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ESAB vs GE

ESAB
ESAB Corporation
NEUTRAL
Price
$101.28
Market Cap
$6.17B
Sector
Industrials
AI Confidence
85%
GE
GE Aerospace
NEUTRAL
Price
$303.60
Market Cap
$320.24B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
ESAB
24.7
GE
37.71
Forward P/E
ESAB
15.79
GE
35.2
P/B Ratio
ESAB
2.84
GE
17.05
P/S Ratio
ESAB
2.17
GE
6.98
EV/EBITDA
ESAB
13.35
GE
30.66

Profitability

Gross Margin
ESAB
36.88%
GE
31.5%
Operating Margin
ESAB
16.8%
GE
19.55%
Profit Margin
ESAB
7.98%
GE
18.98%
ROE
ESAB
12.89%
GE
44.69%
ROA
ESAB
6.63%
GE
4.68%

Growth

Revenue Growth
ESAB
7.5%
GE
17.6%
Earnings Growth
ESAB
-31.6%
GE
37.4%

Financial Health

Debt/Equity
ESAB
0.61
GE
1.14
Current Ratio
ESAB
1.9
GE
1.04
Quick Ratio
ESAB
0.96
GE
0.69

Dividends

Dividend Yield
ESAB
0.39%
GE
0.62%
Payout Ratio
ESAB
9.27%
GE
17.89%

AI Verdict

ESAB NEUTRAL

ESAB exhibits strong operational health with a Piotroski F-Score of 7/9 and a healthy balance sheet (Debt/Equity 0.61), yet it faces a significant valuation disconnect. While the company has a remarkable track record of beating earnings estimates for 16 consecutive quarters, the current price of $101.28 trades at a substantial premium to its Graham Number ($57.36) and Intrinsic Value ($28.70). The outlook is conflicted: analysts maintain a 'strong_buy' with a target of $136.56, but technical trends are bearish (0/100) and YoY earnings growth has plummeted by 31.6%.

Strengths
Strong Piotroski F-Score (7/9) indicating high financial health
Exceptional earnings track record with 16 consecutive quarters of beats
Conservative leverage with a Debt/Equity ratio of 0.61 and Current Ratio of 1.90
Risks
Severe valuation premium relative to Graham and Intrinsic value formulas
Sharp decline in YoY earnings growth (-31.60%)
High exposure to cyclical industrial capital spending in developed markets
GE NEUTRAL

GE Aerospace exhibits a stark divergence between its operational growth and its deterministic financial health, highlighted by a weak Piotroski F-Score of 3/9. While the company delivers impressive earnings growth (37.4% YoY) and high ROE (44.69%), it trades at a significant premium to both its Graham Number ($56.79) and Intrinsic Value ($237.48). The valuation is stretched with a PEG ratio of 5.24, suggesting that current price levels have priced in aggressive future success. Despite strong analyst 'strong_buy' recommendations, the combination of poor deterministic health and bearish insider activity warrants a cautious approach.

Strengths
Exceptional Return on Equity (ROE) of 44.69%
Strong earnings track record with consistent beats and high average surprise (25.12%)
Robust revenue growth (17.6% YoY) and earnings growth (37.4% YoY)
Risks
Weak deterministic health indicated by a Piotroski F-Score of 3/9
Extreme valuation metrics, specifically a PEG ratio of 5.24 and P/B of 17.05
Tight liquidity position with a Quick Ratio of 0.69

Compare Another Pair

ESAB vs GE: Head-to-Head Comparison

This page compares ESAB Corporation (ESAB) and GE Aerospace (GE) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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