Lincoln Electric Holdings
Market Cap
US$5.0b
Last Updated
2019/08/24 23:42 UTC
Data Sources
Company Financials +
Executive Summary
Lincoln Electric Holdings, Inc., through its subsidiaries, designs, manufactures, and sells welding, cutting, and brazing products worldwide.
Snowflake
Fundamentals
Solid track record established dividend payer.
Similar Companies
Share Price & News
How has Lincoln Electric Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-1.5%
NasdaqGS:LECO
-2.5%
US Machinery
-1.6%
US Market
1 Year Return
-12.3%
NasdaqGS:LECO
-9.9%
US Machinery
-3.0%
US Market
LECO underperformed the Machinery industry which returned -9.9% over the past year.
LECO underperformed the Market in United States of America which returned -3% over the past year.
Share holder returns
| LECO | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.5% | -2.5% | -1.6% |
| 30 Day | -7.4% | -11.7% | -5.7% |
| 90 Day | 4.7% | -4.2% | 0.2% |
| 1 Year | -10.4%-12.3% | -8.0%-9.9% | -0.8%-3.0% |
| 3 Year | 34.4%27.1% | 32.5%23.9% | 38.1%29.1% |
| 5 Year | 25.5%14.0% | 32.8%16.3% | 50.8%34.1% |
Price Volatility Vs. Market
How volatile is Lincoln Electric Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Can Lincoln Electric Holdings, Inc. (NASDAQ:LECO) Maintain Its Strong Returns?1 week ago | Simply Wall St
Why Lincoln Electric Holdings, Inc. (NASDAQ:LECO) Should Be In Your Dividend Portfolio2 weeks ago | Simply Wall St
Is Lincoln Electric Holdings, Inc. (NASDAQ:LECO) Potentially Undervalued?Valuation
Is Lincoln Electric Holdings undervalued based on future cash flows and its price relative to the stock market?
11%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Lincoln Electric Holdings's share price is below the future cash flow value, but not at a moderate discount (< 20%).
Lincoln Electric Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).
Price Based on Earnings
Lincoln Electric Holdings is good value based on earnings compared to the US Machinery industry average.
Lincoln Electric Holdings is good value based on earnings compared to the United States of America market.
Price Based on Expected Growth
Lincoln Electric Holdings is poor value based on expected growth next year.
Price Based on Value of Assets
Lincoln Electric Holdings is overvalued based on assets compared to the US Machinery industry average.
Next Steps
Future Growth
How is Lincoln Electric Holdings expected to perform in the next 1 to 3 years based on estimates from 10 analysts?
5.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Lincoln Electric Holdings's revenue is expected to grow by 2.2% yearly, however this is not considered high growth (20% yearly).
Lincoln Electric Holdings's earnings are expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).
Lincoln Electric Holdings's revenue growth is positive but not above the United States of America market average.
Lincoln Electric Holdings's earnings growth is positive but not above the United States of America market average.
Lincoln Electric Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Earnings per Share Growth Estimates
Future Return on Equity
Unable to establish if Lincoln Electric Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Next Steps
Past Performance
How has Lincoln Electric Holdings performed over the past 5 years?
5.2%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Lincoln Electric Holdings's year on year earnings growth rate has been positive over the past 5 years.
Lincoln Electric Holdings's 1-year earnings growth exceeds its 5-year average (20.9% vs 5.2%)
Lincoln Electric Holdings's earnings growth has exceeded the US Machinery industry average in the past year (20.9% vs 17.5%).
Return on Equity
Lincoln Electric Holdings has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
Return on Assets
Lincoln Electric Holdings used its assets more efficiently than the US Machinery industry average last year based on Return on Assets.
Return on Capital Employed
Lincoln Electric Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Next Steps
Financial Health
How is Lincoln Electric Holdings's financial position?
Financial Position Analysis
Lincoln Electric Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Lincoln Electric Holdings's cash and other short term assets cover its long term commitments.
Debt to Equity History and Analysis
Lincoln Electric Holdings's level of debt (87.7%) compared to net worth is high (greater than 40%).
The level of debt compared to net worth has increased over the past 5 years (0.6% vs 87.7% today).
Debt is well covered by operating cash flow (48.2%, greater than 20% of total debt).
Interest payments on debt are well covered by earnings (EBIT is 20.1x coverage).
Balance Sheet
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 1.5x debt.
Next Steps
Dividend
What is Lincoln Electric Holdings's current dividend yield, its reliability and sustainability?
2.38%
Expected Dividend Yield
Upcoming Dividend Payment
Purchase Lincoln Electric Holdings before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield and Payments Analysis
Lincoln Electric Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.52%).
