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ACM vs. LECO: A Head-to-Head Stock Comparison

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Here’s a clear look at ACM and LECO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ACM’s market capitalization stands at 15.31 billion USD, while LECO’s is 12.07 billion USD, indicating their market valuations are broadly comparable.

With betas of 0.97 for ACM and 1.21 for LECO, both stocks show similar sensitivity to overall market movements.

SymbolACMLECO
Company NameAecomLincoln Electric Holdings, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryEngineering & ConstructionManufacturing - Tools & Accessories
CEOW. Troy RuddSteven B. Hedlund
Price115.75 USD216.28 USD
Market Cap15.31 billion USD12.07 billion USD
Beta0.971.21
ExchangeNYSENASDAQ
IPO DateMay 10, 2007April 7, 1994
ADRNoNo

Historical Performance

This chart compares the performance of ACM and LECO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ACM vs. LECO: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ACM

27.52%

Engineering & Construction Industry

Max
39.77%
Q3
28.08%
Median
13.64%
Q1
7.13%
Min
-14.48%

ACM’s Return on Equity of 27.52% is on par with the norm for the Engineering & Construction industry, indicating its profitability relative to shareholder equity is typical for the sector.

LECO

34.68%

Manufacturing - Tools & Accessories Industry

Max
34.68%
Q3
20.63%
Median
10.07%
Q1
7.35%
Min
1.56%

In the upper quartile for the Manufacturing - Tools & Accessories industry, LECO’s Return on Equity of 34.68% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ACM vs. LECO: A comparison of their ROE against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Return on Invested Capital

ACM

6.55%

Engineering & Construction Industry

Max
22.01%
Q3
12.65%
Median
8.09%
Q1
4.79%
Min
-2.53%

ACM’s Return on Invested Capital of 6.55% is in line with the norm for the Engineering & Construction industry, reflecting a standard level of efficiency in generating profits from its capital base.

LECO

18.96%

Manufacturing - Tools & Accessories Industry

Max
18.96%
Q3
14.59%
Median
7.53%
Q1
6.50%
Min
2.74%

In the upper quartile for the Manufacturing - Tools & Accessories industry, LECO’s Return on Invested Capital of 18.96% signifies a highly effective use of its capital to generate profits when compared to its peers.

ACM vs. LECO: A comparison of their ROIC against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Net Profit Margin

ACM

3.85%

Engineering & Construction Industry

Max
11.23%
Q3
6.47%
Median
3.96%
Q1
2.79%
Min
-2.45%

ACM’s Net Profit Margin of 3.85% is aligned with the median group of its peers in the Engineering & Construction industry. This indicates its ability to convert revenue into profit is typical for the sector.

LECO

11.44%

Manufacturing - Tools & Accessories Industry

Max
21.42%
Q3
12.34%
Median
8.01%
Q1
4.68%
Min
1.24%

LECO’s Net Profit Margin of 11.44% is aligned with the median group of its peers in the Manufacturing - Tools & Accessories industry. This indicates its ability to convert revenue into profit is typical for the sector.

ACM vs. LECO: A comparison of their Net Profit Margin against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Operating Profit Margin

ACM

5.98%

Engineering & Construction Industry

Max
13.74%
Q3
8.50%
Median
6.20%
Q1
4.58%
Min
0.34%

ACM’s Operating Profit Margin of 5.98% is around the midpoint for the Engineering & Construction industry, indicating that its efficiency in managing core business operations is typical for the sector.

LECO

16.61%

Manufacturing - Tools & Accessories Industry

Max
27.46%
Q3
18.11%
Median
11.96%
Q1
8.53%
Min
6.01%

LECO’s Operating Profit Margin of 16.61% is around the midpoint for the Manufacturing - Tools & Accessories industry, indicating that its efficiency in managing core business operations is typical for the sector.

ACM vs. LECO: A comparison of their Operating Margin against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Profitability at a Glance

SymbolACMLECO
Return on Equity (TTM)27.52%34.68%
Return on Assets (TTM)5.24%12.72%
Return on Invested Capital (TTM)6.55%18.96%
Net Profit Margin (TTM)3.85%11.44%
Operating Profit Margin (TTM)5.98%16.61%
Gross Profit Margin (TTM)7.09%36.45%

Financial Strength

Current Ratio

ACM

--

Engineering & Construction Industry

Max
2.02
Q3
1.66
Median
1.38
Q1
1.24
Min
0.94

Current Ratio data for ACM is currently unavailable.

LECO

1.78

Manufacturing - Tools & Accessories Industry

Max
4.14
Q3
3.17
Median
2.45
Q1
1.81
Min
1.10

LECO’s Current Ratio of 1.78 falls into the lower quartile for the Manufacturing - Tools & Accessories industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ACM vs. LECO: A comparison of their Current Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Debt-to-Equity Ratio

ACM

1.32

Engineering & Construction Industry

Max
1.76
Q3
0.91
Median
0.67
Q1
0.28
Min
0.01

ACM’s leverage is in the upper quartile of the Engineering & Construction industry, with a Debt-to-Equity Ratio of 1.32. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

LECO

0.94

Manufacturing - Tools & Accessories Industry

Max
0.94
Q3
0.78
Median
0.72
Q1
0.31
Min
0.05

LECO’s leverage is in the upper quartile of the Manufacturing - Tools & Accessories industry, with a Debt-to-Equity Ratio of 0.94. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ACM vs. LECO: A comparison of their D/E Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Interest Coverage Ratio

ACM

5.28

Engineering & Construction Industry

Max
20.20
Q3
11.91
Median
6.46
Q1
3.18
Min
-2.69

ACM’s Interest Coverage Ratio of 5.28 is positioned comfortably within the norm for the Engineering & Construction industry, indicating a standard and healthy capacity to cover its interest payments.

