Lincoln Electric Holdings Inc. Common Shares (LECO)

FairStock Score: 55/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a business that earns high returns, carries modest debt, and can be bought at a sensible price. Lincoln Electric resembles a sturdy industrial franchise. In fiscal Q2 2026, the quarter ended 2026-06-30, it reported revenue of $1.2B, net income of $158.5M, and diluted EPS of $2.88, up from revenue of $1.1B, net income of $143.4M, and diluted EPS of $2.56 in fiscal Q2 2025, the quarter ended 2025-06-30. For FY2025, revenue was $4.2B, net income $520.5M, and diluted EPS $9.32, versus FY2024 revenue $4.0B, net income $466.1M, and diluted EPS $8.15. The FairStock calculations show ROE of 37.74%, ROCE of 12.97%, a Piotroski F-Score of 9/9, and an Altman Z-Score of 6.26—signs of profitability and financial solidity. Debt/equity of 0.77 is not alarming for an industrial. But Graham would flinch at the price. At the close on 2026-10-13, the $262.57 share price produces a P/E of 26.23, P/B of 9.21, PEG of 2.49, FCF yield of 3.8%, EV/EBITDA of 17.39, and Graham Number of $80.13. That leaves a FairStock margin of safety of -227.68%. The Lynch category is STALWART, based on 20.4% annual profit growth and 9.8% revenue growth over five years, so growth is real but not cheap. A fine company, but the quotation demands a lot.

In plain English: Lincoln Electric makes welding, cutting, and brazing products for industrial customers. The business looks strong: sales and profits rose in the latest reported quarter, and it earns high returns on shareholder money. But the stock price looks expensive compared with the company’s accounting value and its recent profit growth, so investors are paying a high price for that quality.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer