VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Saturday, January 10, 2026

Stock Comparison

Arthur J. Gallagher & Co. vs Illinois Tool Works Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Arthur J. Gallagher & Co.

AJG · New York Stock Exchange

Market cap (USD)$67.9B
Gross margin (TTM)
Operating margin (TTM)
Net margin (TTM)
SectorFinancials
IndustryInsurance - Brokers
CountryUS
Data as of2026-01-09
Moat score
69/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Arthur J. Gallagher & Co.'s moat claims, evidence, and risks.

View AJG analysis

Illinois Tool Works Inc.

ITW · New York Stock Exchange

Market cap (USD)$74.7B
Gross margin (TTM)43.6%
Operating margin (TTM)26.2%
Net margin (TTM)19.1%
SectorIndustrials
IndustryIndustrial - Machinery
CountryUS
Data as of2025-12-31
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Illinois Tool Works Inc.'s moat claims, evidence, and risks.

View ITW analysis

Comparison highlights

  • Moat score gap: Arthur J. Gallagher & Co. leads (69 / 100 vs 66 / 100 for Illinois Tool Works Inc.).
  • Segment focus: Arthur J. Gallagher & Co. has 2 segments (86% in Brokerage); Illinois Tool Works Inc. has 7 segments (20% in Automotive OEM).
  • Primary market structure: Oligopoly vs Competitive. Pricing power: Moderate vs Moderate.
  • Moat breadth: Arthur J. Gallagher & Co. has 4 moat types across 2 domains; Illinois Tool Works Inc. has 8 across 3.

Primary market context

Arthur J. Gallagher & Co.

Brokerage

Market

Insurance and reinsurance brokerage and consulting

Geography

Global

Customer

Commercial, industrial, public sector, nonprofit and other organizations; underwriting enterprises for reinsurance placements

Role

Intermediary / broker / advisor

Revenue share

86%

Illinois Tool Works Inc.

Automotive OEM

Market

Automotive OEM engineered components and fasteners

Geography

Global

Customer

Automotive OEMs and Tier suppliers

Role

Component supplier

Revenue share

20%

Side-by-side metrics

Arthur J. Gallagher & Co.
Illinois Tool Works Inc.
Ticker / Exchange
AJG - New York Stock Exchange
ITW - New York Stock Exchange
Market cap (USD)
$67.9B
$74.7B
Gross margin (TTM)
n/a
43.6%
Operating margin (TTM)
n/a
26.2%
Net margin (TTM)
n/a
19.1%
Sector
Financials
Industrials
Industry
Insurance - Brokers
Industrial - Machinery
HQ country
US
US
Primary segment
Brokerage
Automotive OEM
Market structure
Oligopoly
Competitive
Market share
n/a
n/a
HHI estimate
n/a
n/a
Pricing power
Moderate
Moderate
Moat score
69 / 100
66 / 100
Moat domains
Supply, Demand
Demand, Supply, Legal
Last update
2026-01-09
2025-12-31

Moat coverage

Shared moat types

Service Field NetworkBrand TrustOperational Excellence

Arthur J. Gallagher & Co. strengths

Data Workflow Lockin

Illinois Tool Works Inc. strengths

Design In QualificationInstalled Base ConsumablesSwitching Costs GeneralFormulation and application engineering know-howIP Choke Point

Segment mix

Arthur J. Gallagher & Co. segments

Full profile >

Brokerage

Oligopoly

86%

Risk Management

Competitive

14%

Illinois Tool Works Inc. segments

Full profile >

Automotive OEM

Competitive

20%

Food Equipment

Oligopoly

16.6%

Test & Measurement and Electronics

Oligopoly

17.7%

Welding

Oligopoly

11.6%

Polymers & Fluids

Competitive

11.1%

Construction Products

Competitive

12%

Specialty Products

Oligopoly

10.9%

Want the full wide moat stocks list?

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Proven models entering the expansion stage with unit economics that work.

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.