ESAB Corporation (ESAB) P/E Ratio History
UndervaluedTrading at 18.1x vs 5Y avg 25.1x · 13th percentile · Below historical baseline · Data 2022–2026
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P/E Ratio Analysis
As of September 24, 2026, ESAB Corporation (ESAB) trades at a price-to-earnings ratio of 18.1x, with a stock price of $67.33 and trailing twelve-month earnings per share of $2.80.
The current P/E is 28% below its 5-year average of 25.1x. Over the past five years, ESAB's P/E has ranged from a low of 12.6x to a high of 34.0x, placing the current valuation at the 13th percentile of its historical range.
Compared to the Industrials sector median P/E of 26.2x, ESAB trades at a 31% discount to its sector peers. The sector includes 397 companies with P/E ratios ranging from 0.1x to 194.2x.
The PEG ratio of 2.49 (P/E divided by -14% EPS growth) suggests the stock may be expensive relative to its earnings growth. Peter Lynch popularized the rule that a PEG below 1.0 indicates an attractive entry point.
Relative to the broader market, ESAB trades at a notable discount to the S&P 500 median P/E of 25.3x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our ESAB DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
ESAB Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
ESAB P/E vs Peers
Fabrication, machining and tooling peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $79B | 26.1 | 2.71 | -10% | |
| $217B | 32.2 | 1.27 | +7% | |
| $10B | 636.1 | - | -92% | |
| $16B | 55.0 | 2.69 | +18% | |
| $13B | 16.8Lowest | 0.87Best | -1% | |
| $2B | 47.9 | 1.78 | +24% | |
| $4B | 54.7 | 1.28 | +281%Best | |
| $56B | 32.8 | 1.26 | -11% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
ESAB Historical P/E Data (2022–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q2 | Jul 03 2026 | $92.78 | $2.73 | 34.0x | +35% |
| FY2026 Q1 | Apr 03 2026 | $98.37 | $3.32 | 29.6x | +18% |
| FY2025 Q4 | Dec 31 2025 | $111.72 | $3.64 | 30.7x | +22% |
| FY2025 Q3 | Oct 03 2025 | $117.56 | $3.97 | 29.6x | +18% |
| FY2025 Q2 | Jul 04 2025 | $125.45 | $4.19 | 29.9x | +19% |
| FY2025 Q1 | Apr 04 2025 | $107.11 | $4.46 | 24.0x | -4% |
| FY2024 Q4 | - | $119.94 | $4.34 | 27.6x | +10% |
| FY2024 Q3 | Sep 27 2024 | $106.51 | $4.29 | 24.8x | -1% |
| FY2024 Q2 | Jun 28 2024 | $94.43 | $4.12 | 22.9x | -9% |
| FY2024 Q1 | Mar 29 2024 | $110.57 | $3.84 | 28.8x | +15% |
| FY2023 Q4 | Dec 31 2023 | $86.62 | $3.39 | 25.6x | +2% |
| FY2023 Q3 | Sep 29 2023 | $70.22 | $3.57 | 19.7x | -22% |
| FY2023 Q2 | Jun 30 2023 | $66.54 | $3.49 | 19.1x | -24% |
| FY2023 Q1 | Mar 31 2023 | $59.07 | $3.33 | 17.7x | -29% |
| FY2022 Q4 | Dec 31 2022 | $46.92 | $3.72 | 12.6x | -50% |
Average P/E for displayed period: 25.1x
ESAB Chart Terminal
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Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Historical Returns
4+ years return with dividends reinvested.
Peer Comparison
Compare growth, multiples, and margins vs sector.
ESAB — Frequently Asked Questions
Quick answers to the most common questions about buying ESAB stock.
What is ESAB's P/E ratio?
ESAB Corporation (ESAB) trailing twelve-month P/E ratio is 18.1x, based on TTM diluted EPS of $2.80. The 5-year average P/E is 25.1x and the historical range spans 12.6x to 34.0x.
Is ESAB stock overvalued or undervalued?
ESAB trades at 18.1x P/E, below its 5-year average of 25.1x. At the 13th percentile of its historical range (12.6x–34.0x), the stock is priced at a discount to its own history.
Is ESAB stock expensive?
No, ESAB is not expensive on a historical basis. The current P/E of 18.1x is below the 5-year average of 25.1x and sits at the 13th percentile of its valuation range.
What is ESAB's historical P/E range?
Over the past 5 years, ESAB's P/E ratio has ranged from 12.6x to 34.0x, with a median of 25.6x and an average of 25.1x. The current P/E of 18.1x places the stock at the 13th percentile of this range. Full historical data spans 2022–2026.
How does ESAB's P/E compare to the S&P 500?
ESAB trades at 18.1x P/E versus the S&P 500 median of 25.3x. The 28% discount to the market suggests lower growth expectations or perceived higher risk.
How does ESAB's valuation compare to Industrials peers?
ESAB Corporation P/E of 18.1x compares to the Industrials sector median of 26.2x. The discount suggests lower growth expectations, weaker margins, or higher perceived risk relative to peers. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is ESAB's PEG ratio?
ESAB PEG ratio is 2.49, based on a P/E of 18.1x and EPS growth of -13.7%. A PEG above 2.0 indicates a premium valuation relative to earnings growth — typically considered expensive.
What is ESAB's earnings yield?
ESAB earnings yield is 5.53%, the inverse of its 18.1x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.