ESAB CORP (ESAB) Fundamental Analysis & Valuation

NYSE:ESAB • US29605J1060

103.6 USD
-4.54 (-4.2%)
At close: Mar 12, 2026
103.6 USD
0 (0%)
After Hours: 3/12/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This ESAB fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

ESAB gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 131 industry peers in the Machinery industry. ESAB has only an average score on both its financial health and profitability. ESAB is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. ESAB Profitability Analysis

1.1 Basic Checks

  • ESAB had positive earnings in the past year.
  • In the past year ESAB had a positive cash flow from operations.
  • ESAB had positive earnings in each of the past 5 years.
  • In the past 5 years ESAB always reported a positive cash flow from operatings.
ESAB Yearly Net Income VS EBIT VS OCF VS FCFESAB Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M

1.2 Ratios

  • Looking at the Return On Assets, with a value of 4.73%, ESAB is in line with its industry, outperforming 58.02% of the companies in the same industry.
  • ESAB has a better Return On Equity (10.41%) than 60.31% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 8.48%, ESAB is in the better half of the industry, outperforming 63.36% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for ESAB is in line with the industry average of 10.16%.
Industry RankSector Rank
ROA 4.73%
ROE 10.41%
ROIC 8.48%
ROA(3y)5.53%
ROA(5y)5.86%
ROE(3y)12.66%
ROE(5y)12.8%
ROIC(3y)10.03%
ROIC(5y)9.68%
ESAB Yearly ROA, ROE, ROICESAB Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • The Profit Margin of ESAB (7.93%) is better than 65.65% of its industry peers.
  • ESAB's Profit Margin has been stable in the last couple of years.
  • ESAB has a Operating Margin of 15.48%. This is in the better half of the industry: ESAB outperforms 72.52% of its industry peers.
  • ESAB's Operating Margin has improved in the last couple of years.
  • ESAB has a better Gross Margin (36.88%) than 69.47% of its industry peers.
  • In the last couple of years the Gross Margin of ESAB has remained more or less at the same level.
Industry RankSector Rank
OM 15.48%
PM (TTM) 7.93%
GM 36.88%
OM growth 3Y2.69%
OM growth 5Y6.08%
PM growth 3Y-2.51%
PM growth 5Y-0.34%
GM growth 3Y2.6%
GM growth 5Y1.05%
ESAB Yearly Profit, Operating, Gross MarginsESAB Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 2025 10 20 30

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4

2. ESAB Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ESAB is creating some value.
  • ESAB has more shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, ESAB has more shares outstanding
  • The debt/assets ratio for ESAB has been reduced compared to a year ago.
ESAB Yearly Shares OutstandingESAB Yearly Shares OutstandingYearly Shares Outstanding 2020 2021 2022 2023 2024 2025 20M 40M 60M
ESAB Yearly Total Debt VS Total AssetsESAB Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.2 Solvency

  • An Altman-Z score of 2.80 indicates that ESAB is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • The Altman-Z score of ESAB (2.80) is comparable to the rest of the industry.
  • The Debt to FCF ratio of ESAB is 5.79, which is a neutral value as it means it would take ESAB, 5.79 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of ESAB (5.79) is comparable to the rest of the industry.
  • ESAB has a Debt/Equity ratio of 0.57. This is a neutral value indicating ESAB is somewhat dependend on debt financing.
  • ESAB has a Debt to Equity ratio (0.57) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 5.79
Altman-Z 2.8
ROIC/WACC0.91
WACC9.3%
ESAB Yearly LT Debt VS Equity VS FCFESAB Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

  • ESAB has a Current Ratio of 1.90. This is a normal value and indicates that ESAB is financially healthy and should not expect problems in meeting its short term obligations.
  • ESAB has a Current ratio of 1.90. This is comparable to the rest of the industry: ESAB outperforms 42.75% of its industry peers.
  • A Quick Ratio of 1.17 indicates that ESAB should not have too much problems paying its short term obligations.
  • ESAB has a Quick ratio (1.17) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.9
Quick Ratio 1.17
ESAB Yearly Current Assets VS Current LiabilitesESAB Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. ESAB Growth Analysis

3.1 Past

  • ESAB shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.55%.
  • The Earnings Per Share has been growing slightly by 7.03% on average over the past years.
  • Looking at the last year, ESAB shows a small growth in Revenue. The Revenue has grown by 3.71% in the last year.
  • The Revenue has been growing slightly by 7.83% on average over the past years.
EPS 1Y (TTM)4.55%
EPS 3Y0%
EPS 5Y7.03%
EPS Q2Q%5.47%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y3.1%
Revenue growth 5Y7.83%
Sales Q2Q%7.49%

