NASDAQ Shariah screener · October 2026
Is Lincoln Electric Holdings, Inc. (LECO) Halal?
Lincoln Electric Holdings, Inc. · NASDAQ: LECO · Industrials
The short answer
Yes - Lincoln Electric Holdings, Inc. (LECO) passes this Shariah stock screen at all three gates. Lincoln Electric, the Cleveland-based industrial machinery company founded in 1895 and the world's largest manufacturer of arc welding solutions, runs a pure manufacturing business (welding equipment, consumables, cutting systems, automation) with no haram segments. Its interest-bearing debt of $1,294.0 million is about 8.8% of its ~$14.68 billion market capitalisation ($269.40 per share, October 2, 2026) - well under the 33% ceiling - and interest income of $6.818 million is about 0.16% of FY2025 net sales ($4,233.0 million), far under the 5% ceiling. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.
Gate 1 — Business activity: PASS
Gate 1 — business activity: PASS. Lincoln Electric Holdings, Inc., founded in 1895 and headquartered in Cleveland, Ohio, describes itself as a high-performance industrial machinery and technology leader and the world's largest manufacturer of arc welding solutions, with manufacturing and automation facilities in 20 countries. Per its FY2025 Form 10-K (filed February 25, 2026), it sells arc welding equipment, filler metals (welding, brazing and soldering consumables), cutting systems (laser, plasma, oxyfuel), wire feeding systems, fume control equipment and robotic automation and system-integration solutions across three reportable segments: Americas Welding, International Welding and The Harris Products Group. End markets include general fabrication, energy (oil and gas, power generation, process), heavy industries, automotive and transportation, and structural construction.
There is no interest-based lending and no involvement in alcohol, gambling, tobacco, pork or adult entertainment. The 2025 bolt-on acquisition of Alloy Steel (~4% of assets) added ordinary welding-consumables capacity. The business passes gate 1.
Gate 2 — Debt and cash: PASS
Gate 2 — interest-bearing debt: PASS (8.8%, ceiling 33%). Per Lincoln Electric's FY2025 Form 10-K (filed February 25, 2026), total interest-bearing debt was $1,294.0 million at December 31, 2025: long-term debt less current portion of $1,150.2 million plus amounts due to banks of $143.8 million (outstanding borrowings under revolving credit facilities, which bear interest). There is no current portion of long-term debt. Operating lease liabilities of $53.5 million (Note 17) are stated separately and excluded — they are not interest-bearing debt.
$1,294.0 million of interest-bearing debt against a market capitalisation of about $14.68 billion (MarketBeat, October 2, 2026; Finnhub live price $269.40 the same day) is 8.8%, well under the 33% ceiling. Cash and cash equivalents of $308.8 million at December 31, 2025 represent about 2.1% of market cap.
Gate 3 — Non-compliant income: PASS
Gate 3 — non-compliant income: PASS (0.16%, ceiling 5%). Lincoln Electric's FY2025 Form 10-K separately discloses interest income in its segment reconciliation: $6.818 million in FY2025 (2024: $10.130 million; 2023: $6.762 million). Against FY2025 net sales of $4,233.0 million (consumables $2,283.1 million, equipment $1,079.6 million, automation $870.3 million), that is about 0.16% — far under the 5% ceiling.
Key figures used
- Business: world's largest manufacturer of arc welding solutions (founded 1895, HQ Cleveland, Ohio) - welding equipment, filler metals, cutting systems, wire feeding, fume control, robotic automation; facilities in 20 countries; segments: Americas Welding, International Welding, Harris Products Group
- Haram assessment: pure industrial manufacturing - no interest-based lending; no alcohol, gambling, tobacco, pork or adult entertainment; 2025 bolt-on acquisition (Alloy Steel) ordinary capacity
- Debt: $1,294.0M interest-bearing (long-term debt less current portion $1,150.2M + amounts due to banks $143.8M interest-bearing revolver borrowings, Dec 31, 2025) - 8.8% of ~$14.68B market cap ($269.40, Oct 2, 2026) - under the 33% ceiling; operating leases $53.5M excluded
- Cash: $308.8M cash and cash equivalents at Dec 31, 2025 (~2.1% of market cap)
- Interest income: $6.818M in FY2025 (segment reconciliation, in thousands) vs $4,233.0M net sales = 0.16% - far under the 5% ceiling (FY2024: $10.130M; FY2023: $6.762M)
- Market data: NASDAQ-listed (10-K cover: 'The NASDAQ Stock Market LLC'); still listed (confirmed October 2, 2026; live quotes, no delisting); Q2 2026 10-Q filed July 30, 2026; next earnings October 22, 2026
- Third-party: Zoya publishes a LECO page (confirms 0.16% interest income) but its rating field renders blank - no rating honestly readable; no verifiable Musaffa or ShariaPortfolio rating found
Frequently asked questions
What does Lincoln Electric do?