Lincoln Electric Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.93%).
Dividends per share have been stable in the past 10 years.
Dividends per share have increased over the past 10 years.
Current Payout to Shareholders
Dividends paid are well covered by earnings (2.7x coverage).
Future Payout to Shareholders
Dividends after 3 years are expected to be well covered by earnings (3.2x coverage).
Next Steps
Management
What is the CEO of Lincoln Electric Holdings's salary, the management and board of directors tenure and is there insider trading?
4.6yrs
Average management tenure
CEO
Chris Mapes (57yo)
6.7yrs
Tenure
US$6,813,960
Compensation
Mr. Christopher L. Mapes, also known as Chris, serves as the Chairman, Chief Executive Officer and President of The Lincoln Electric Company. Mr. Mapes has been the Chairman of Lincoln Electric Holdings In ...
CEO Compensation Analysis
Chris's remuneration is about average for companies of similar size in United States of America.
Chris's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
4.6yrs
Average Tenure
52yo
Average Age
The tenure for the Lincoln Electric Holdings management team is about average.
Board Age and Tenure
9.3yrs
Average Tenure
66.5yo
Average Age
The tenure for the Lincoln Electric Holdings board of directors is about average.
Insider Trading
No 3 month open market individual insider trading information.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 2,531 |
| Max Price | US$84.23 |
| Entity | Individual |
| Shares | 792 |
| Max Price | US$87.54 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 3,140 |
| Max Price | US$94.10 |
Ownership Breakdown
Management Team
Anthony Battle
Chief Compliance Officer & Senior VP of Internal Audit
- Tenure: 4.6yrs
Chris Mapes (57yo)
Chairman
- Tenure: 6.7yrs
- Compensation: US$6.81m
Vince Petrella (59yo)
Executive VP
- Tenure: 13.8yrs
- Compensation: US$2.31m
Gabe Bruno (51yo)
Principal Accounting Officer
- Tenure: 0.3yrs
Michele Kuhrt (52yo)
Executive VP & Chief Human Resources Officer
- Tenure: 0.5yrs
George Blankenship (56yo)
Executive VP & President of Americas Welding
- Tenure: 13.8yrs
- Compensation: US$2.08m
Steve Hedlund (52yo)
Executive VP & President of International Welding
- Tenure: 4.6yrs
- Compensation: US$1.89m
Amanda Butler
Vice President of Investor Relations & Communications
- Tenure: 6.4yrs
Tom Matthews
Senior Vice President of Technology and Research & Development
- Tenure: 0.0yrs
Jennifer Ansberry (45yo)
Executive VP
- Tenure: 2.3yrs
- Compensation: US$1.50m
Board Members
William MacDonald (72yo)
Independent Director
- Tenure: 12.6yrs
- Compensation: US$217.95k
Steven Hanks (68yo)
Independent Director
- Tenure: 13.1yrs
- Compensation: US$216.95k
G. Lincoln (72yo)
Independent Director
- Tenure: 30.6yrs
- Compensation: US$204.95k
Kathryn Lincoln (64yo)
Independent Director
- Tenure: 24.6yrs
- Compensation: US$214.95k
Hellene Runtagh (71yo)
Independent Director
- Tenure: 18.6yrs
- Compensation: US$204.95k
Curt Espeland (54yo)
Lead Director
- Tenure: 1.3yrs
- Compensation: US$240.46k
Chris Mapes (57yo)
Chairman
- Tenure: 6.7yrs
- Compensation: US$6.81m
Phillip Mason (69yo)
Independent Director
- Tenure: 6.1yrs
- Compensation: US$207.45k
Mike Hilton (65yo)
Independent Director
- Tenure: 4.1yrs
- Compensation: US$204.95k
Ben Patel (51yo)
Director
- Tenure: 1.5yrs
- Compensation: US$294.56k
Company Information
Lincoln Electric Holdings, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Lincoln Electric Holdings, Inc.
- Ticker: LECO
- Exchange: NasdaqGS
- Founded: 1895
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: US$5.008b
- Shares outstanding: 61.78m
- Website: https://www.lincolnelectric.com
Number of Employees
Location
- Lincoln Electric Holdings, Inc.
- 22801 St. Clair Avenue
- Cleveland
- Ohio
- 44117
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LECO | NasdaqGS (Nasdaq Global Select) | Yes | Common Shares | US | USD | Jan 1975 |
| LNE | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jan 1975 |
Biography
Lincoln Electric Holdings, Inc., through its subsidiaries, designs, manufactures, and sells welding, cutting, and brazing products worldwide. It operates through three segments: Americas Welding, Internati ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/24 23:42 |
| End of Day Share Price | 2019/08/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.