3.2 Future

  • The Earnings Per Share is expected to grow by 11.88% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 5.47% on average over the next years.
EPS Next Y12.18%
EPS Next 2Y12.73%
EPS Next 3Y13.16%
EPS Next 5Y11.88%
Revenue Next Year7.69%
Revenue Next 2Y6.63%
Revenue Next 3Y6.63%
Revenue Next 5Y5.47%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
ESAB Yearly Revenue VS EstimatesESAB Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1B 2B 3B
ESAB Yearly EPS VS EstimatesESAB Yearly EPS VS EstimatesYearly EPS VS Estimates 2022 2023 2024 2025 2026 2027 2028 2029 2 4 6 8

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4

4. ESAB Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 19.62 indicates a rather expensive valuation of ESAB.
  • 71.76% of the companies in the same industry are more expensive than ESAB, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of ESAB to the average of the S&P500 Index (25.71), we can say ESAB is valued slightly cheaper.
  • A Price/Forward Earnings ratio of 17.49 indicates a rather expensive valuation of ESAB.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of ESAB indicates a somewhat cheap valuation: ESAB is cheaper than 68.70% of the companies listed in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 23.82. ESAB is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 19.62
Fwd PE 17.49
ESAB Price Earnings VS Forward Price EarningsESAB Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, ESAB is valued a bit cheaper than 61.83% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of ESAB is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 29.5
EV/EBITDA 14.53
ESAB Per share dataESAB EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30 40

4.3 Compensation for Growth

  • ESAB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of ESAB may justify a higher PE ratio.
  • ESAB's earnings are expected to grow with 13.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.61
PEG (5Y)2.79
EPS Next 2Y12.73%
EPS Next 3Y13.16%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. ESAB Dividend Analysis

5.1 Amount

  • With a yearly dividend of 0.35%, ESAB is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 1.13, ESAB has a dividend in line with its industry peers.
  • With a Dividend Yield of 0.35, ESAB pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.35%

5.2 History

  • ESAB has been paying a dividend for over 5 years, so it has already some track record.
  • The dividend of ESAB decreased in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
ESAB Yearly Dividends per shareESAB Yearly Dividends per shareYearly Dividends per share 2022 2023 2024 2025 2026 0.1 0.2 0.3

5.3 Sustainability

  • 9.72% of the earnings are spent on dividend by ESAB. This is a low number and sustainable payout ratio.
DP9.72%
EPS Next 2Y12.73%
EPS Next 3Y13.16%
ESAB Yearly Income VS Free CF VS DividendESAB Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
ESAB Dividend Payout.ESAB Dividend Payout, showing the Payout Ratio.ESAB Dividend Payout.PayoutRetained Earnings

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ESAB Fundamentals: All Metrics, Ratios and Statistics

ESAB CORP

NYSE:ESAB (3/12/2026, 8:04:00 PM)

After market: 103.6 0 (0%)

