A Business at a Glance
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LINCOLN ELECTRIC HOLDINGS INC
LECO
$14.0B
Mkt Cap
$251.47
+0.44%
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a current P/E ratio of 27.0, compared to its historical median P/E of 22.6. The stock is currently considered Fair based on its historical valuation range.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a 5-year average return on invested capital (ROIC) of 20.9%. This indicates strong capital allocation and a potential competitive advantage.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a market capitalization of $13.8B. It is classified as a large-cap stock.
Yes, LINCOLN ELECTRIC HOLDINGS INC (LECO) pays a dividend with a trailing twelve-month yield of 1.23%. The company also returns capital through share buybacks, with a buyback yield of 2.09%.
Based on historical P/E analysis, LINCOLN ELECTRIC HOLDINGS INC (LECO) appears fair. The current P/E of 27.0 is 19% above its historical median of 22.6. The estimated fair value CAGR (P/E method) is 16.1%.
LINCOLN ELECTRIC HOLDINGS INC (LECO) operates in the Metalworkg Machinery & Equipment industry, within the Industrials sector.
Lincoln Electric is a high-performance industrial machinery and technology leader that manufactures arc welding equipment, filler metals, cutting systems, wire feeding systems, fume control equipment, welding accessories, specialty gas regulators, mobile power equipment, wear solutions, software, and education solutions, along with automated solutions and system integration services for joining, cutting, material handling, module assembly, and end-of-line testing. The company operates through three reportable segments—Americas Welding, International Welding, and The Harris Products Group—with manufacturing and automation facilities across 20 countries. Its business model combines equipment sales, consumables (filler metals and gases), and services including additive manufacturing, precision fabrication, wear services, and training, serving end-markets including general fabrication, energy (oil and gas, power generation), heavy industries, automotive and transportation, and structural construction. Distribution occurs through industrial distributors, retailers, and direct sales to original equipment manufacturers and integrators in the Americas, while international markets are served through company employees and agents. The company differentiates through highly trained engineers, technical sales force, innovative research and development, and established regional manufacturing facilities that enable cost-effective service delivery; it holds the position of world's largest manufacturer of arc welding solutions with relatively few global broad-line competitors but numerous regional competitors. Unit economics reflect a mix of standard commercial articles manufactured for stock and custom or build-to-print automation solutions, with consumables providing recurring revenue streams and automation projects generating higher-margin, longer-cycle business.
【Strong order momentum driving growth】 Management expects continued acceleration in equipment and automation order rates and backlog levels in the Americas through 2026, with modest volume growth anticipated starting in the second quarter and further improvement in the back half of the year. The company remains bullish on energy markets, particularly with a strong pipeline of pending liquefied natural gas and energy infrastructure projects needed to support data center investments, and expects Americas to continue outperforming International. Management is pursuing a neutral price-cost posture and has implemented new pricing actions to offset inflation, with expectations for price-cost neutrality by the third quarter. Looking ahead to 2030, the company targets sales above $6 billion with high single-digit to low double-digit percentage organic growth, supported by mid-single-digit organic sales growth, favorable macro trends, innovation, targeted market expansion, and 300–400 basis points of acquisition-driven growth, while maintaining top-quartile return on invested capital performance.
No forward guidance provided.
