ESAB Stock Analysis: ESAB | NYSE
Metal Fabrication | NYSE, USA | Market Cap: 4.919m USD | 12M Return: -21.5% | US29605J1060 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 82.6M
EPS Trend: 93.7%
Qual. Beats: 0
Rev. Trend: 76.9%
Qual. Beats: 2
Warnings
Tailwinds
No distinct edge detected
Seasonality 4.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
ESAB Corporation (NYSE: ESAB) is a U.S.-based industrial company that formulates, develops, manufactures, and supplies consumables and equipment for cutting, joining, automated welding, and gas control. The company sells through independent distributors and direct sales personnel, operating across Europe, Asia Pacific, South America, and the Middle East. Founded in 1904 and headquartered in North Bethesda, Maryland, ESAB has a long heritage in the welding and fabrication industry.
The company was spun off as a public entity in April 2022 and is classified within the GICS Industrials sector, specifically in the Industrial Machinery & Supplies & Components sub-industry. Its business model spans both consumables (a recurring revenue stream, as items like welding electrodes, wires, and gases are used up during fabrication) and equipment (longer-life capital goods such as welding machines and cutting systems), giving it exposure to both aftermarket demand and broader industrial capex cycles. Welding consumables and equipment are widely used in construction, shipbuilding, oil and gas, automotive, and general manufacturing, tying ESABs performance to global industrial activity.
- Welding demand tracks global industrial production and capex cycles
- Steel and raw material costs pressure gross margins
- Automation and M&A expand high-margin product mix
| Net Income: 156.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -2.11 > 1.0 |
| NWC/Revenue: 23.16% < 20% (prev 23.80%; Δ -0.64% < -1%) |
| CFO/TA 0.04 > 3% & CFO 250.1m > Net Income 156.6m |
| Net Debt (2.31b) to EBITDA (473.5m): 4.87 < 3 |
| Current Ratio: 1.92 > 1.5 & < 3 |
| Outstanding Shares: last quarter (62.4m) vs 12m ago 2.38% < -2% |
| Gross Margin: 36.33% > 18% (prev 37.56%; Δ -1.24% > 0.5%) |
| Asset Turnover: 54.53% > 50% (prev 57.34%; Δ -2.81% > 0%) |
| Interest Coverage Ratio: 3.10 > 6 (EBIT TTM 343.1m / Interest Expense TTM 110.6m) |
| A: 0.11 (Total Current Assets 1.49b - Total Current Liabilities 776.6m) / Total Assets 6.50b |
| B: 0.14 (Retained Earnings 894.4m / Total Assets 6.50b) |
| C: 0.06 (EBIT TTM 343.1m / Avg Total Assets 5.68b) |
| D: 0.66 (Book Value of Equity 2.56b / Total Liabilities 3.89b) |
| Altman-Z'' = 2.27 = BBB |
| DSRI: 1.08 (Receivables 551.7m/460.5m, Revenue 3.10b/2.79b) |
| GMI: 1.03 (GM 37.56% / 36.33%) |
| AQI: 1.10 (AQ_t 0.69 / AQ_t-1 0.63) |
| SGI: 1.11 (Revenue 3.10b / 2.79b) |
| TATA: -0.01 (NI 156.6m - CFO 250.1m) / TA 6.50b) |
| Beneish M = -2.79 (Cap -4..+1) = A |
As of November 10, 2026, the stock is trading at USD 89.93 with a total of 1,595,324 shares traded. Over the past week, the price has changed by +17.86%, over one month by +34.53%, over three months by +5.27% and over the past year by -21.45%.
Current recommended Stop Loss: 79.90 (which is 11.2% or 2.5 ATR below the current price).
ESAB has received a consensus analysts rating of 4.73. Therefore, it is recommended to buy ESAB.
