(ESAB) ESAB - Ratings and Ratios
Welding Consumables, Cutting Consumables, Welding Equipment, Automated Systems, Software
EPS (Earnings per Share)
Revenue
| Risk via 10d forecast | |
|---|---|
| Volatility | 33.0% |
| Value at Risk 5%th | 47.4% |
| Relative Tail Risk | -12.71% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.29 |
| Alpha | -25.71 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.440 |
| Beta | 1.049 |
| Beta Downside | 1.185 |
| Drawdowns 3y | |
|---|---|
| Max DD | 22.55% |
| Mean DD | 6.86% |
| Median DD | 5.52% |
Description: ESAB ESAB November 04, 2025
ESAB Corp. (NYSE: ESAB) designs, manufactures and sells a full spectrum of welding and cutting consumables-including electrodes, cored and solid wires, fluxes, and cutting tips-as well as portable to large-scale automated welding and cutting equipment. The company also provides software tools that enable remote monitoring, productivity analytics, and digital documentation of welding operations.
Its product portfolio serves a diversified set of end-markets such as general industry, infrastructure, renewable energy, medical & life sciences, transportation, construction, and energy. Sales are distributed through a mix of independent distributors and direct-sales teams across North America, South America, Europe, the Middle East, India, Africa, and the Asia-Pacific.
Key financial and market indicators (FY 2023): revenue of roughly $1.5 billion, EBITDA margin around 13 %, and a free-cash-flow conversion of ~ 70 %. The global welding consumables market is estimated at ≈ $12 billion and is projected to grow at a 5 % CAGR through 2029, driven by rising infrastructure spending and the electrification of transport, which lifts demand for high-performance welding solutions.
Sector-level drivers that materially affect ESAB include cyclical construction activity, capital-intensive industrial investment cycles, and the shift toward renewable-energy projects (e.g., wind-turbine blade fabrication) that require specialized welding consumables. Conversely, a slowdown in heavy-industry capex or prolonged commodity price weakness could compress demand for its higher-margin automated systems.
For a deeper quantitative breakdown of ESAB’s valuation metrics, the ValueRay platform offers a granular model you may want to explore.
ESAB Stock Overview
| Market Cap in USD | 6,499m |
| Sub-Industry | Industrial Machinery & Supplies & Components |
| IPO / Inception | 2022-04-05 |
| Return 12m vs S&P 500 | -24.6% |
| Analyst Rating | 3.91 of 5 |
ESAB Dividends
| Metric | Value |
|---|---|
| Dividend Yield | 0.34% |
| Yield on Cost 5y | 0.73% |
| Yield CAGR 5y | 41.42% |
| Payout Consistency | 100.0% |
| Payout Ratio | 6.9% |
ESAB Growth Ratios
| Metric | Value |
|---|---|
| CAGR 3y | 33.14% |
| CAGR/Max DD Calmar Ratio | 1.47 |
| CAGR/Mean DD Pain Ratio | 4.83 |
| Current Volume | 565k |
| Average Volume | 455.3k |
Piotroski VR‑10 (Strict, 0-10) 5.5
| Net Income (242.8m TTM) > 0 and > 6% of Revenue (6% = 167.5m TTM) |
| FCFTA 0.05 (>2.0%) and ΔFCFTA -2.57pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 23.80% (prev 21.18%; Δ 2.62pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 290.4m > Net Income 242.8m (YES >=105%, WARN >=100%) |
| Net Debt (1.25b) to EBITDA (527.0m) ratio: 2.37 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.99 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (60.9m) change vs 12m ago -0.24% (target <= -2.0% for YES) |
| Gross Margin 37.56% (prev 37.47%; Δ 0.10pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 62.37% (prev 67.56%; Δ -5.19pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.92 (EBITDA TTM 527.0m / Interest Expense TTM 76.3m) >= 6 (WARN >= 3) |
Altman Z'' 2.17
| (A) 0.14 = (Total Current Assets 1.33b - Total Current Liabilities 669.1m) / Total Assets 4.87b |
| (B) 0.16 = Retained Earnings (Balance) 769.2m / Total Assets 4.87b |
| (C) 0.10 = EBIT TTM 451.7m / Avg Total Assets 4.48b |
| (D) 0.08 = Book Value of Equity 215.1m / Total Liabilities 2.71b |
| Total Rating: 2.17 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 67.76
| 1. Piotroski 5.50pt |
| 2. FCF Yield 3.07% |
| 3. FCF Margin 8.52% |
| 4. Debt/Equity 0.69 |
| 5. Debt/Ebitda 2.37 |
| 6. ROIC - WACC (= 3.14)% |
| 7. RoE 12.35% |
| 8. Rev. Trend 36.34% |
| 9. EPS Trend 87.21% |
What is the price of ESAB shares?
