Sifting through countless of stocks in the Machinery industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Illinois Tool Works Inc. or Berkshire Hathaway Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Illinois Tool Works Inc. and Berkshire Hathaway Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Illinois Tool Works Inc. and Berkshire Hathaway Inc.

Illinois Tool Works Inc. provides industrial products and equipment in North America, Europe, the Middle East, Africa, the Asia Pacific, and South America. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products. The Automotive OEM segment offers plastic and metal components, fasteners, and assemblies for automobiles, light trucks, and other industrial uses. The Food Equipment segment provides warewashing, cooking, refrigeration, and food processing equipment; kitchen exhaust, ventilation, and pollution control systems; and food equipment maintenance and repair services. The Test & Measurement and Electronics segment produce and sells test and measurement; and electronic manufacturing and maintenance, repair, and operations solutions. The Welding segment produces arc welding equipment, and metal arc welding consumables and related accessories. The Polymers & Fluids segment produces adhesives, sealants, lubrication and cutting fluids, and fluids and polymers for auto aftermarket maintenance and appearance. The Construction Products segment offers engineered fastening systems and solutions for the residential construction, renovation/remodel, and commercial construction markets. The Specialty Products segment provides beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners. The company serves automotive OEM and aftermarket, commercial food equipment, construction, general industrial, industrial capital goods, consumer durables, and other markets, as well as MRO markets. It distributes its products directly to industrial manufacturers, as well as through independent distributors. Illinois Tool Works Inc. was founded in 1912 and is based in Glenview, Illinois.

Berkshire Hathaway Inc., together with its subsidiaries, engages in the insurance, freight rail transportation, and utility businesses. The company provides property, casualty, life, accident, and health insurance and reinsurance; operates railroad systems in North America; generates, transmits, stores, and distributes electricity from natural gas, coal, wind, solar, hydroelectric, nuclear, and geothermal sources; operates natural gas distribution and storage facilities, interstate pipelines, liquefied natural gas facilities, and compressor and meter stations; and holds interest in coal mining assets. It manufactures boxed chocolates and other confectionery products; specialty chemicals, metal cutting tools, and components for aerospace and power generation applications; prefabricated and site-built residential homes, flooring products; insulation, roofing, and engineered products; building and engineered components; paints and coatings; and bricks and masonry products, as well as offers manufactured and site-built home construction, and related lending and financial services. In addition, the company provides recreational vehicles, apparel, footwear, toys, jewelry, custom picture framing products, alkaline batteries, logistics services, and professional aviation training and shared aircraft ownership programs; castings, forgings, fasteners/fastener systems, aerostructures, and precision components; and cobalt, nickel, and titanium alloys. Further, it distributes televisions and information, and grocery and non-food consumer products; franchises and services quick service restaurants; and distributes electronic components. Additionally, it retails automobiles; furniture, bedding, and accessories; household appliances, electronics, and floor coverings; watches, home decor and repair services; sells kitchenware; and motorcycle clothing and equipment. The company was incorporated in 1998 and is headquartered in Omaha, Nebraska.

Latest Machinery and Illinois Tool Works Inc., Berkshire Hathaway Inc. Stock News

As of September 15, 2026, Illinois Tool Works Inc. had a $76.5 billion market capitalization, compared to the Machinery median of $3.5 million. Illinois Tool Works Inc.’s stock is up 9.1% in 2026, in the previous five trading days and up 1.99% in the past year.

Currently, Illinois Tool Works Inc.’s price-earnings ratio is 24.3. Illinois Tool Works Inc.’s trailing 12-month revenue is $16.5 billion with a 19.4% net profit margin. Year-over-year quarterly sales growth most recently was 6.1%. Analysts expect adjusted earnings to reach $11.451 per share for the current fiscal year. Illinois Tool Works Inc. currently has a 2.4% dividend yield.

As of September 15, 2026, Berkshire Hathaway Inc. had a $1.1 trillion market cap, putting it in the 100th percentile of all stocks. Berkshire Hathaway Inc.’s stock is up 2.5% in 2026, up 2.1% in the previous five trading days and up 4.53% in the past year.

Currently, Berkshire Hathaway Inc.’s price-earnings ratio is 13.0. Berkshire Hathaway Inc.’s trailing 12-month revenue is $384.7 billion with a 22.3% net profit margin. Year-over-year quarterly sales growth most recently was 10.0%. Analysts expect adjusted earnings to reach $34391.818 per share for the current fiscal year. Berkshire Hathaway Inc. does not currently pay a dividend.

How We Compare Illinois Tool Works Inc. and Berkshire Hathaway Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Illinois Tool Works Inc. and Berkshire Hathaway Inc.’s stock grades to see how they measure up against one another.

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Illinois Tool Works Inc. and Berkshire Hathaway Inc. Growth Grades

Company	Ticker	Growth
Illinois Tool Works Inc.	ITW	B
Berkshire Hathaway Inc.	BRK.A	A

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Illinois Tool Works Inc. has a Growth Score of 73, which is Strong. Berkshire Hathaway Inc. has a Growth Score of 100, which is Very Strong.

The Growth Grade Winner: Berkshire Hathaway Inc.

As you can clearly see from the Growth Grade breakdown above, Berkshire Hathaway Inc. has a more attractive growth grade than Illinois Tool Works Inc.. For investors who focus solely on how a company is growing relative to other companies in the same industry, Berkshire Hathaway Inc. could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Illinois Tool Works Inc. and Berkshire Hathaway Inc.’s Momentum Grades

Company	Ticker	Momentum
Illinois Tool Works Inc.	ITW	C
Berkshire Hathaway Inc.	BRK.A	C

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Illinois Tool Works Inc. has a Momentum Score of 46, which is Average. Berkshire Hathaway Inc. has a Momentum Score of 50, which is Average.

The Momentum Stock Winner: No Clear Winner

Neither Illinois Tool Works Inc. or Berkshire Hathaway Inc. has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Illinois Tool Works Inc. or Berkshire Hathaway Inc. is the better investment when it comes to momentum.

Illinois Tool Works Inc. and Berkshire Hathaway Inc.’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
Illinois Tool Works Inc.	ITW	C
Berkshire Hathaway Inc.	BRK.A	C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Illinois Tool Works Inc. has a Earnings Estimate Score of 52, which is Neutral. Berkshire Hathaway Inc. has a Earnings Estimate Score of 51, which is Neutral.

The Earnings Estimate Revisions Stock Winner: No Clear Winner

Neither Illinois Tool Works Inc. or Berkshire Hathaway Inc. has an Earnings Estimate Revisions Grade that could be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Illinois Tool Works Inc. or Berkshire Hathaway Inc. is the better investment when it comes to estimate revisions.

Other Illinois Tool Works Inc. and Berkshire Hathaway Inc. Grades

In addition to Estimate Revisions, Momentum and Growth, A+ Investor also provides grades for Value and Quality.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Illinois Tool Works Inc. and Berkshire Hathaway Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Illinois Tool Works Inc. or Berkshire Hathaway Inc. Stock?

Overall, Illinois Tool Works Inc. stock has a Growth Score of 73, Momentum Score of 46 and Estimate Revisions Score of 52.

Berkshire Hathaway Inc. stock has a Growth Score of 100, Momentum Score of 50 and Estimate Revisions Score of 51.

Comparing Illinois Tool Works Inc. and Berkshire Hathaway Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.