Generated solely from the company's own reports listed below — not from third-party data. Hallucination risk is low. · Sources: 10-K, Q4 FY2025 Earnings Call, Q3 FY2025 Earnings Call, Q2 FY2025 Earnings Call, Q1 FY2025 Earnings Call
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 4.4B | 4.2B | 4.0B | 4.2B | 3.8B | 3.2B |
| Net Income | 538M | 521M | 466M | 545M | 472M | 277M |
| EPS | $9.80 | $9.32 | $8.15 | $9.37 | $8.04 | $4.60 |
| Free Cash Flow | 438M | 534M | 482M | 577M | 312M | 303M |
| ROIC | 22.5% | 19.3% | 18.3% | 22.1% | 21.4% | 23.3% |
| Gross Margin | 36.0% | 36.2% | 36.7% | 35.0% | 34.1% | 33.0% |
| Debt/Equity | 0.88 | 1.60 | 1.93 | 1.73 | 2.21 | 1.72 |
| Dividends/Share | $3.09 | $3.04 | $2.88 | $2.63 | $2.32 | $2.09 |
| Operating Income | 739M | 718M | 636M | 718M | 612M | 462M |
| Operating Margin | 17.0% | 17.0% | 15.9% | 17.1% | 16.3% | 14.3% |
| ROE | 35.6% | 37.2% | 35.4% | 46.5% | 49.8% | 33.4% |
| Shares Outstanding | 55M | 56M | 57M | 58M | 59M | 60M |
| Metric | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Income Statement | |||||||||||||
| Revenue | 2.8B | 2.5B | 2.3B | 2.6B | 3.0B | 3.0B | 2.7B | 3.2B | 3.8B | 4.2B | 4.0B | 4.2B | 4.4B |
| Gross Margin | 33.7% | 33.2% | 34.6% | 33.3% | 34.0% | 33.5% | 32.8% | 33.0% | 34.1% | 35.0% | 36.7% | 36.2% | 36.0% |
| R&D | 43M | 47M | 45M | 48M | 54M | 57M | 51M | 56M | 63M | 71M | 82M | 86M | 86M |
| SG&A | 545M | 497M | 469M | 541M | 628M | 621M | 544M | 597M | 657M | 759M | 781M | 798M | 812M |
| EBIT | 374M | 182M | 284M | 377M | 376M | 371M | 282M | 462M | 612M | 718M | 636M | 718M | 739M |
| Op. Margin | 13.3% | 7.2% | 12.5% | 14.4% | 12.4% | 12.4% | 10.6% | 14.3% | 16.3% | 17.1% | 15.9% | 17.0% | 17.0% |
| Net Income | 255M | 127M | 198M | 248M | 287M | 293M | 206M | 277M | 472M | 545M | 466M | 521M | 538M |
| Net Margin | 9.1% | 5.0% | 8.7% | 9.4% | 9.5% | 9.8% | 7.8% | 8.6% | 12.6% | 13.0% | 11.6% | 12.3% | 12.4% |
| Non-Recurring | 34M | 20M | 23M | 6.2M | 37M | 15M | 45M | 12M | 4.7M | 58M | 35M | 17M | 15M |
| Returns on Capital | |||||||||||||
| ROIC | 22.0% | 13.6% | 20.9% | 23.9% | 24.8% | 22.4% | 13.1% | 23.3% | 21.4% | 22.1% | 18.3% | 19.3% | 22.5% |
| ROE | 18.1% | 11.5% | 24.1% | 30.1% | 31.6% | 34.4% | 25.6% | 33.4% | 49.8% | 46.5% | 35.4% | 37.2% | 35.6% |
| ROA | 12.5% | 6.8% | 10.6% | 11.4% | 12.1% | 12.4% | 8.8% | 11.3% | 16.4% | 16.6% | 13.5% | 14.3% | 13.8% |
| Cash Flow | |||||||||||||
| Op. Cash Flow | 402M | 313M | 313M | 335M | 329M | 403M | 351M | 365M | 383M | 668M | 599M | 661M | 578M |
| Free Cash Flow | 329M | 262M | 263M | 273M | 258M | 334M | 292M | 303M | 312M | 577M | 482M | 534M | 438M |
| Owner Earnings | 324M | 241M | 237M | 254M | 238M | 305M | 255M | 260M | 280M | 555M | 487M | 542M | 455M |
| CapEx | 73M | 51M | 50M | 62M | 71M | 70M | 59M | 63M | 72M | 91M | 117M | 127M | 139M |
| Maint. CapEx | 70M | 64M | 65M | 68M | 72M | 81M | 80M | 81M | 78M | 87M | 88M | 99M | 101M |
| Growth CapEx | 3.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4.3M | 28M | 28M | 38M |
| D&A | 70M | 64M | 65M | 68M | 72M | 81M | 80M | 81M | 78M | 87M | 88M | 99M | 101M |
| CapEx/OCF | 18.2% | 16.2% | 16.0% | 18.4% | 21.6% | 17.3% | 16.8% | 17.1% | 18.7% | 13.6% | 19.5% | 19.2% | 24.1% |