103.6

-4.54 (-4.2%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-20
Earnings (Next)04-29
Inst Owners96.18%
Inst Owner Change-8.14%
Ins Owners6.28%
Ins Owner Change3.43%
Market Cap6.29B
Revenue(TTM)2.84B
Net Income(TTM)225.55M
Analysts86.25
Price Target150.09 (44.87%)
Short Float %2.8%
Short Ratio3.63
Dividend
Industry RankSector Rank
Dividend Yield 0.35%
Yearly Dividend0.36
Dividend Growth(5Y)N/A
DP9.72%
Div Incr Years2
Div Non Decr Years2
Ex-Date04-02
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.24%
Min EPS beat(2)-1.28%
Max EPS beat(2)1.76%
EPS beat(4)2
Avg EPS beat(4)0.28%
Min EPS beat(4)-1.65%
Max EPS beat(4)2.31%
EPS beat(8)6
Avg EPS beat(8)3.33%
EPS beat(12)10
Avg EPS beat(12)5.91%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)2.56%
Min Revenue beat(2)-0.08%
Max Revenue beat(2)5.2%
Revenue beat(4)3
Avg Revenue beat(4)2.52%
Min Revenue beat(4)-0.08%
Max Revenue beat(4)5.2%
Revenue beat(8)5
Avg Revenue beat(8)1.57%
Revenue beat(12)9
Avg Revenue beat(12)3.09%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.38%
PT rev (3m)2.47%
EPS NQ rev (1m)-4.34%
EPS NQ rev (3m)-5.14%
EPS NY rev (1m)-0.97%
EPS NY rev (3m)-2.75%
Revenue NQ rev (1m)-2.66%
Revenue NQ rev (3m)-3.13%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-1.37%
Valuation
Industry RankSector Rank
PE 19.62
Fwd PE 17.49
P/S 2.21
P/FCF 29.5
P/OCF 24.15
P/B 2.9
P/tB N/A
EV/EBITDA 14.53
EPS(TTM)5.28
EY5.1%
EPS(NY)5.92
Fwd EY5.72%
FCF(TTM)3.51
FCFY3.39%
OCF(TTM)4.29
OCFY4.14%
SpS46.81
BVpS35.67
TBVpS-7.52
PEG (NY)1.61
PEG (5Y)2.79
Graham Number65.09
Profitability
Industry RankSector Rank
ROA 4.73%
ROE 10.41%
ROCE 10.73%
ROIC 8.48%
ROICexc 8.88%
ROICexgc 26.89%
OM 15.48%
PM (TTM) 7.93%
GM 36.88%
FCFM 7.5%
ROA(3y)5.53%
ROA(5y)5.86%
ROE(3y)12.66%
ROE(5y)12.8%
ROIC(3y)10.03%
ROIC(5y)9.68%
ROICexc(3y)10.57%
ROICexc(5y)10.07%
ROICexgc(3y)32.42%
ROICexgc(5y)31.84%
ROCE(3y)12.69%
ROCE(5y)12.25%
ROICexgc growth 3Y-1.74%
ROICexgc growth 5Y2.45%
ROICexc growth 3Y-2.26%
ROICexc growth 5Y7.53%
OM growth 3Y2.69%
OM growth 5Y6.08%
PM growth 3Y-2.51%
PM growth 5Y-0.34%
GM growth 3Y2.6%
GM growth 5Y1.05%
F-Score5
Asset Turnover0.6
Health
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 5.79
Debt/EBITDA 2.35
Cap/Depr 56.22%
Cap/Sales 1.66%
Interest Coverage 6.61
Cash Conversion 49.72%
Profit Quality 94.56%
Current Ratio 1.9
Quick Ratio 1.17
Altman-Z 2.8
F-Score5
WACC9.3%
ROIC/WACC0.91
Cap/Depr(3y)65.99%
Cap/Depr(5y)61.15%
Cap/Sales(3y)1.76%
Cap/Sales(5y)1.66%
Profit Quality(3y)116.12%
Profit Quality(5y)103.66%
High Growth Momentum
Growth
EPS 1Y (TTM)4.55%
EPS 3Y0%
EPS 5Y7.03%
EPS Q2Q%5.47%
EPS Next Y12.18%
EPS Next 2Y12.73%
EPS Next 3Y13.16%
EPS Next 5Y11.88%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y3.1%
Revenue growth 5Y7.83%
Sales Q2Q%7.49%
Revenue Next Year7.69%
Revenue Next 2Y6.63%
Revenue Next 3Y6.63%
Revenue Next 5Y5.47%
EBIT growth 1Y-3.79%
EBIT growth 3Y5.88%
EBIT growth 5Y14.38%
EBIT Next Year26.11%
EBIT Next 3Y16.24%
EBIT Next 5Y13.77%
FCF growth 1Y-29.75%
FCF growth 3Y6.98%
FCF growth 5Y-4.54%
OCF growth 1Y-26.68%
OCF growth 3Y6.72%
OCF growth 5Y-3.36%

ESAB CORP / ESAB FAQ

What is the ChartMill fundamental rating of ESAB CORP (ESAB) stock?

ChartMill assigns a fundamental rating of 5 / 10 to ESAB.


Can you provide the valuation status for ESAB CORP?

ChartMill assigns a valuation rating of 4 / 10 to ESAB CORP (ESAB). This can be considered as Fairly Valued.


What is the profitability of ESAB stock?

ESAB CORP (ESAB) has a profitability rating of 6 / 10.


Can you provide the PE and PB ratios for ESAB stock?

The Price/Earnings (PE) ratio for ESAB CORP (ESAB) is 19.62 and the Price/Book (PB) ratio is 2.9.


What is the earnings growth outlook for ESAB CORP?

The Earnings per Share (EPS) of ESAB CORP (ESAB) is expected to grow by 12.18% in the next year.