Lincoln Electric Holdings, Inc.
Rank #136HypergrowthLECO · Nasdaq · Industrials
Lincoln Electric Holdings, Inc. (LECO) — Rank #136 by gross profitability (GP/assets 0.40) · ROE 33.5% · Piotroski F-Score 7 / 9.
As-of 2026-09-15 · CIK 0000059527 · all metrics point-in-time as of the filing date.
About
Lincoln Electric Holdings, Inc., through its subsidiaries, designs, develops, manufactures, and sells welding, cutting, and brazing products in the United States and internationally.
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It operates in three segments: Americas Welding, International Welding, and The Harris Products Group. The company offers brazing and soldering filler metals, arc welding equipment, plasma and oxyfuel cutting systems, wire feeding systems, fume control equipment, welding accessories, specialty gas regulators, and education solutions; and a portfolio of automated solutions and system integration services for joining, cutting, material handling, module assembly, and end of line testing, as well as involved in brazing and soldering alloys, and in the retail business. It also provides mobile power solutions, including vehicle-mounted compressors, generators, welders, hydraulics, charger/boosters, and electrified power equipment; automated welding system and solutions; and specialty welding consumables, wear plates, and maintenance and repair services for alloy and wear-resistant products, as well as develops and integrates autonomous guided vehicles and mobile robots, custom assembly and test systems, and proprietary manufacturing execution system software. The company serves general fabrication, oil and gas, power generation, process, automotive and transportation, and construction and infrastructure industries, as well as heavy fabrication, ship building, and maintenance and repair markets. It sells its products directly to users of welding products, including OEMs, manufacturers, and integrators, as well as through industrial distributors, retailers, and agents. Lincoln Electric Holdings, Inc.
was founded in 1895 and is headquartered in Cleveland, Ohio.
- Industry
- Tools & Accessories
- Sector
- Industrials
- State
- OH
- Filer Category
- Large accelerated filer
- Fiscal Year End
- December 31
- Website
- lincolnelectric.com
Price History
Company Snapshot
P/S is the primary valuation lens — earnings are reinvested, not available for P/E.
Market Cap
$13.73B
P/E (annual)
27.0
P/S (annual)
3.2
P/B
8.8
P/OCF (annual)
20.8
Shareholder Yield
8.2%
Employees
12,000
Industry
Tools & Accessories
Exchange
Nasdaq
Signal Flags
Quality Profile
Profitability
1/1 passSafety
1/1 passCash Flow
3/3 passGrowth
2/2 passTerry Smith quality gate
Passes 2/5 Terry Smith thresholds1 of 5 threshold not computable from filed data.
What Growth Is Priced In
Implied revenue growth (10Y)
11.5%
The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).
Buyback tailwind: -7.0% — per-share value needs a total required return of 4.5% once share-count change is priced in.
vs. own 6-year median revenue growth: 15.4%
within its own historyCost-of-equity sensitivity (implied growth at different discount rates)
r = 8%
6.9%
r = 10% (base)
11.5%
r = 12%
15.4%
Net debt / market cap: 7.5%
Valuation History
Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.
P / E
Price / diluted EPS
P / S
Price / revenue per share
P / B
Price / book value per share
P / GP
Price / gross profit per share
P / FCF
Price / free cash flow per share
Earnings bubble check
Current margins may be above sustainable levels — a P/E based on peak earnings can overstate cheapness.
Disclosure regression check
A previously-disclosed line item is no longer reported. Worth checking the filing for why.
Revenue growth and the path to profitability (margin trend) are the primary reads at this stage.
Profitability
Gross profitability (GP / assets)
0.40
Primary signal (Novy-Marx).
86th pctl of 36 SIC 35 peers
Return on equity
33.5%
Gross margin
36.2%
29th pctl of 36 SIC 35 peers
Revenue growth (YoY)
30.9%
Gross margin improving
Margin trend vs prior year.
Operating Leverage
| 2019 | 2020 | 2021 | 2022 | |
|---|---|---|---|---|
| Revenue vs COGS | ||||
| Revenue vs OpEx | ||||
| Op. Income vs Revenue |
Growth
Revenue CAGR (3Y)
—
Revenue CAGR (5Y)
—
Earnings CAGR (3Y)
3.3%
FCF CAGR (3Y)
—
Anti-fragile safety
Balance-sheet safety
Composite anti-fragile check.
Debt / equity
1.45
20th pctl of 36 SIC 35 peers (best = lowest)
Current ratio
1.98×
46th pctl of 36 SIC 35 peers
Quick ratio
0.93×
Net cash
-$1.05B
Cash & equivalents minus total debt.
Cash-flow health
Free cash flow
$534.20M
Operating cash flow minus capex.
Positive free cash flow
FCF / net income
0.03
Cash-backing of earnings.
FCF/NI divergence
Unfavorable divergence (yellow flag).
Accruals healthy
Cash-backed earnings.
SBC / revenue
0.5%
Stock-based comp intensity.
Dividend safety
Composite score
3.8 / 5
Piotroski F-Score
F-Score
7 / 9
Fundamental-strength score (0-9).