Lincoln Electric Holdings Inc (LECO) is overvalued and Snap-on Inc (SNA) is slightly undervalued.
Against our estimates of intrinsic value, SNA trades at the wider discount: a margin of safety of +17%, against -40% for LECO.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 10.3% (average of 3 methods) values the shares at $187.86; the price of $262.99 is 40% above that value, and 72% of that value comes from beyond year five.
Leak Score 59/100 on 3 of 12 signals
Discounting its cash flows at 8.9% (average of 3 methods) values the shares at $448.54; the price of $371.80 is 17% below that value, and 76% of that value comes from beyond year five.
Leak Score 77/100 on 9 of 12 signals
| Metric | LECO | SNA |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $262.99 | $371.80 |
| Intrinsic value | $187.86 | $448.54 |
| Margin of safety | -40% | +17% |
| Leak Score | 59/100 (3/12) | 77/100 (9/12) |
| Market cap | $14.3B | $19.2B |
| Revenue growth, 5 years | 9.8% | 5.5% |
| Operating margin | 17.6% | 25.4% |
| Net margin | 12.4% | 19.6% |
| Return on equity | 37.7% | 17.6% |
| Debt to equity | 0.80 | 0.22 |
| P/E | 26.3x | 19.0x |
| Forward P/E | 21.0x | 17.4x |
| P/B | 9.2x | 3.2x |
| Dividend yield | 1.2% | 2.7% |