| Capital Allocation | |||||||||||||
| Dividends Paid | 73M | 87M | 87M | 92M | 102M | 118M | 118M | 122M | 131M | 148M | 162M | 168M | 169M |
| Dividend Yield | 1.6% | 2.3% | 2.4% | 1.8% | 2.0% | 2.5% | 2.3% | 1.7% | 1.7% | 1.5% | 1.4% | 1.4% | 1.2% |
| Share Buybacks | 307M | 399M | 342M | 43M | 202M | 293M | 113M | 165M | 181M | 199M | 264M | 338M | 288M |
| Buyback Yield | 6.7% | 12.3% | 7.6% | 0.8% | 4.5% | 5.3% | 1.7% | 2.1% | 2.3% | 1.6% | 2.5% | 2.5% | 2.1% |
| Stock-Based Comp | 8.4M | 7.9M | 10M | 13M | 19M | 17M | 15M | 24M | 25M | 26M | 24M | 20M | 22M |
| Debt Repayment | 3.3M | 6.9M | 481K | 39K | 107K | 107K | 14K | 508K | 0 | 8.1M | 401M | 100M | 100M |
| Balance Sheet | |||||||||||||
| Net Debt | -220M | 10M | 289M | 200M | 343M | 590M | 1.2B | 1.3B | 2.1B | 1.9B | 2.2B | 2.0B | 1.0B |
| Cash & Equiv. | 278M | 304M | 379M | 327M | 359M | 200M | 257M | 193M | 197M | 394M | 377M | 309M | 299M |
| Long-Term Debt | 9.5M | 350M | 704M | 704M | 703M | 712M | 715M | 717M | 1.1B | 1.1B | 1.2B | 1.2B | 1.2B |
| Debt/Equity | 0.05 | 0.34 | 0.99 | 0.76 | 0.79 | 0.96 | 1.87 | 1.72 | 2.21 | 1.73 | 1.93 | 1.60 | 0.88 |
| Interest Coverage | 35.8 | 8.3 | 14.9 | 15.6 | 15.3 | 14.3 | 11.8 | 19.4 | 19.7 | 14.0 | 12.0 | 12.3 | 1397.5 |
| Equity | 1.3B | 932M | 711M | 932M | 887M | 818M | 790M | 864M | 1.0B | 1.3B | 1.3B | 1.5B | 1.5B |
| Total Assets | 1.9B | 1.8B | 1.9B | 2.4B | 2.3B | 2.4B | 2.3B | 2.6B | 3.2B | 3.4B | 3.5B | 3.8B | 3.9B |
| Total Liabilities | 653M | 852M | 1.2B | 1.5B | 1.5B | 1.6B | 1.5B | 1.7B | 2.1B | 2.1B | 2.2B | 2.3B | 2.4B |
| Intangibles | 133M | 121M | 130M | 127M | 148M | 178M | 134M | 149M | 203M | 187M | 221M | 250M | 250M |
| Retained Earnings | 2.1B | 2.1B | 2.2B | 2.4B | 2.6B | 2.7B | 2.8B | 3.0B | 3.3B | 3.7B | 4.0B | 4.3B | 4.4B |
| Working Capital | 604M | 566M | 656M | 845M | 700M | 512M | 563M | 534M | 705M | 939M | 766M | 783M | 843M |
| Current Assets | 1.1B | 936M | 1.0B | 1.4B | 1.2B | 1.1B | 1.1B | 1.3B | 1.6B | 1.7B | 1.6B | 1.7B | 1.9B |
| Current Liabilities | 492M | 370M | 388M | 529M | 538M | 563M | 549M | 756M | 853M | 755M | 879M | 957M | 1.0B |
| Per Share Data | |||||||||||||
| EPS | 3.18 | 1.70 | 2.91 | 3.71 | 4.37 | 4.68 | 3.42 | 4.60 | 8.04 | 9.37 | 8.15 | 9.32 | 9.80 |
| Owner EPS | 4.04 | 3.21 | 3.48 | 3.81 | 3.63 | 4.87 | 4.24 | 4.33 | 4.77 | 9.53 | 8.51 | 9.71 | 8.31 |
| Book Value | 16.01 | 12.42 | 10.44 | 13.96 | 13.50 | 13.06 | 13.11 | 14.37 | 17.61 | 22.49 | 23.21 | 26.32 | 27.58 |
| Cash Flow/Share | 5.02 | 4.17 | 4.58 | 5.02 | 5.01 | 6.44 | 5.83 | 6.07 | 6.53 | 11.47 | 10.47 | 11.84 | 11.67 |
| Dividends/Share | 0.98 | 1.19 | 1.31 | 1.44 | 1.64 | 1.90 | 1.98 | 2.09 | 2.32 | 2.63 | 2.88 | 3.04 | 3.09 |
| Shares Out. | 80.1M | 75.0M | 68.2M | 66.7M | 65.7M | 62.6M | 60.3M | 60.1M | 58.7M | 58.2M | 57.2M | 55.9M | 54.8M |
| Valuation | |||||||||||||
| P/E Ratio | 18.1 | 25.5 | 22.5 | 21.5 | 15.7 | 18.8 | 31.8 | 28.6 | 16.9 | 22.7 | 22.9 | 26.4 | 25.7 |
| P/FCF | 14.0 | 12.4 | 17.0 | 19.5 | 17.5 | 16.5 | 22.5 | 26.2 | 25.7 | 21.5 | 22.1 | 25.7 | 31.4 |
| EV/EBIT | 11.0 | 16.5 | 16.5 | 14.7 | 12.0 | 15.8 | 24.0 | 18.0 | 14.4 | 17.7 | 17.6 | 20.1 | 20.0 |
| Price/Book | 3.6 | 3.5 | 6.3 | 5.7 | 5.1 | 6.7 | 8.3 | 9.2 | 7.7 | 9.5 | 8.0 | 9.3 | 9.1 |