Lincoln Electric Holdings, Inc. (NASDAQ: LECO), founded in 1895 and headquartered in Cleveland, Ohio, describes itself as a high-performance industrial machinery and technology leader and the world's largest manufacturer of arc welding solutions, with manufacturing and automation facilities in 20 countries. It sells arc welding equipment, filler metals (welding, brazing and soldering consumables), cutting systems (laser, plasma, oxyfuel), wire feeding systems, fume control equipment and robotic automation and system-integration solutions. It reports three segments - Americas Welding, International Welding and The Harris Products Group - and serves end markets including general fabrication, energy (oil and gas, power generation, process), heavy industries, automotive and transportation, and structural construction.
Is Lincoln Electric's business Shariah compliant?
Lincoln Electric is a pure industrial manufacturer - arc welding equipment, consumables, cutting systems and automation - with no interest-based lending and no involvement in alcohol, gambling, tobacco, pork or adult entertainment. Nothing in its FY2025 Form 10-K indicates a haram business line, so the business passes this screen's first gate.
How much interest-bearing debt does Lincoln Electric have?
Lincoln Electric's FY2025 Form 10-K (filed February 25, 2026) reports total interest-bearing debt of $1,294.0 million at December 31, 2025: long-term debt less current portion of $1,150.2 million plus amounts due to banks of $143.8 million (outstanding borrowings under revolving credit facilities, which bear interest). There is no current portion of long-term debt. Operating lease liabilities of $53.5 million (Note 17) are stated separately and excluded - they are not interest-bearing debt. $1,294.0 million against a market capitalisation of about $14.68 billion (MarketBeat, October 2, 2026; Finnhub live price $269.40 the same day) is 8.8%, well under the 33% ceiling.
How much interest income does Lincoln Electric earn?
Lincoln Electric's FY2025 Form 10-K separately discloses interest income in its segment reconciliation: $6.818 million in FY2025 (2024: $10.130 million; 2023: $6.762 million). Against FY2025 net sales of $4,233.0 million, that is about 0.16% - far under the 5% ceiling. Cash and cash equivalents of $308.8 million at December 31, 2025 represent about 2.1% of market cap.
What do third-party Shariah screeners say about Lincoln Electric?
Zoya publishes a LECO page (it confirms FY2025 interest income of $6,818,000, about 0.16% of revenue), but the page renders with a blank date field so no PASS/FAIL rating can honestly be read from it. I could not verify a Musaffa rating page for LECO or a ShariaPortfolio rating from public sources. Third-party screeners apply different assumptions and update on different schedules, and their results can change when new financial statements are published - always check the latest screening before investing.
Sources
- Lincoln Electric Holdings, Inc. FY2025 Form 10-K (filed February 25, 2026; cover: 'The NASDAQ Stock Market LLC'; $ thousands): business and segments; total debt $1,294,008K (long-term $1,150,228K + amounts due to banks $143,780K); operating lease liabilities $53,521K (Note 17); interest income $6,818K (segment reconciliation); net sales $4,233,003K
- Lincoln Electric Q2 2026 Form 10-Q (filed July 30, 2026)
- Finnhub - Lincoln Electric Holdings live market data (NASDAQ, $269.40, October 2, 2026)
- MarketBeat - Lincoln Electric market cap ~$14.68B (October 2, 2026)
- Zoya - Lincoln Electric (LECO) Shariah compliance page (interest income $6,818,000; rating field blank)
Screened 2026-10-02 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.
Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).