HLIO vs ESAB

For growth investors, Helios Technologies, Inc.

(HLIO) is the stronger pick with 4. 1% revenue growth year-over-year, versus 3. 7% for ESAB Corporation (ESAB). ESAB Corporation (ESAB) offers the better valuation at 27. 5x trailing P/E (17. 7x forward), making it the more compelling value choice. Analysts rate Helios Technologies, Inc. (HLIO) a "Buy" — based on 12 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, ESAB Corporation (ESAB) is the cheapest at 27.

5x versus Helios Technologies, Inc. at 46. 9x. On forward P/E, ESAB Corporation is actually cheaper at 17. 7x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Helios Technologies, Inc. wins at 1. 00x versus ESAB Corporation's 2. 44x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, ESAB Corporation (ESAB) delivered a total return of +107.

2%, compared to -8. 1% for Helios Technologies, Inc. (HLIO). Over 10 years, the gap is even starker: HLIO returned +109. 8% versus ESAB's +107. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), ESAB Corporation (ESAB) is the lower-risk stock at 1.

24β versus Helios Technologies, Inc. 's 1. 56β — meaning HLIO is approximately 25% more volatile than ESAB relative to the S&P 500. On balance sheet safety, Helios Technologies, Inc. (HLIO) carries a lower debt/equity ratio of 12% versus 65% for ESAB Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Helios Technologies, Inc.

(HLIO) is pulling ahead at 4. 1% versus 3. 7% for ESAB Corporation (ESAB). On earnings-per-share growth, the picture is similar: Helios Technologies, Inc. grew EPS 23. 9% year-over-year, compared to -13. 7% for ESAB Corporation. Over a 3-year CAGR, ESAB leads at 3. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

ESAB Corporation (ESAB) is the more profitable company, earning 8.

0% net margin versus 5. 8% for Helios Technologies, Inc. — meaning it keeps 8. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ESAB leads at 17. 3% versus 7. 9% for HLIO. At the gross margin level — before operating expenses — ESAB leads at 35. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Helios Technologies, Inc. (HLIO) is the more undervalued stock at a PEG of 1. 00x versus ESAB Corporation's 2. 44x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, ESAB Corporation (ESAB) trades at 17. 7x forward P/E versus 26. 9x for Helios Technologies, Inc. — 9. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ESAB: 43. 2% to $146. 67.

All stocks in this comparison pay dividends.

Helios Technologies, Inc. (HLIO) offers the highest yield at 0. 5%, versus 0. 4% for ESAB Corporation (ESAB).

For long-horizon retirement investors, Helios Technologies, Inc.

(HLIO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (0. 5% yield, +109. 8% 10Y return). Both have compounded well over 10 years (HLIO: +109. 8%, ESAB: +107. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

HLIO pays a dividend while ESAB does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.