Lincoln Electric (NASDAQ:LECO) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Monday.
According to Zacks, “Lincoln Electric expects mid to high-single digit organic revenue growth in 2018 on the back of continued acceleration in all of its major end markets. Earnings growth is likely to be augmented by a decrease in the company’s tax rate due to the recently enacted U.S. Tax Cuts and Jobs Act. Further, focus on commercializing innovative products and cost-cutting initiatives will drive growth. It will also benefit from consistent investment in welding automation. The acquisition of Air Liquide will enhance 2020 Vision and Strategy and enable Lincoln Electric to expand global footprint. The stock has outperformed the industry in the past three months. However, raw material inflation and higher year-over-year R&D spending will remain margins in 2018. Even though the company continues to announce new pricing actions, incremental margins could be choppy from quarter to quarter due to the timing of its response. “
Other research analysts also recently issued research reports about the stock. Barclays began coverage on shares of Lincoln Electric in a report on Tuesday, December 12th. They issued an “equal weight” rating and a $90.00 price target for the company. BidaskClub downgraded shares of Lincoln Electric from a “buy” rating to a “hold” rating in a report on Friday, February 9th. B. Riley set a $115.00 price target on shares of Lincoln Electric and gave the company a “buy” rating in a report on Thursday, February 15th. Seaport Global Securities reaffirmed a “buy” rating and issued a $110.00 price target on shares of Lincoln Electric in a report on Thursday, February 15th. Finally, UBS raised shares of Lincoln Electric from a “market perform” rating to an “outperform” rating in a report on Thursday, January 4th. Six equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. Lincoln Electric has a consensus rating of “Buy” and a consensus price target of $105.20.
Shares of Lincoln Electric stock traded down $0.05 during trading hours on Monday, hitting $93.26. 45,833 shares of the company were exchanged, compared to its average volume of 456,370. The company has a current ratio of 2.60, a quick ratio of 1.94 and a debt-to-equity ratio of 0.76. Lincoln Electric has a 1 year low of $81.85 and a 1 year high of $101.34. The company has a market cap of $6,125.29, a P/E ratio of 25.14, a price-to-earnings-growth ratio of 1.72 and a beta of 1.11.
Lincoln Electric (NASDAQ:LECO) last announced its quarterly earnings results on Wednesday, February 14th. The industrial products company reported $1.01 EPS for the quarter, beating the Zacks’ consensus estimate of $0.96 by $0.05. Lincoln Electric had a net margin of 9.43% and a return on equity of 28.76%. The firm had revenue of $747.19 million during the quarter, compared to the consensus estimate of $696.97 million. During the same quarter last year, the firm earned $0.81 EPS. The firm’s revenue for the quarter was up 32.5% compared to the same quarter last year. equities research analysts predict that Lincoln Electric will post 4.73 earnings per share for the current fiscal year.
Hedge funds and other institutional investors have recently made changes to their positions in the business. Delpha Capital Management LLC bought a new stake in Lincoln Electric in the fourth quarter worth about $143,000. We Are One Seven LLC bought a new stake in Lincoln Electric in the fourth quarter worth about $196,000. Elefante Mark B bought a new stake in Lincoln Electric in the fourth quarter worth about $211,000. Campbell & CO Investment Adviser LLC bought a new stake in Lincoln Electric in the third quarter worth about $219,000. Finally, Franklin Resources Inc. bought a new stake in Lincoln Electric in the fourth quarter worth about $226,000. 66.93% of the stock is owned by institutional investors and hedge funds.
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Lincoln Electric Company Profile
Lincoln Electric Holdings, Inc is a manufacturer of welding, cutting and brazing products. The Company operates through three segments: Americas Welding, International Welding and The Harris Products Group. The Americas Welding segment includes welding operations in North and South America. The International Welding segment primarily includes welding operations in Europe, Africa, Asia and Australia.
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