As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q2. Today, we are looking at professional tools and equipment stocks, starting with ESAB (NYSE: ESAB).

Automation that increases efficiency and connected equipment that collects analyzable data have been trending, creating new demand. Some professional tools and equipment companies also provide software to accompany measurement or automated machinery, adding a stream of recurring revenues to their businesses. On the other hand, professional tools and equipment companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.

The 8 professional tools and equipment stocks we track reported a very strong Q2. As a group, revenues beat analysts’ consensus estimates by 1.8% while next quarter’s revenue guidance was 14.3% above.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

ESAB (NYSE: ESAB)

Having played a significant role in the construction of the iconic Sydney Opera House, ESAB (NYSE: ESAB) manufactures and sells welding and cutting equipment for numerous industries.

ESAB reported revenues of $807.6 million, up 12.9% year on year. This print exceeded analysts’ expectations by 2.6%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ organic revenue and EBITDA estimates.

Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 6.9% since reporting and currently trades at $86.07.

Is now the time to buy ESAB? Access our full analysis of the earnings results here, it’s free.

Best Q2: Kennametal (NYSE: KMT)

Involved in manufacturing hard tips of anti-tank projectiles in World War II, Kennametal (NYSE: KMT) is a provider of industrial materials and tools for various sectors.

Kennametal reported revenues of $736.6 million, up 42.6% year on year, outperforming analysts’ expectations by 1.3%. The business had a stunning quarter with EPS guidance for next quarter exceeding analysts’ expectations and a beat of analysts’ EPS estimates.

Kennametal achieved the fastest revenue growth and highest full-year guidance raise among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 14.7% since reporting. It currently trades at $30.78.

Is now the time to buy Kennametal? Access our full analysis of the earnings results here, it’s free.

Weakest Q2: Lincoln Electric (NASDAQ: LECO)

Headquartered in Ohio, Lincoln Electric (NASDAQ: LECO) manufactures and sells welding equipment for various industries.

Lincoln Electric reported revenues of $1.22 billion, up 12% year on year, exceeding analysts’ expectations by 4.6%. Still, it was a mixed quarter as it posted a significant miss of analysts’ organic revenue estimates.

Interestingly, the stock is up 11.2% since the results and currently trades at $286.97.

Read our full analysis of Lincoln Electric’s results here.

Fortive (NYSE: FTV)

Taking its name from the Latin root of "strong", Fortive (NYSE: FTV) manufactures products and develops industrial software for numerous industries.

Fortive reported revenues of $1.10 billion, up 7.9% year on year. This number surpassed analysts’ expectations by 2.5%. It was a strong quarter as it also put up a decent beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.

The stock is down 4% since reporting and currently trades at $61.53.

Read our full, actionable report on Fortive here, it’s free.

Hillman (NASDAQ: HLMN)

Established when Max Hillman purchased a franchise operation, Hillman (NASDAQ: HLMN) designs, manufactures, and sells industrial equipment and systems for various sectors.

Hillman reported revenues of $442.3 million, up 9.8% year on year. This print beat analysts’ expectations by 1.3%. Overall, it was a very strong quarter as it also produced full-year revenue guidance beating analysts’ expectations and full-year EBITDA guidance beating analysts’ expectations.

Hillman had the weakest full-year guidance update of the whole group. The stock is up 7.2% since reporting and currently trades at $8.91.

Read our full, actionable report on Hillman here, it’s free.

Market Update

Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership.

Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products.

By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals.

Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.