Lincoln Electric HoldingsLECO -2.62%97 Pretax Margin % is 15.46% as of Mar. 2026, which is 18% above its 10-year median of 13.11. GuruFocus rates LECO with a GF Score™ of 97/100 and a GF Value™ of $236.95 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 3,038 Industrial Products companies, Lincoln Electric Holdings ranks better than 84.23% on this metric.
The historical rank and industry rank for Lincoln Electric Holdings's Pretax Margin % or its related term are showing as below:
LECO'
s Pretax Margin % Range Over the Past 10 Years
Min: 9.94 Med: 13.11 Max: 16.39
Current: 15.99
LECO's Pretax Margin % is ranked better than 84.23% of 3038
companies
in the Industrial Products industry
Industry Median: 5.85
vs LECO: 15.99
Lincoln Electric Holdings (NAS:LECO) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Lincoln Electric Holdings Pretax Margin % Related Terms
Lincoln Electric Holdings Pretax Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Tools & Accessories subindustry, Lincoln Electric Holdings's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lincoln Electric Holdings Pretax Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Lincoln Electric Holdings's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Lincoln Electric Holdings's Pretax Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lincoln Electric Holdings (LECO) has a Pretax Margin % of 15.46% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Lincoln Electric Holdings and its competitors. This is 18% above median its historical median of 13.11. Over the past decade, Lincoln Electric Holdings' Pretax Margin % has ranged from 9.94 to 16.39. According to the industry distribution chart, Lincoln Electric Holdings ranks #479 out of 3038 companies in the Industrial Products industry, placing it in the top 15.8%.
Is Lincoln Electric Holdings' Pretax Margin % too high?
Lincoln Electric Holdings' current Pretax Margin % of 15.46% is 18% above median its 10-year median of 13.11. Over the past 10 years, this metric has ranged from a low of 9.94 to a high of 16.39. The Industrial Products industry median Pretax Margin % is 5.85. Lincoln Electric Holdings' value of 15.46% is 164.3% above this industry median. Based on the distribution chart, Lincoln Electric Holdings ranks #479 out of 3038 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Lincoln Electric Holdings has a GF Score™ of 97/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lincoln Electric Holdings' Pretax Margin % compare to SWK and RBC?
According to the Industrial Products industry distribution chart, Lincoln Electric Holdings ranks #479 out of 3038 companies for Pretax Margin %. This places Lincoln Electric Holdings in the top 16% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.85. Lincoln Electric Holdings' value of 15.46% is 164.3% above this benchmark. Historically, Lincoln Electric Holdings' own Pretax Margin % has ranged from 9.94 to 16.39 over the past decade. While the company's 10-year median is 13.11 vs. the industry median of 5.85, Lincoln Electric Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for an Industrial Products company?
The median Pretax Margin % among Industrial Products companies is 5.85, based on 3,038 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lincoln Electric Holdings's current Pretax Margin % of 15.46% is 164.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Lincoln Electric Holdings and its competitors. For the Industrial Products industry, the median Pretax Margin % is 5.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lincoln Electric Holdings's current Pretax Margin % is 15.46%, which is 18% above median its own 10-year median of 13.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lincoln Electric Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lincoln Electric Holdings (LECO) is currently considered Modestly Overvalued. The stock's GF Value™ is $236.95, compared to a current price of $266.47 — trading 12.5% above its estimated fair value. The current Pretax Margin % is 15.46%, which is 18% above median its 10-year median of 13.11 and 164.3% above the Industrial Products industry median of 5.85. Lincoln Electric Holdings' overall GF Score™ is 97/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Lincoln Electric Holdings (LECO), the current Pretax Margin % is 15.46% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lincoln Electric Holdings (LECO) Overvalued in 2026?
Based on GuruFocus' analysis, Lincoln Electric Holdings stock appears to be overvalued.
The current stock price of $266.47 is trading 12.5% above its estimated GF Value™ of $236.95.
GuruFocus considers Lincoln Electric Holdings to be Modestly Overvalued.
Key valuation signals for LECO:
Pretax Margin %: 15.46% (18% above median its 10-year median of 13.11)
GF Value™: $236.95 vs. price of $266.47 (12.5% above fair value)
Industry Position: 164.3% above the Industrial Products median (#479 of 3038)
No single metric tells the full story. See the LECO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lincoln Electric is a leading manufacturer of welding, cutting, and brazing products. Its portfolio includes arc-welding solutions, plasma and oxy-fuel cutting systems, brazing and soldering alloys, and automation solutions. Lincoln Electric serves clients across general fabrication, heavy industries, automotive, construction, shipbuilding, energy, and process industries, among others. The company generated roughly $4.2 billion in sales in 2025.
97GF Score
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