Sifting through countless of stocks in the Machinery industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Illinois Tool Works Inc., Lincoln Electric Holdings or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Illinois Tool Works Inc., Lincoln Electric Holdings and Inc.

Illinois Tool Works Inc. provides industrial products and equipment in North America, Europe, the Middle East, Africa, the Asia Pacific, and South America. It operates through seven segments: Automotive OEM; Food Equipment; Test & Measurement and Electronics; Welding; Polymers & Fluids; Construction Products; and Specialty Products. The Automotive OEM segment offers plastic and metal components, fasteners, and assemblies for automobiles, light trucks, and other industrial uses. The Food Equipment segment provides warewashing, cooking, refrigeration, and food processing equipment; kitchen exhaust, ventilation, and pollution control systems; and food equipment maintenance and repair services. The Test & Measurement and Electronics segment produce and sells test and measurement; and electronic manufacturing and maintenance, repair, and operations solutions. The Welding segment produces arc welding equipment, and metal arc welding consumables and related accessories. The Polymers & Fluids segment produces adhesives, sealants, lubrication and cutting fluids, and fluids and polymers for auto aftermarket maintenance and appearance. The Construction Products segment offers engineered fastening systems and solutions for the residential construction, renovation/remodel, and commercial construction markets. The Specialty Products segment provides beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners. The company serves automotive OEM and aftermarket, commercial food equipment, construction, general industrial, industrial capital goods, consumer durables, and other markets, as well as MRO markets. It distributes its products directly to industrial manufacturers, as well as through independent distributors. Illinois Tool Works Inc. was founded in 1912 and is based in Glenview, Illinois.

Lincoln Electric Holdings, Inc., through its subsidiaries, designs, develops, manufactures, and sells welding, cutting, and brazing products in the United States and internationally. It operates in three segments: Americas Welding, International Welding, and The Harris Products Group. The company offers brazing and soldering filler metals, arc welding equipment, plasma and oxyfuel cutting systems, wire feeding systems, fume control equipment, welding accessories, specialty gas regulators, and education solutions; and a portfolio of automated solutions and system integration services for joining, cutting, material handling, module assembly, and end of line testing, as well as involved in brazing and soldering alloys, and in the retail business. It also provides mobile power solutions, including vehicle-mounted compressors, generators, welders, hydraulics, charger/boosters, and electrified power equipment; automated welding system and solutions; and specialty welding consumables, wear plates, and maintenance and repair services for alloy and wear-resistant products, as well as develops and integrates autonomous guided vehicles and mobile robots, custom assembly and test systems, and proprietary manufacturing execution system software. The company serves general fabrication, oil and gas, power generation, process, automotive and transportation, and construction and infrastructure industries, as well as heavy fabrication, ship building, and maintenance and repair markets. It sells its products directly to users of welding products, including OEMs, manufacturers, and integrators, as well as through industrial distributors, retailers, and agents. Lincoln Electric Holdings, Inc. was founded in 1895 and is headquartered in Cleveland, Ohio.

Latest Machinery and Illinois Tool Works Inc., Lincoln Electric Holdings, Inc. Stock News

As of July 2, 2026, Illinois Tool Works Inc. had a $78.5 billion market capitalization, compared to the Machinery median of $4.0 million. Illinois Tool Works Inc.’s stock is up 10.7% in 2026, up 0.8% in the previous five trading days and up 6.89% in the past year.

Currently, Illinois Tool Works Inc.’s price-earnings ratio is 25.3. Illinois Tool Works Inc.’s trailing 12-month revenue is $16.2 billion with a 19.3% net profit margin. Year-over-year quarterly sales growth most recently was 4.6%. Analysts expect adjusted earnings to reach $11.339 per share for the current fiscal year. Illinois Tool Works Inc. currently has a 2.4% dividend yield.

As of July 2, 2026, Lincoln Electric Holdings, Inc. had a $14.2 billion market cap, putting it in the 82nd percentile of all stocks. Lincoln Electric Holdings, Inc.’s stock is up 7.8% in 2026, down 5.6% in the previous five trading days and up 22.93% in the past year.

Currently, Lincoln Electric Holdings, Inc.’s price-earnings ratio is 26.7. Lincoln Electric Holdings, Inc.’s trailing 12-month revenue is $4.4 billion with a 12.4% net profit margin. Year-over-year quarterly sales growth most recently was 11.6%. Analysts expect adjusted earnings to reach $10.922 per share for the current fiscal year. Lincoln Electric Holdings, Inc. currently has a 1.2% dividend yield.

How We Compare Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Illinois Tool Works Inc., Lincoln Electric Holdings and Inc.’s stock grades to see how they measure up against one another.

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Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. Growth Grades

Company	Ticker	Growth
Illinois Tool Works Inc.	ITW	B
Lincoln Electric Holdings, Inc.	LECO	A

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Illinois Tool Works Inc. has a Growth Score of 73, which is Strong. Lincoln Electric Holdings, Inc. has a Growth Score of 95, which is Very Strong.

The Growth Grade Winner: Lincoln Electric Holdings, Inc.

As you can clearly see from the Growth Grade breakdown above, Lincoln Electric Holdings, Inc. has a more attractive growth grade than Illinois Tool Works Inc.. For investors who focus solely on how a company is growing relative to other companies in the same industry, Lincoln Electric Holdings, Inc. could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Illinois Tool Works Inc., Lincoln Electric Holdings and Inc.’s Quality Grades

Company	Ticker	Quality
Illinois Tool Works Inc.	ITW	A
Lincoln Electric Holdings, Inc.	LECO	A

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

Illinois Tool Works Inc. has a Quality Score of 95, which is Very Strong. Lincoln Electric Holdings, Inc. has a Quality Score of 96, which is Very Strong.

The Quality Grade Winner: It’s a Tie!

Looking at the Quality Grade breakdown above, both Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. have a grade of A. For investors who focus solely on a company’s overall quality, you will need to conduct further research into both companies to see if they are a good fit for your portfolio. As a good rule of thumb, you should always analyze multiple factors based on a wide range of metrics before choosing a company to invest in.

Illinois Tool Works Inc., Lincoln Electric Holdings and Inc.’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
Illinois Tool Works Inc.	ITW	C
Lincoln Electric Holdings, Inc.	LECO	C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Illinois Tool Works Inc. has a Earnings Estimate Score of 54, which is Neutral. Lincoln Electric Holdings, Inc. has a Earnings Estimate Score of 47, which is Neutral.

The Earnings Estimate Revisions Stock Winner: No Clear Winner

Neither Illinois Tool Works Inc., Lincoln Electric Holdings or Inc. has an Earnings Estimate Revisions Grade that could be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Illinois Tool Works Inc., Lincoln Electric Holdings or Inc. is the better investment when it comes to estimate revisions.

Other Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. Grades

In addition to Quality, Estimate Revisions and Growth, A+ Investor also provides grades for Value and Momentum.

Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Illinois Tool Works Inc., Lincoln Electric Holdings and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Illinois Tool Works Inc., Lincoln Electric Holdings or Inc. Stock?

Overall, Illinois Tool Works Inc. stock has a Growth Score of 73, Estimate Revisions Score of 54 and Quality Score of 95.

Lincoln Electric Holdings, Inc. stock has a Growth Score of 95, Estimate Revisions Score of 47 and Quality Score of 96.

Comparing Illinois Tool Works Inc., Lincoln Electric Holdings and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.