Snap-on (SNA) Competitors

Snap-on (NYSE:SNA) and Illinois Tool Works (NYSE:ITW) are both large-cap consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their community ranking, dividends, valuation, analyst recommendations, profitability, risk, media sentiment, earnings and institutional ownership.

Do analysts recommend SNA or ITW?

Snap-on currently has a consensus price target of $355.33, suggesting a potential upside of 5.60%. Illinois Tool Works has a consensus price target of $260.09, suggesting a potential upside of 11.42%. Given Illinois Tool Works' higher possible upside, analysts plainly believe Illinois Tool Works is more favorable than Snap-on.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Snap-on	1 Sell rating(s)	1 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.50
Illinois Tool Works	2 Sell rating(s)	7 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.17

Which has more risk & volatility, SNA or ITW?

Snap-on has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, Illinois Tool Works has a beta of 1.12, meaning that its stock price is 12% more volatile than the S&P 500.

Is SNA or ITW more profitable?

Illinois Tool Works has a net margin of 21.94% compared to Snap-on's net margin of 21.71%. Illinois Tool Works' return on equity of 95.39% beat Snap-on's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Snap-on	21.71%	19.20%	13.13%
Illinois Tool Works	21.94%	95.39%	19.49%

Does the media favor SNA or ITW?

In the previous week, Illinois Tool Works had 9 more articles in the media than Snap-on. MarketBeat recorded 36 mentions for Illinois Tool Works and 27 mentions for Snap-on. Snap-on's average media sentiment score of 1.34 beat Illinois Tool Works' score of 1.11 indicating that Snap-on is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Snap-on	19 Very Positive mention(s)	2 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Illinois Tool Works	22 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	8 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has stronger valuation & earnings, SNA or ITW?

Illinois Tool Works has higher revenue and earnings than Snap-on. Snap-on is trading at a lower price-to-earnings ratio than Illinois Tool Works, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Snap-on	$4.71B	3.75	$1.04B	$19.50	17.26
Illinois Tool Works	$15.90B	4.31	$3.49B	$11.72	19.92

Do institutionals & insiders have more ownership in SNA or ITW?

84.9% of Snap-on shares are held by institutional investors. Comparatively, 79.8% of Illinois Tool Works shares are held by institutional investors. 3.9% of Snap-on shares are held by company insiders. Comparatively, 0.9% of Illinois Tool Works shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Does the MarketBeat Community favor SNA or ITW?

Illinois Tool Works received 236 more outperform votes than Snap-on when rated by MarketBeat users. However, 61.70% of users gave Snap-on an outperform vote while only 55.88% of users gave Illinois Tool Works an outperform vote.

Company	Underperform	Outperform
Snap-on	Outperform Votes 377 61.70%	Underperform Votes 234 38.30%
Illinois Tool Works	Outperform Votes 613 55.88%	Underperform Votes 484 44.12%

Is SNA or ITW a better dividend stock?

Snap-on pays an annual dividend of $8.56 per share and has a dividend yield of 2.5%. Illinois Tool Works pays an annual dividend of $6.00 per share and has a dividend yield of 2.6%. Snap-on pays out 43.9% of its earnings in the form of a dividend. Illinois Tool Works pays out 51.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Snap-on has raised its dividend for 15 consecutive years and Illinois Tool Works has raised its dividend for 55 consecutive years. Illinois Tool Works is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Illinois Tool Works beats Snap-on on 14 of the 22 factors compared between the two stocks.