Lincoln Electric is a leading manufacturer of welding, cutting, and brazing products. Its portfolio includes arc-welding solutions, plasma and oxy-fuel cutting systems, brazing and soldering alloys, and automation solutions.
It is a $14.2B industrial company. Revenue grew 9.3% over the last year, it keeps 12¢ of every dollar of sales as profit, and its net debt equals ~1.6 years of free cash flow. It trades at 25.7× earnings — around the middle of its own history.
- Website
- lincolnelectric.com
- Location
- Cleveland, OH
- Employees
- 12 000
- Sector
- Industrials
- Founded
- 1895
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong growth, profitability, quality and moat; Valuation lags behind.
Valuation49
- P/E vs own history67th pct · 5/25
- FCF yield3.8% · 12/25
- P/S3.2x · 20/25
- EV/EBITDA17.4x · 12/25
Growth77
- Revenue CAGR7.0% · 12/25
- Net income CAGR17.1% · 20/25
- EPS CAGR ~5Y22.2% · 25/25
- Fwd implied growth18.7% · 20/25
Profitability85
- ROIC22.5% · 20/25
- ROE37.2% · 25/25
- Net margin12.4% · 20/25
- Operating margin17.1% · 20/25
Health55
- Altman Zn/a · 0/25
- Current ratio1.98 · 18/25
- Interest coverage10.6x · 25/25
- Net cash / debtD/A 22% · 12/25
Quality94
- Piotroski F7/9 · 22/25
- Beneish M-2.56 · 25/25
- FCF conversion98% · 22/25
- Margin stabilityσ 2.7% · 25/25
Moat81
- ROIC >12% years10/10 yrs · 25/25
- Median gross margin34.0% · 13/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 7.8% · 18/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- 2024ProductA display unit was shown at CES 2024 and featured NACS and CCS1 charging plugs, along with a touchscreen user…
- FY2023FinancialBest year on record$545M net income
- 2023ProductLincoln Electric unveiled the Velion DC fast electric vehicle charging station
- 2019AcquisitionLincoln announced the acquisition a portion of Worthington Industries, Inc
- 2017AcquisitionLincoln Electric acquired the welding business of Air Liquide
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $1B$2.27B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- 2005AcquisitionLincoln's Electric acquired the Harris Products Group
- 1994IPOThe company returned to profitability, and in 1995 it went public on the NYSE
- 1927ProductThe company introduced the E6010 Fleetweld electrode with which it made its fortune
- 1895FoundedThe company was founded in 1895 by John C
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- Interest covered 10.6× by operating earnings
- High returns on invested capital (ROIC 22.5%)
- Piotroski F-Score 7/9 — fundamentally strong checklist
Watch-outs
Nothing stands out as a concern in the available data.
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+9.3% YoY
- Profitable — makes more than it spends$554M TTM
- Profit growing — earnings are higher than last year+5.0% YoY
- Generates cash — cash left after running and investing$542M TTM
- Debt under control — could handle its obligations~1.6y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$14.2B market cap
- Not printing shares — share count not ballooning — you keep your slice-7.3% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distresshealth score 43/100
- Pays a dividend — returns cash to shareholdersyield 1.20%
- Valuation not extreme — price not wildly above earningsP/E 25.7
Peer comparisonLincoln Electric Holdings Inc vs 6 largest industrials peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| LECO this company | $14.2B | 25.7 | +9.3% | 12.4% | Mixed |
| LRCX Lam Research Corp | $399.2B | 54.9 | +26.0% | 31.3% | Strong |
| CAT Caterpillar Inc. | $368.0B | 33.9 | +18.4% | 14.5% | Solid |
| RTX RTX Corporation | $251.3B | 32.4 | +11.8% | 8.3% | Strained |
| DE Deere & Company | $167.7B | 34.4 | +8.3% | 10.2% | Solid |
| ETN Eaton Corporation, plc | $167.2B | 43.6 | +15.5% | 12.8% | Mixed |
| UNP Union Pacific Corp. | $166.8B | 22.6 | +4.2% | 28.8% | Strained |
Head-to-head: LECO vs LRCX · LECO vs CAT · LECO vs RTX
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/LECO
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Deeper analysis of LECO on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $261.13 · market cap $14.2B.