- StrongBuy: 9
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 119.7 | 33.1% |
P/E Trailing = 28.4604
P/E Forward = 12.5786
P/S = 1.5875
P/B = 2.0394
P/EG = 0.8011
Revenue TTM = 3.10b USD
EBIT TTM = 343.1m USD
EBITDA TTM = 473.5m USD
Long Term Debt = 1.23b USD (from longTermDebt, last fiscal year)
Short Term Debt = 34.1m USD (from shortTermDebt, last quarter)
Debt = 2.50b USD (from shortLongTermDebtTotal, last quarter) + Leases 142.2m
Net Debt = 2.31b USD (calculated: Debt 2.50b - CCE 188.6m)
Enterprise Value = 7.23b USD (4.92b + Debt 2.50b - CCE 188.6m)
Interest Coverage Ratio = 3.10 (Ebit TTM 343.1m / Interest Expense TTM 110.6m)
EV/FCF = 39.99x (Enterprise Value 7.23b / FCF TTM 180.7m)
FCF Yield = 2.50% (FCF TTM 180.7m / Enterprise Value 7.23b)
FCF Margin = 5.83% (FCF TTM 180.7m / Revenue TTM 3.10b)
Net Margin = 5.05% (Net Income TTM 156.6m / Revenue TTM 3.10b)
Gross Margin = 36.33% ((Revenue TTM 3.10b - Cost of Revenue TTM 1.97b) / Revenue TTM)
Gross Margin QoQ = 39.25% (prev 38.04%)
Tobins Q-Ratio = 1.11 (Enterprise Value 7.23b / Total Assets 6.50b)
Interest Expense / Debt = 4.43% (Interest Expense 110.6m / Debt 2.50b)
Taxrate = 21.83% (50.8m / 232.5m)
NOPAT = 268.2m (EBIT 343.1m * (1 - 21.83%))
Current Ratio = 1.92 (Total Current Assets 1.49b / Total Current Liabilities 776.6m)
Debt / Equity = 0.97 (Debt 2.50b / totalStockholderEquity, last quarter 2.56b)
Debt / EBITDA = 4.87 (Net Debt 2.31b / EBITDA 473.5m)
Debt / FCF = 12.77 (Net Debt 2.31b / FCF TTM 180.7m)
Total Stockholder Equity = 2.36b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.76% (Net Income 156.6m / Total Assets 6.50b)
RoE = 6.62% (Net Income TTM 156.6m / Total Stockholder Equity 2.36b)
RoCE = 9.54% (EBIT 343.1m / Capital Employed (Equity 2.36b + L.T.Debt 1.23b))
RoIC = 4.79% (NOPAT 268.2m / Invested Capital 5.60b)
WACC = 7.22% (E(4.92b)/V(7.42b) * Re(9.12%) + D(2.50b)/V(7.42b) * Rd(4.43%) * (1-Tc(0.22)))
Discount Rate = 9.12% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 61.67 | Cagr: 0.95%
[DCF] Terminal Value 73.10% ; FCFF base≈203.7m ; Y1≈178.6m ; Y5≈144.3m
[DCF] Fair Price = 0.14 (EV 2.32b - Net Debt 2.31b = Equity 8.69m / Shares 62.2m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 93.74 | EPS CAGR: 6.43% | SUE: -0.48 | # QB: 0
Revenue Correlation: 76.92 | Revenue CAGR: 3.51% | SUE: 0.85 | # QB: 2
EPS current Quarter (2027-03-31): EPS=1.48 | Chg30d=-0.28% | Revisions=+0% | Analysts=3
EPS current Year (2026-12-31): EPS=5.39 | Chg30d=-1.08% | Revisions=-57% | GrowthEPS=+2.2% | GrowthRev=+13.2%
EPS next Year (2027-12-31): EPS=6.38 | Chg30d=-1.64% | Revisions=-57% | GrowthEPS=+18.4% | GrowthRev=+9.1%
[Analyst] Revisions Ratio: -62% (up=1, down=9)