LECO

14.51

Manufacturing - Tools & Accessories Industry

Max
14.51
Q3
10.02
Median
6.60
Q1
5.24
Min
1.53

LECO’s Interest Coverage Ratio of 14.51 is in the upper quartile for the Manufacturing - Tools & Accessories industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

ACM vs. LECO: A comparison of their Interest Coverage against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Financial Strength at a Glance

SymbolACMLECO
Current Ratio (TTM)--1.78
Quick Ratio (TTM)--1.19
Debt-to-Equity Ratio (TTM)1.320.94
Debt-to-Asset Ratio (TTM)0.260.35
Net Debt-to-EBITDA Ratio (TTM)1.231.17
Interest Coverage Ratio (TTM)5.2814.51

Growth

The following charts compare key year-over-year (YoY) growth metrics for ACM and LECO. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ACM vs. LECO: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ACM vs. LECO: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ACM vs. LECO: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ACM

0.86%

Engineering & Construction Industry

Max
1.31%
Q3
0.40%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 0.86%, ACM offers a more attractive income stream than most of its peers in the Engineering & Construction industry, signaling a strong commitment to shareholder returns.

LECO

1.37%

Manufacturing - Tools & Accessories Industry

Max
4.85%
Q3
2.87%
Median
2.00%
Q1
1.05%
Min
0.00%

LECO’s Dividend Yield of 1.37% is consistent with its peers in the Manufacturing - Tools & Accessories industry, providing a dividend return that is standard for its sector.

ACM vs. LECO: A comparison of their Dividend Yield against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Dividend Payout Ratio

ACM

20.16%

Engineering & Construction Industry

Max
32.30%
Q3
7.09%
Median
0.00%
Q1
0.00%
Min
0.00%

ACM’s Dividend Payout Ratio of 20.16% is in the upper quartile for the Engineering & Construction industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

LECO

35.53%

Manufacturing - Tools & Accessories Industry

Max
138.27%
Q3
47.32%
Median
36.66%
Q1
23.90%
Min
0.00%

LECO’s Dividend Payout Ratio of 35.53% is within the typical range for the Manufacturing - Tools & Accessories industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ACM vs. LECO: A comparison of their Payout Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Dividend at a Glance

SymbolACMLECO
Dividend Yield (TTM)0.86%1.37%
Dividend Payout Ratio (TTM)20.16%35.53%

Valuation

Price-to-Earnings Ratio

ACM

24.84

Engineering & Construction Industry

Max
95.41
Q3
56.70
Median
32.28
Q1
22.94
Min
4.72

ACM’s P/E Ratio of 24.84 is within the middle range for the Engineering & Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LECO

26.41

Manufacturing - Tools & Accessories Industry

Max
48.52
Q3
33.58
Median
21.58
Q1
16.21
Min
15.65

LECO’s P/E Ratio of 26.41 is within the middle range for the Manufacturing - Tools & Accessories industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ACM vs. LECO: A comparison of their P/E Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Forward P/E to Growth Ratio

ACM

2.51

Engineering & Construction Industry

Max
4.99
Q3
3.64
Median
2.51
Q1
1.64
Min
0.03

The Forward PEG Ratio is often not a primary valuation metric in the Engineering & Construction industry.

LECO

4.33

Manufacturing - Tools & Accessories Industry

Max
5.86
Q3
4.35
Median
3.53
Q1
1.63
Min
0.87

LECO’s Forward PEG Ratio of 4.33 is within the middle range of its peers in the Manufacturing - Tools & Accessories industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ACM vs. LECO: A comparison of their Forward PEG Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Price-to-Sales Ratio

ACM

0.95

Engineering & Construction Industry

Max
3.34
Q3
2.05
Median
1.50
Q1
0.83
Min
0.44

ACM’s P/S Ratio of 0.95 aligns with the market consensus for the Engineering & Construction industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

LECO

3.00

Manufacturing - Tools & Accessories Industry

Max
3.41
Q3
3.03
Median
1.33
Q1
0.93
Min
0.69

LECO’s P/S Ratio of 3.00 aligns with the market consensus for the Manufacturing - Tools & Accessories industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ACM vs. LECO: A comparison of their P/S Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Price-to-Book Ratio

ACM

6.71

Engineering & Construction Industry

Max
10.70
Q3
7.33
Median
4.69
Q1
2.53
Min
0.79

ACM’s P/B Ratio of 6.71 is within the conventional range for the Engineering & Construction industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

LECO

9.09

Manufacturing - Tools & Accessories Industry

Max
4.75
Q3
4.14
Median
2.35
Q1
1.37
Min
1.16

At 9.09, LECO’s P/B Ratio is at an extreme premium to the Manufacturing - Tools & Accessories industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ACM vs. LECO: A comparison of their P/B Ratio against their respective Engineering & Construction and Manufacturing - Tools & Accessories industry benchmarks.

Valuation at a Glance

SymbolACMLECO
Price-to-Earnings Ratio (P/E, TTM)24.8426.41
Forward PEG Ratio (TTM)2.514.33
Price-to-Sales Ratio (P/S, TTM)0.953.00
Price-to-Book Ratio (P/B, TTM)6.719.09
Price-to-Free Cash Flow Ratio (P/FCF, TTM)18.3122.61
EV-to-EBITDA (TTM)14.5117.50
EV-to-Sales (TTM)1.043.21