Seek Returns

LECO vs. WTS: Lincoln Electric vs. Watts Water Stock Comparison

How do Lincoln Electric (LECO) and Watts Water (WTS) 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 Watts Water (WTS) are both classified in the Industrial Machinery & Supplies & Components sub-industry within the broader Machinery industry, placing them in the closest GICS peer bucket.

Company profile comparison for Lincoln Electric (LECO) and Watts Water (WTS)
Profile ItemLECOWTS
NameLincoln Electric Holdings, Inc.Watts Water Technologies, Inc. Class A Common Stock
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryMachinery
GICS Sub-IndustryIndustrial Machinery & Supplies & ComponentsIndustrial Machinery & Supplies & Components
Market Capitalization14.91 billion USD11.55 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateApril 7, 1994August 21, 1986
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

LECO
WTS
GSPC
Loading price history…
Lincoln Electric (LECO) vs. Watts Water (WTS), 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

Loading price history…
Trailing total returns for Lincoln Electric (LECO) and Watts Water (WTS). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for Lincoln Electric (LECO) and Watts Water (WTS). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
Total Return (1Y)27.30%33.85%
Total Return (3Y, Annualized)17.31%25.59%
Total Return (5Y, Annualized)16.33%12.56%

Risk Profile

Drawdown History

LECO
WTS
GSPC
Loading price history…
Lincoln Electric (LECO) vs. Watts Water (WTS), 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

Loading price history…
Distribution of monthly total returns for Lincoln Electric (LECO) and Watts Water (WTS). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
Volatility (1Y, Annualized)31.13%27.38%
Beta (5Y)1.171.11
Max Drawdown (5Y)-34.29%-44.08%
Avg. Volume (3M)409.99K225.08K

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
LECO and WTS 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 Watts Water (WTS)
MetricLECOWTS
Sharpe Ratio (1Y)0.741.08
Sortino Ratio (1Y)1.111.78

Profitability

ROE (TTM)

Both Lincoln Electric (LECO) at 38.75% and Watts Water (WTS) at 20.91% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

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%

WTS

Capital Goods industry group

20.91%

Max
40.55%
WTS
20.91%
Q3
19.29%
Median
12.12%
Q1
4.08%
Min
-17.12%
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): 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 Watts Water (WTS) at 16.00% 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%

WTS

Capital Goods industry group

16.00%

Max
27.47%
WTS
16.00%
Q3
12.10%
Median
6.30%
Q1
1.40%
Min
-12.89%
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Watts Water (WTS) at 20.85% 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%

WTS

Capital Goods industry group

20.85%

Max
36.60%
WTS
20.85%
Q3
18.33%
Median
11.12%
Q1
5.14%
Min
-12.63%
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
ROE (TTM)38.75%20.91%
ROA (TTM)13.32%12.05%
Net Margin (TTM)12.40%16.00%
Operating Margin (TTM)18.29%20.85%
Gross Margin (TTM)35.54%49.09%

Growth

Revenue Growth

Both Lincoln Electric (LECO) at 5.60% and Watts Water (WTS) at 8.27% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Lincoln Electric (LECO) at 14.36% and Watts Water (WTS) at 17.03% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
Revenue Growth (YoY)5.60%8.27%
Revenue Growth (3Y CAGR)4.02%7.20%
EPS Growth (YoY)14.36%17.03%
EPS Growth (3Y CAGR)5.05%10.78%

Financial Strength

Current Ratio (MRQ)

Both Lincoln Electric (LECO) at 1.91 and Watts Water (WTS) at 2.80 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

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

WTS

Capital Goods industry group

2.80

Max
5.22
Q3
2.95
WTS
2.80
Median
2.08
Q1
1.43
Min
0.36
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Watts Water (WTS) at 0.08 keeps leverage in the lower industry quartile, while Lincoln Electric (LECO) at 0.78 runs a more typical debt-to-equity mix.

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

WTS

Capital Goods industry group

0.08

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
WTS
0.08
Min
0.00
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): 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 Watts Water (WTS)
MetricLECOWTS
Current Ratio (MRQ)1.912.80
Debt / Equity (MRQ)0.780.08
Net Debt / EBITDA1.00-0.40

Dividends

Dividend Yield (TTM)

Lincoln Electric (LECO) at 1.16% delivers top-quartile income for its industry, while Watts Water (WTS) at 0.66% pays a more typical yield — both are credible income propositions, LECO the richer one.

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%

WTS

Capital Goods industry group

0.66%

Max
2.66%
Q3
1.14%
WTS
0.66%
Median
0.24%
Q1
0.00%
Min
0.00%
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Watts Water (WTS) at 17.24% 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%

WTS

Capital Goods industry group

17.24%

Max
67.39%
Q3
28.02%
WTS
17.24%
Median
6.86%
Q1
0.00%
Min
0.00%
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
Dividend Yield (TTM)1.16%0.66%
Dividend Payout Ratio (TTM)30.30%17.24%

Valuation

P/E Ratio (TTM)

Both Lincoln Electric (LECO) at 26.40 and Watts Water (WTS) at 25.95 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

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

WTS

Capital Goods industry group

25.95

Max
59.38
Q3
35.92
WTS
25.95
Median
25.41
Q1
19.47
Min
3.03
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Lincoln Electric (LECO) at 3.21 is priced about in line with its industry on P/S ratio, while Watts Water (WTS) at 4.14 sits in the pricier quartile — WTS costs more per dollar of sales.

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

WTS

Capital Goods industry group

4.14

Max
7.54
WTS
4.14
Q3
3.76
Median
2.15
Q1
1.03
Min
0.03
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Watts Water (WTS) at 4.98 is valued about in line with its industry on P/B ratio, while Lincoln Electric (LECO) at 9.59 carries an above-peer premium to book — LECO is pricier on assets.

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

WTS

Capital Goods industry group

4.98

Max
9.66
Q3
5.00
WTS
4.98
Median
3.12
Q1
1.81
Min
-1.08
Loading chart…
Lincoln Electric (LECO) vs. Watts Water (WTS): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Lincoln Electric (LECO) and Watts Water (WTS)
MetricLECOWTS
P/E Ratio (TTM)26.4025.95
P/S Ratio (TTM)3.214.14
P/B Ratio (MRQ)9.594.98
Free Cash Flow Yield (TTM)2.68%2.21%