| Price/Sales | 1.6 | 1.5 | 1.6 | 1.9 | 1.7 | 1.6 | 1.9 | 2.3 | 2.0 | 2.4 | 2.9 | 2.8 | 3.2 |
| FCF Yield | 7.1% | 8.1% | 5.9% | 5.1% | 5.7% | 6.1% | 4.5% | 3.8% | 3.9% | 4.7% | 4.5% | 3.9% | 3.2% |
| Market Cap | 4.6B | 3.2B | 4.5B | 5.3B | 4.5B | 5.5B | 6.6B | 7.9B | 8.0B | 12.4B | 10.7B | 13.7B | 13.8B |
| Avg. Price | 56.73 | 51.41 | 52.41 | 76.22 | 78.31 | 76.61 | 83.76 | 121.80 | 127.53 | 173.80 | 206.61 | 212.86 | 251.47 |
| Year-End Price | 57.51 | 43.31 | 65.58 | 79.90 | 68.55 | 87.94 | 108.90 | 131.62 | 136.15 | 213.00 | 186.48 | 245.67 | 251.47 |
LINCOLN ELECTRIC HOLDINGS INC passes 7 of 9 quality checks, indicating strong fundamentals.
LINCOLN ELECTRIC HOLDINGS INC trades at 27.0x trailing earnings, compared to its 15-year median P/E of 22.6x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 25.8x vs a median of 21.8x. The company's 5-year average ROIC is 20.9% with a gross margin of 35.0%. Total shareholder yield (dividends + buybacks) is 3.3%. At current prices, the estimated annualized return to fair value is +14.7%.
LINCOLN ELECTRIC HOLDINGS INC (LECO) reported annual revenue of $4.2 billion in its most recent fiscal year, based on SEC EDGAR filings.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a net profit margin of 12.3%. This is a healthy margin.
LINCOLN ELECTRIC HOLDINGS INC (LECO) generated $534 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a debt-to-equity ratio of 1.60. This indicates higher leverage, which may increase financial risk.
LINCOLN ELECTRIC HOLDINGS INC (LECO) reported earnings per share (EPS) of $9.32 in its most recent fiscal year.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a return on equity (ROE) of 37.2%. This indicates the company generates strong returns for shareholders.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a 5-year average gross margin of 35.0%. This indicates decent pricing power.
The Ledger Terminal provides 15 years of financial data for LINCOLN ELECTRIC HOLDINGS INC (LECO), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
LINCOLN ELECTRIC HOLDINGS INC (LECO) has a book value per share of $26.32, based on its most recent annual SEC filing.
Based on recent SEC filings and earnings disclosures, Management expects continued acceleration in equipment and automation order rates and backlog levels in the Americas through 2026, with modest volume growth anticipated starting in the second quarter and further improvement in the back half of the year. The company remains bullish on energy markets, particularly with a strong pipeline of pending liquefied natural gas and energy infrastructure projects needed to support data center investments, and expects Americas to continue outperforming International. Management is pursuing a neutral price-cost posture and has implemented new pricing actions to offset inflation, with expectations for price-cost neutrality by the third quarter. Looking ahead to 2030, the company targets sales above $6 billion with high single-digit to low double-digit percentage organic growth, supported by mid-single-digit organic sales growth, favorable macro trends, innovation, targeted market expansion, and 300–400 basis points of acquisition-driven growth, while maintaining top-quartile return on invested capital performance.