ESAB Corporation (NYSE:ESAB) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

ESAB Corporation (NYSE:ESAB) has been given an average rating of “Moderate Buy” by the nine ratings firms that are currently covering the company, MarketBeat Ratings reports. Three equities research analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average twelve-month price target among brokers that have covered the stock in the last year is $141.50.

A number of research analysts recently commented on ESAB shares. JPMorgan Chase & Co. increased their price target on ESAB from $138.00 to $140.00 and gave the company an “overweight” rating in a report on Thursday, October 30th. Stifel Nicolaus increased their target price on ESAB from $141.00 to $143.00 and gave the company a “buy” rating in a research note on Tuesday, December 16th. Roth Capital began coverage on shares of ESAB in a research note on Friday, September 5th. They issued a “buy” rating and a $150.00 price target for the company. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of ESAB in a report on Monday, December 22nd. Finally, UBS Group increased their price objective on shares of ESAB from $147.00 to $149.00 and gave the company a “buy” rating in a research note on Monday, October 20th.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in ESAB. First Citizens Bank & Trust Co. boosted its position in shares of ESAB by 266.0% during the second quarter. First Citizens Bank & Trust Co. now owns 7,861 shares of the company’s stock worth $948,000 after buying an additional 5,713 shares during the period. Advantage Alpha Capital Partners LP increased its position in ESAB by 56.4% in the 2nd quarter. Advantage Alpha Capital Partners LP now owns 26,644 shares of the company’s stock valued at $3,212,000 after acquiring an additional 9,608 shares during the period. Daiwa Securities Group Inc. raised its stake in ESAB by 82.1% during the 2nd quarter. Daiwa Securities Group Inc. now owns 39,739 shares of the company’s stock valued at $4,791,000 after acquiring an additional 17,911 shares in the last quarter. Fifth Third Bancorp boosted its position in ESAB by 159.9% during the 2nd quarter. Fifth Third Bancorp now owns 3,667 shares of the company’s stock worth $442,000 after acquiring an additional 2,256 shares during the period. Finally, Champlain Investment Partners LLC boosted its position in ESAB by 5.9% during the 2nd quarter. Champlain Investment Partners LLC now owns 2,043,843 shares of the company’s stock worth $246,385,000 after acquiring an additional 114,744 shares during the period. Institutional investors and hedge funds own 91.13% of the company’s stock.

ESAB Price Performance

Shares of ESAB stock opened at $113.00 on Tuesday. The firm has a fifty day simple moving average of $113.41 and a 200-day simple moving average of $117.00. The company has a market capitalization of $6.86 billion, a PE ratio of 28.46, a price-to-earnings-growth ratio of 2.22 and a beta of 1.24. ESAB has a twelve month low of $100.17 and a twelve month high of $135.84. The company has a current ratio of 1.99, a quick ratio of 1.24 and a debt-to-equity ratio of 0.62.

ESAB (NYSE:ESAB) last issued its quarterly earnings data on Wednesday, October 29th. The company reported $1.32 EPS for the quarter, topping analysts’ consensus estimates of $1.27 by $0.05. The firm had revenue of $727.85 million for the quarter, compared to analyst estimates of $663.57 million. ESAB had a net margin of 8.70% and a return on equity of 15.93%. The firm’s revenue was up 8.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.25 EPS. ESAB has set its FY 2025 guidance at 5.200-5.30 EPS. Equities research analysts anticipate that ESAB will post 5.16 earnings per share for the current fiscal year.

ESAB Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, January 16th. Investors of record on Wednesday, December 31st will be issued a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Wednesday, December 31st. ESAB’s payout ratio is currently 10.08%.

About ESAB

ESAB Corporation is a global leader in welding, cutting and gas control technologies, offering a comprehensive portfolio of equipment, consumables and automation solutions. The company’s products include welding power sources, cutting machines, torches, electrodes, filler metals and gas regulating equipment designed to meet the needs of diverse industries. ESAB serves sectors such as construction, shipbuilding, automotive, energy, infrastructure and manufacturing, providing both standard and customized solutions to enhance productivity and quality in metal fabrication and processing.

Founded in 1904 by Swedish inventor Oscar Kjellberg, ESAB pioneered the development of coated welding electrodes, laying the groundwork for modern welding practices.