LECO vs. XYL: Lincoln Electric vs. Xylem Stock Comparison

November 11, 2026

How do Lincoln Electric (LECO) and Xylem (XYL) 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 Xylem (XYL) 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 Xylem (XYL)
Profile Item	LECO	XYL
Name	Lincoln Electric Holdings, Inc.	Xylem Inc.
Country/Region	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Machinery	Machinery
GICS Sub-Industry	Industrial Machinery & Supplies & Components	Industrial Machinery & Supplies & Components
Market Capitalization	14.91 billion USD	22.44 billion USD
Currency	USD	USD
Exchange	Nasdaq	NYSE
Listing Date	April 7, 1994	October 13, 2011
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

LECO

XYL

GSPC

Lincoln Electric (LECO) vs. Xylem (XYL), 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 Xylem (XYL). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
Total Return (1Y)	27.30%	-33.10%
Total Return (3Y, Annualized)	17.31%	2.29%
Total Return (5Y, Annualized)	16.33%	-4.47%

Risk Profile

Drawdown History

LECO

XYL

GSPC

Lincoln Electric (LECO) vs. Xylem (XYL), 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 Xylem (XYL). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
Volatility (1Y, Annualized)	31.13%	30.74%
Beta (5Y)	1.17	0.96
Max Drawdown (5Y)	-34.29%	-44.89%
Avg. Volume (3M)	409.99K	2.60M

Risk-Adjusted Performance

Risk-Return Positioning

LECO and XYL 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 Xylem (XYL)
Metric	LECO	XYL
Sharpe Ratio (1Y)	0.74	-1.22
Sortino Ratio (1Y)	1.11	-1.48

Profitability

ROE (TTM)

Lincoln Electric (LECO) at 38.75% sits in the top ROE quartile, while Xylem (XYL) at 9.76% is closer to the peer norm — stronger capital efficiency for LECO.

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%

XYL

Capital Goods industry group

9.76%

Max: 40.55%
Q3: 19.29%
Median: 12.12%
XYL: 9.76%
Q1: 4.08%
Min: -17.12%

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

Net Margin (TTM)

Lincoln Electric (LECO) at 12.40% retains a top-quartile share of revenue as profit, ahead of Xylem (XYL) at 11.94%, which keeps about the industry-typical share.

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%

XYL

Capital Goods industry group

11.94%

Max: 27.47%
Q3: 12.10%
XYL: 11.94%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

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

Operating Margin (TTM)

Both Lincoln Electric (LECO) at 18.29% and Xylem (XYL) at 15.95% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

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%

XYL

Capital Goods industry group

15.95%

Max: 36.60%
Q3: 18.33%
XYL: 15.95%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

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

Profitability Metrics

Profitability metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
ROE (TTM)	38.75%	9.76%
ROA (TTM)	13.32%	5.07%
Net Margin (TTM)	12.40%	11.94%
Operating Margin (TTM)	18.29%	15.95%
Gross Margin (TTM)	35.54%	39.32%

Growth

Revenue Growth

Both Lincoln Electric (LECO) at 5.60% and Xylem (XYL) at 5.52% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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

EPS Growth

Both Lincoln Electric (LECO) at 14.36% and Xylem (XYL) at 7.40% 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. Xylem (XYL): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
Revenue Growth (YoY)	5.60%	5.52%
Revenue Growth (3Y CAGR)	4.02%	17.84%
EPS Growth (YoY)	14.36%	7.40%
EPS Growth (3Y CAGR)	5.05%	25.99%

Financial Strength

Current Ratio (MRQ)

Lincoln Electric (LECO) at 1.91 keeps current ratio within its industry’s typical mid-range, while Xylem (XYL) at 1.39 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for XYL.

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

XYL

Capital Goods industry group

1.39

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
XYL: 1.39
Min: 0.36

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

Debt / Equity (MRQ)

Both Lincoln Electric (LECO) at 0.78 and Xylem (XYL) at 0.29 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

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

XYL

Capital Goods industry group

0.29

Max: 2.33
Q3: 1.12
Median: 0.60
XYL: 0.29
Q1: 0.29
Min: 0.00

Lincoln Electric (LECO) vs. Xylem (XYL): 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 Xylem (XYL)
Metric	LECO	XYL
Current Ratio (MRQ)	1.91	1.39
Debt / Equity (MRQ)	0.78	0.29
Net Debt / EBITDA	1.00	1.18

Dividends

Dividend Yield (TTM)

Both Lincoln Electric (LECO) at 1.16% and Xylem (XYL) at 1.69% 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%

XYL

Capital Goods industry group

1.69%

Max: 2.66%
XYL: 1.69%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

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

Dividend Payout Ratio (TTM)

Both Lincoln Electric (LECO) at 30.30% and Xylem (XYL) at 37.47% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

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%

XYL

Capital Goods industry group

37.47%

Max: 67.39%
XYL: 37.47%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

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

Dividend Metrics

Dividend metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
Dividend Yield (TTM)	1.16%	1.69%
Dividend Payout Ratio (TTM)	30.30%	37.47%

Valuation

P/E Ratio (TTM)

Both Lincoln Electric (LECO) at 26.40 and Xylem (XYL) at 21.69 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

XYL

Capital Goods industry group

21.69

Max: 59.38
Q3: 35.92
Median: 25.41
XYL: 21.69
Q1: 19.47
Min: 3.03

Lincoln Electric (LECO) vs. Xylem (XYL): 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 Xylem (XYL) at 2.48 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

XYL

Capital Goods industry group

2.48

Max: 7.54
Q3: 3.76
XYL: 2.48
Median: 2.15
Q1: 1.03
Min: 0.03

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

P/B Ratio (MRQ)

Xylem (XYL) at 2.19 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

XYL

Capital Goods industry group

2.19

Max: 9.66
Q3: 5.00
Median: 3.12
XYL: 2.19
Q1: 1.81
Min: -1.08

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

Valuation Metrics

Valuation metrics for Lincoln Electric (LECO) and Xylem (XYL)
Metric	LECO	XYL
P/E Ratio (TTM)	26.40	21.69
P/S Ratio (TTM)	3.21	2.48
P/B Ratio (MRQ)	9.59	2.19
Free Cash Flow Yield (TTM)	2.68%	5.39%