Illinois Tool Works Inc. (ITW) vs Norfolk Southern Corporation (NSC)

NSC leads on 10 of 16 compared metrics, though ITW is the cheaper stock.

A side-by-side comparison of Illinois Tool Works Inc. and Norfolk Southern Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — ITW vs NSC

growth of $100 · last 30y
ITW +1454.5%NSC +1011.2%ITW compounded faster
05001k2kStart $100200120062011201620212026$1,555$1,111
ITW NSC

ITW vs NSC: by the numbers

  • ITW is the larger company ($74.06B vs $70.50B market cap).
  • ITW trades at the lower earnings multiple (23.90 vs 26.45 P/E).
  • NSC converts more revenue to profit (21.91% vs 19.32% net margin).
  • ITW grew revenue faster over the past five years (4.71% vs 4.45% CAGR).
  • ITW pays the higher dividend yield (2.46% vs 1.72%).

Which is better, ITW or NSC?

Metric tally: ITW 6 · NSC 10

It depends on what you're optimizing for:

ValueITW(lower P/E)
GrowthITW(faster 5Y revenue CAGR)
IncomeITW(higher dividend yield)
QualityITW(higher ROIC)

Valuation

MetricITWNSC
P/E ratio23.9026.45
Forward P/E22.7823.20
P/S ratio4.595.80
P/B ratio23.054.47
PEG ratio2.502.24
EV / EBITDA17.7915.65
FCF yield3.68%5.41%

Profitability

MetricITWNSC
Gross margin44.12%45.31%
Operating margin26.42%32.39%
Net margin19.32%21.91%
ROE97.06%16.89%
ROIC24.49%7.47%

Dividends

MetricITWNSC
Dividend yield2.46%1.72%
Payout ratio60.17%42.35%

Growth (annualized)

MetricITWNSC
Revenue CAGR (5Y)4.71%4.45%
EPS CAGR (5Y)9.58%10.10%
FCF CAGR (5Y)1.38%10.65%
Total return CAGR (5Y)4.45%5.11%

Frequently asked

Which is better, ITW or NSC?
It depends on your goal. value: ITW (lower P/E); growth: ITW (faster 5Y revenue CAGR); income: ITW (higher dividend yield); quality: ITW (higher ROIC). Across all compared metrics, NSC leads 10 to 6.
Is ITW or NSC cheaper?
On trailing earnings, ITW is cheaper: ITW trades at a 23.90 P/E and NSC at 26.45.
Which has grown faster, ITW or NSC?
Over the past five years, ITW grew revenue faster — ITW at a 4.71% CAGR versus NSC at 4.45%.
Does ITW or NSC pay a bigger dividend?
ITW yields 2.46% and NSC yields 1.72% based on trailing dividends and the latest price.
Is ITW or NSC more profitable?
NSC runs the higher net margin — ITW at 19.32% versus NSC at 21.91%.
Which has been the better investment, ITW or NSC?
Over the past 10-year, NSC delivered the higher annualized total return — ITW at 11.65% versus NSC at 16.41%. Past performance doesn't predict future results.

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 13, 2026.