Over the past week, the price has changed by -5.15%, over one month by -14.07%, over three months by -5.21% and over the past year by -15.25%.
Is ESAB a buy, sell or hold?
- Strong Buy: 5
- Buy: 2
- Hold: 3
- Sell: 0
- Strong Sell: 1
What are the forecasts/targets for the ESAB price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 141.6 | 33.5% |
| Analysts Target Price | 141.6 | 33.5% |
| ValueRay Target Price | 124.3 | 17.2% |
ESAB Fundamental Data Overview November 20, 2025
P/E Trailing = 23.9463
P/E Forward = 18.0832
P/S = 2.3273
P/B = 3.0712
P/EG = 1.4181
Beta = 1.195
Revenue TTM = 2.79b USD
EBIT TTM = 451.7m USD
EBITDA TTM = 527.0m USD
Long Term Debt = 1.33b USD (from longTermDebt, last quarter)
Short Term Debt = 24.7m USD (from shortTermDebt, last quarter)
Debt = 1.47b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.25b USD (from netDebt column, last quarter)
Enterprise Value = 7.75b USD (6.50b + Debt 1.47b - CCE 218.2m)
Interest Coverage Ratio = 5.92 (Ebit TTM 451.7m / Interest Expense TTM 76.3m)
FCF Yield = 3.07% (FCF TTM 238.0m / Enterprise Value 7.75b)
FCF Margin = 8.52% (FCF TTM 238.0m / Revenue TTM 2.79b)
Net Margin = 8.70% (Net Income TTM 242.8m / Revenue TTM 2.79b)
Gross Margin = 37.56% ((Revenue TTM 2.79b - Cost of Revenue TTM 1.74b) / Revenue TTM)
Gross Margin QoQ = 37.00% (prev 37.18%)
Tobins Q-Ratio = 1.59 (Enterprise Value 7.75b / Total Assets 4.87b)
Interest Expense / Debt = 1.61% (Interest Expense 23.6m / Debt 1.47b)
Taxrate = 21.31% (17.7m / 83.0m)
NOPAT = 355.4m (EBIT 451.7m * (1 - 21.31%))
Current Ratio = 1.99 (Total Current Assets 1.33b / Total Current Liabilities 669.1m)
Debt / Equity = 0.69 (Debt 1.47b / totalStockholderEquity, last quarter 2.12b)
Debt / EBITDA = 2.37 (Net Debt 1.25b / EBITDA 527.0m)
Debt / FCF = 5.25 (Net Debt 1.25b / FCF TTM 238.0m)
Total Stockholder Equity = 1.97b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.99% (Net Income 242.8m / Total Assets 4.87b)
RoE = 12.35% (Net Income TTM 242.8m / Total Stockholder Equity 1.97b)
RoCE = 13.69% (EBIT 451.7m / Capital Employed (Equity 1.97b + L.T.Debt 1.33b))
RoIC = 11.44% (NOPAT 355.4m / Invested Capital 3.11b)
WACC = 8.29% (E(6.50b)/V(7.97b) * Re(9.88%) + D(1.47b)/V(7.97b) * Rd(1.61%) * (1-Tc(0.21)))
Discount Rate = 9.88% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 0.53%
[DCF Debug] Terminal Value 74.85% ; FCFE base≈264.6m ; Y1≈310.4m ; Y5≈471.6m
Fair Price DCF = 96.99 (DCF Value 5.89b / Shares Outstanding 60.7m; 5y FCF grow 18.42% → 3.0% )
EPS Correlation: 87.21 | EPS CAGR: 8.68% | SUE: 1.67 | # QB: 1
Revenue Correlation: 36.34 | Revenue CAGR: 3.39% | SUE: 1.24 | # QB: 1
Additional Sources for ESAB Stock
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Fund Manager Positions: Dataroma | Stockcircle