1-Star Price
INVESTOR
5-Star Price
INVESTOR
Economic Moat
INVESTOR
Capital Allocation
INVESTOR
We are raising our fair value estimate for narrow-moat-rated Lincoln Electric to $159 from $156 after the company reported solid first-quarter results, as the firm's sales of $1,039 million beat our $1,029 million estimate. The fair value increase reflects our slightly more optimistic near-term revenue growth projections as well as time value of money. We view the name as fairly valued at current levels, with shares trading in 3-star territory.
Lincoln Electric is a leading manufacturer of welding, cutting, and brazing products. The firm’s portfolio of products includes arc-welding solutions, plasma and oxy-fuel cutting systems, and brazing and soldering alloys, as well as automation solutions. Lincoln Electric serves clients in the general fabrication, heavy industries, automotive, construction, shipbuilding, energy and process industries, among other end markets. Based in Cleveland, Ohio, Lincoln Electric has operations in 19 countries and has 11,000 employees worldwide. The company generated roughly $3.8 billion in sales in 2022.
Morningstar analysts hand-select direct competitors or comparable companies to provide context on the strength and durability of LECO’s competitive advantage.
Lincoln Electric Holdings Inc
XNAS: LECO
| ITT Inc
XNYS: ITT
| Illinois Tool Works Inc
XNYS: ITW
| ESAB Corp
XNYS: ESAB
| |
Price
| 181.80 | 82.93 | 229.18 | 63.08 |
Currency
| USD | USD | USD | USD |
Change
| +$6.55 (3.74%) | +$4.44 (5.66%) | +$7.20 (3.24%) | +$2.46 (4.06%) |
Market Cap
| 10.47 Bil | 6.83 Bil | 69.65 Bil | 3.80 Bil |
Industry
| Tools & Accessories | Specialty Industrial Machinery | Specialty Industrial Machinery | Metal Fabrication |
Sector
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Industrials
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Industrials
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Industrials
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Industrials
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* Trading data in this section is delayed by at least 15 minutes.
Yes. LECO has a forward dividend yield of 1.41%.
See
LECO’s full dividends and stock split history
on the Dividend tab.
Dividend yield allows investors, particularly those interested in dividend-paying stocks,
to compare the relationship between a stock’s price and how it rewards stockholders through dividends.
The formula for calculating dividend yield is to divide the annual dividend paid per share by the stock price.
Learn more about dividend yield.
LECO’s market cap is 10.47 Bil.
Market capitalization is calculated by taking a company’s share price and multiplying it by the total number of shares.
It’s often used to measure a company’s size. In the Morningstar Style Box, large-cap names account for the
largest 70% of U.S. stocks, mid-cap names account for the largest 70–90%, and small-cap names are the remaining 10% of companies.
Learn more about market capitalization.
LECO’s stock style is Mid Growth.
Style is an investment factor that has a meaningful impact on investment risk and returns.
Style is calculated by combining value and growth scores, which are first individually calculated.
High-growth stocks tend to represent the technology, healthcare, and communications sectors. They rarely distribute dividends to shareholders, opting for reinvestment in their businesses. More value-oriented stocks tend to represent financial services, utilities, and energy stocks. These are established companies that reliably pay dividends.
Learn more about style.
LECO’s price/sales is 2.75.
Price/sales represents the amount an investor is willing to pay for a dollar generated from
a particular company’s sales or revenues.
LECO’s price/forward earnings is 22.70.
Forward P/E gives some indication of how cheap or expensive a stock is compared with consensus earnings estimates.
The lower the Forward P/E, the cheaper the stock.
LECO’s price/book is 9.30.
Price/book ratio can tell investors approximately how much they’re paying for a company’s assets,
based on historical, rather than current, valuations. Historical valuations generally do not reflect
a company’s current market value. Value investors frequently look for companies that have low price/book ratios.
See LECO’s valuation ratios compared to the Market Index.
LECO’s beta can be found in Trading Information at the top of this page.
A stock’s beta measures how closely tied its price movements have been to the performance of the overall market.
Compare LECO’s historical performance against its industry peers and the overall market.
