WallStSmart

Lincoln Electric Holdings Inc (LECO)vsStanley Black & Decker Inc (SWK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Stanley Black & Decker Inc generates 250% more annual revenue ($15.23B vs $4.35B). LECO leads profitability with a 12.4% profit margin vs 2.4%. SWK appears more attractively valued with a PEG of 1.39. LECO earns a higher WallStSmart Score of 64/100 (C+).

LECO

Buy

64

out of 100

Grade: C+

Growth: 6.0Profit: 8.0Value: 5.0Quality: 6.8
Piotroski: 4/9Altman Z: 4.08

SWK

Buy

52

out of 100

Grade: C-

Growth: 2.7Profit: 5.0Value: 6.7Quality: 5.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LECO.

SWKUndervalued (+34.2%)

Margin of Safety

+34.2%

Fair Value

$137.58

Current Price

$81.07

$56.51 discount

UndervaluedFair: $137.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LECO2 strengths · Avg: 10.0/10
Return on EquityProfitability
37.8%10/10

Every $100 of equity generates 38 in profit

Altman Z-ScoreHealth
4.0810/10

Safe zone — low bankruptcy risk

SWK1 strengths · Avg: 10.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Areas to Watch

LECO3 concerns · Avg: 4.0/10
PEG RatioValuation
1.814/10

Expensive relative to growth rate

P/E RatioValuation
27.9x4/10

Moderate valuation

Price/BookValuation
10.1x4/10

Trading at 10.1x book value

SWK4 concerns · Avg: 3.5/10
P/E RatioValuation
32.9x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Return on EquityProfitability
4.2%3/10

ROE of 4.2% — below average capital efficiency

Profit MarginProfitability
2.4%3/10

2.4% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : LECO

The strongest argument for LECO centers on Return on Equity, Altman Z-Score. Revenue growth of 11.7% demonstrates continued momentum.

Bull Case : SWK

The strongest argument for SWK centers on Price/Book. PEG of 1.39 suggests the stock is reasonably priced for its growth.

Bear Case : LECO

The primary concerns for LECO are PEG Ratio, P/E Ratio, Price/Book.

Bear Case : SWK

The primary concerns for SWK are P/E Ratio, Revenue Growth, Return on Equity. Thin 2.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

LECO carries more volatility with a beta of 1.25 — expect wider price swings.

LECO is growing revenue faster at 11.7% — sustainability is the question.

LECO generates stronger free cash flow (63M), providing more financial flexibility.

Monitor TOOLS & ACCESSORIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

LECO scores higher overall (64/100 vs 52/100) and 11.7% revenue growth. SWK offers better value entry with a 34.2% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Lincoln Electric Holdings Inc

INDUSTRIALS · TOOLS & ACCESSORIES · USA

Lincoln Electric Holdings, Inc. designs, develops, manufactures and sells welding, cutting and brazing products worldwide. The company is headquartered in Cleveland, Ohio.

Stanley Black & Decker Inc

INDUSTRIALS · TOOLS & ACCESSORIES · USA

Stanley Black & Decker, Inc., formerly known as The Stanley Works, is a Fortune 500 American manufacturer of industrial tools and household hardware and provider of security products. Headquartered in the greater Hartford city of New Britain, Connecticut, Stanley Black & Decker is the result of the merger of Stanley Works and Black & Decker on March 12, 2010.

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