LECO (Lincoln Electric Holdings) 3-Year RORE % : 1.46% (As of Mar. 2026)


LECO Lincoln Electric Holdings Inc LECO
98 GF Score
Price $262.92
GF Value $237.52
Valuation Modestly Overvalued
! 2 Warning Signs
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What is Lincoln Electric Holdings 3-Year RORE %?

Lincoln Electric Holdings LECO +1.74% 98 3-Year RORE % is 1.46 as of Mar. 2026. GuruFocus rates LECO with a GF Score™ of 98/100 and a GF Value™ of $237.52 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,895 Industrial Products companies, Lincoln Electric Holdings ranks worse than 54.47% on this metric.

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Lincoln Electric Holdings's 3-Year RORE % for the quarter that ended in Mar. 2026 was 1.46%.

The industry rank for Lincoln Electric Holdings's 3-Year RORE % or its related term are showing as below:

LECO's 3-Year RORE % is ranked worse than
54.47% of 2895 companies
in the Industrial Products industry
Industry Median: 5.19 vs LECO: 1.46

Lincoln Electric Holdings  (NAS:LECO) 3-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Lincoln Electric Holdings 3-Year RORE % Related Terms


Lincoln Electric Holdings 3-Year RORE % Historical Data

* Premium members only.

The historical data trend for Lincoln Electric Holdings's 3-Year RORE % can be seen below:

* 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 3-Year RORE % Chart

Lincoln Electric Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.04 47.93 31.75 0.56 -0.27

Lincoln Electric Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
3-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.57 4.01 4.48 -0.27 1.46

LECO vs SWK, TKR, RBC: 3-Year RORE % Comparison

For the Tools & Accessories subindustry, Lincoln Electric Holdings's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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 3-Year RORE % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Lincoln Electric Holdings's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Lincoln Electric Holdings's 3-Year RORE % falls into.


LECO
98GF Score
Lincoln Electric Holdings Inc LECO
3-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lincoln Electric Holdings 3-Year RORE % Calculation

Lincoln Electric Holdings's 3-Year RORE % for the quarter that ended in Mar. 2026 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 9.69-9.42 )/( 27.22-8.7 )
=0.27/18.52
=1.46 %

* 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.

In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.

Frequently Asked Questions Learn more about 3-Year RORE % →
What does a 3-Year RORE % of 1.46 mean?
Lincoln Electric Holdings (LECO) has a 3-Year RORE % of 1.46 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Lincoln Electric Holdings and its competitors. According to the industry distribution chart, Lincoln Electric Holdings ranks #1577 out of 2895 companies in the Industrial Products industry, placing it in the top 54.5%.
Is Lincoln Electric Holdings' 3-Year RORE % too high?
Lincoln Electric Holdings' current 3-Year RORE % is 1.46. The Industrial Products industry median 3-Year RORE % is 5.19. Lincoln Electric Holdings' value of 1.46 is 71.9% below this industry median. Based on the distribution chart, Lincoln Electric Holdings ranks #1577 out of 2895 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Lincoln Electric Holdings has a GF Score™ of 98/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lincoln Electric Holdings' 3-Year RORE % compare to SWK and TKR?
According to the Industrial Products industry distribution chart, Lincoln Electric Holdings ranks #1577 out of 2895 companies for 3-Year RORE %. This places Lincoln Electric Holdings in the lower half of its industry. The industry median 3-Year RORE % is 5.19. Lincoln Electric Holdings' value of 1.46 is 71.9% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for an Industrial Products company?
The median 3-Year RORE % among Industrial Products companies is 5.19, based on 2,895 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lincoln Electric Holdings's current 3-Year RORE % of 1.46 is 71.9% below 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 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Lincoln Electric Holdings and its competitors. For the Industrial Products industry, the median 3-Year RORE % is 5.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lincoln Electric Holdings's current 3-Year RORE % is 1.46. 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 $237.52, compared to a current price of $262.92 — trading 10.7% above its estimated fair value. The current 3-Year RORE % is 1.46 and 71.9% below the Industrial Products industry median of 5.19. Lincoln Electric Holdings' overall GF Score™ is 98/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Lincoln Electric Holdings (LECO), the current 3-Year RORE % is 1.46 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 $262.92 is trading 10.7% above its estimated GF Value™ of $237.52. GuruFocus considers Lincoln Electric Holdings to be Modestly Overvalued.

Key valuation signals for LECO:

  • 3-Year RORE %: 1.46
  • GF Value™: $237.52 vs. price of $262.92 (10.7% above fair value)
  • GF Score™: 98/100 with 2 warning signs
  • Industry Position: 71.9% below the Industrial Products median (#1577 of 2895)

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 Holdings Business Description

Other Exchanges LNE:Germany
Address 22801 Saint Clair Avenue, Cleveland, OH, USA, 44117
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.
98GF Score

Get the complete analysis for LECO

3-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$262.92
Price
$237.52
GF Value