LECO vs. LII: Lincoln Electric vs. Lennox Stock Comparison

November 11, 2026

How do Lincoln Electric (LECO) and Lennox (LII) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Lincoln Electric (LECO) and Lennox (LII) both fall under the Capital Goods industry group, but LECO is classified in Machinery while LII is classified in Building Products.

Company profile comparison for Lincoln Electric (LECO) and Lennox (LII)
Profile Item	LECO	LII
Name	Lincoln Electric Holdings, Inc.	Lennox International Inc.
Country/Region	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Machinery	Building Products
GICS Sub-Industry	Industrial Machinery & Supplies & Components	Building Products
Market Capitalization	14.91 billion USD	11.70 billion USD
Currency	USD	USD
Exchange	Nasdaq	NYSE
Listing Date	April 7, 1994	July 29, 1999
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

LECO

LII

GSPC

Lincoln Electric (LECO) vs. Lennox (LII), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Lincoln Electric (LECO) and Lennox (LII). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Lincoln Electric (LECO) and Lennox (LII). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Total Return (1Y)	27.30%	-27.83%
Total Return (3Y, Annualized)	17.31%	-2.32%
Total Return (5Y, Annualized)	16.33%	3.79%

Risk Profile

Drawdown History

LECO

LII

GSPC

Lincoln Electric (LECO) vs. Lennox (LII), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Lincoln Electric (LECO) and Lennox (LII). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Volatility (1Y, Annualized)	31.13%	41.59%
Beta (5Y)	1.17	1.18
Max Drawdown (5Y)	-34.29%	-49.95%
Avg. Volume (3M)	409.99K	563.34K

Risk-Adjusted Performance

Risk-Return Positioning

LECO and LII are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Sharpe Ratio (1Y)	0.74	-0.77
Sortino Ratio (1Y)	1.11	-0.96

Profitability

ROE (TTM)

Both companies show strong equity returns, but Lennox (LII) at 62.82% is the standout with ROE above its industry range; Lincoln Electric (LECO) at 38.75% also sits in the top quartile.

LECO

Capital Goods industry group

38.75%

Max: 40.55%
LECO: 38.75%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

LII

Capital Goods industry group

62.82%

LII: 62.82%
Max: 40.55%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Lincoln Electric (LECO) at 12.40% and Lennox (LII) at 13.76% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

LECO

Capital Goods industry group

12.40%

Max: 27.47%
LECO: 12.40%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

LII

Capital Goods industry group

13.76%

Max: 27.47%
LII: 13.76%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Lennox (LII) at 20.57% operates in the top operating margin quartile, ahead of Lincoln Electric (LECO) at 18.29%, which runs around its industry’s norm.

LECO

Capital Goods industry group

18.29%

Max: 36.60%
Q3: 18.33%
LECO: 18.29%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

LII

Capital Goods industry group

20.57%

Max: 36.60%
LII: 20.57%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
ROE (TTM)	38.75%	62.82%
ROA (TTM)	13.32%	15.93%
Net Margin (TTM)	12.40%	13.76%
Operating Margin (TTM)	18.29%	20.57%
Gross Margin (TTM)	35.54%	32.62%

Growth

Revenue Growth

Lincoln Electric (LECO) at 5.60% is around its peer norm for revenue growth, while Lennox (LII) at -2.73% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Lincoln Electric (LECO) at 14.36% and Lennox (LII) at 1.11% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Revenue Growth (YoY)	5.60%	-2.73%
Revenue Growth (3Y CAGR)	4.02%	3.26%
EPS Growth (YoY)	14.36%	1.11%
EPS Growth (3Y CAGR)	5.05%	17.97%

Financial Strength

Current Ratio (MRQ)

Lincoln Electric (LECO) at 1.91 keeps current ratio within its industry’s typical mid-range, while Lennox (LII) at 1.21 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for LII.

LECO

Capital Goods industry group

1.91

Max: 5.22
Q3: 2.95
Median: 2.08
LECO: 1.91
Q1: 1.43
Min: 0.36

LII

Capital Goods industry group

1.21

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
LII: 1.21
Min: 0.36

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Lincoln Electric (LECO) at 0.78 carries an industry-typical debt-to-equity mix, while Lennox (LII) at 1.58 uses more debt funding than most peers.

LECO

Capital Goods industry group

0.78

Max: 2.33
Q3: 1.12
LECO: 0.78
Median: 0.60
Q1: 0.29
Min: 0.00

LII

Capital Goods industry group

1.58

Max: 2.33
LII: 1.58
Q3: 1.12
Median: 0.60
Q1: 0.29
Min: 0.00

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Current Ratio (MRQ)	1.91	1.21
Debt / Equity (MRQ)	0.78	1.58
Net Debt / EBITDA	1.00	1.73

Dividends

Dividend Yield (TTM)

Both Lincoln Electric (LECO) at 1.16% and Lennox (LII) at 1.53% offer top-quartile dividend income relative to share price within their industries.

LECO

Capital Goods industry group

1.16%

Max: 2.66%
LECO: 1.16%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

LII

Capital Goods industry group

1.53%

Max: 2.66%
LII: 1.53%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Lennox (LII) at 24.68% pays out a band-typical share of earnings, while Lincoln Electric (LECO) at 30.30% distributes more than its industry norm — less retained, thinner cover.

LECO

Capital Goods industry group

30.30%

Max: 67.39%
LECO: 30.30%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

LII

Capital Goods industry group

24.68%

Max: 67.39%
Q3: 28.02%
LII: 24.68%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
Dividend Yield (TTM)	1.16%	1.53%
Dividend Payout Ratio (TTM)	30.30%	24.68%

Valuation

P/E Ratio (TTM)

Lennox (LII) at 15.47 sits in the cheaper P/E ratio quartile, while Lincoln Electric (LECO) at 26.40 is closer to its industry’s usual earnings multiple — a discount for LII, though growth and earnings durability still matter.

LECO

Capital Goods industry group

26.40

Max: 59.38
Q3: 35.92
LECO: 26.40
Median: 25.41
Q1: 19.47
Min: 3.03

LII

Capital Goods industry group

15.47

Max: 59.38
Q3: 35.92
Median: 25.41
Q1: 19.47
LII: 15.47
Min: 3.03

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Lincoln Electric (LECO) at 3.21 and Lennox (LII) at 2.15 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

LECO

Capital Goods industry group

3.21

Max: 7.54
Q3: 3.76
LECO: 3.21
Median: 2.15
Q1: 1.03
Min: 0.03

LII

Capital Goods industry group

2.15

Max: 7.54
Q3: 3.76
Median: 2.15
LII: 2.15
Q1: 1.03
Min: 0.03

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Both Lincoln Electric (LECO) at 9.59 and Lennox (LII) at 8.88 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.

LECO

Capital Goods industry group

9.59

Max: 9.66
LECO: 9.59
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08

LII

Capital Goods industry group

8.88

Max: 9.66
LII: 8.88
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08

Lincoln Electric (LECO) vs. Lennox (LII): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Lincoln Electric (LECO) and Lennox (LII)
Metric	LECO	LII
P/E Ratio (TTM)	26.40	15.47
P/S Ratio (TTM)	3.21	2.15
P/B Ratio (MRQ)	9.59	8.88
Free Cash Flow Yield (TTM)	2.68%	3.14%