividend yield | 4.47% | 2.26% |
| Payout ratio | 133.91% | 61.22% |
Growth (annualized)
| Metric | HRL | ITW |
|---|---|---|
| Revenue CAGR (5Y) | 4.36% | 4.71% |
| EPS CAGR (5Y) | -11.68% | 9.58% |
| FCF CAGR (5Y) | -6.83% | 1.38% |
| Total return CAGR (5Y) | -7.87% | 7.07% |
Frequently asked
- Which has the lower trailing P/E, HRL or ITW?
- ITW has the lower trailing P/E: HRL trades at 30.65 and ITW at 26.45. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, HRL or ITW?
- Over the past five years, ITW grew revenue faster — HRL at a 4.36% CAGR versus ITW at 4.71%.
- Does HRL or ITW pay a bigger dividend?
- HRL yields 4.47% and ITW yields 2.26% based on trailing dividends and the latest price.
- Is HRL or ITW more profitable?
- ITW runs the higher net margin — HRL at 3.82% versus ITW at 19.32%.
- How have HRL and ITW total returns compared?
- Over the past 10 years, HRL delivered -0.61% and ITW delivered 12.03% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Hormel Foods P/E ratioIllinois Tool Works P/E ratioHormel Foods dividend yieldIllinois Tool Works dividend yieldHormel Foods ROEIllinois Tool Works ROEHormel Foods operating marginIllinois Tool Works operating marginHormel Foods revenue growthIllinois Tool Works revenue growthHormel Foods free cash flowIllinois Tool Works free cash flow
Hormel Foods & 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 July 28, 2026.