Lincoln Electric Holdings
The 10-second takeaway
For the quarter ended June 30 (Q2), Lincoln Electric Holdings missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly. Non-GAAP earnings per share grew. GAAP earnings per share grew.
Margins grew across the board.
Lincoln Electric Holdings recorded revenue of $727.4 million. The nine analysts polled by S&P Capital IQ wanted to see revenue of $757.2 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.91. The nine earnings estimates compiled by S&P Capital IQ predicted $0.89 per share. Non-GAAP EPS of $0.91 for Q2 were 12% higher than the prior-year quarter's $0.81 per share. GAAP EPS of $0.87 for Q2 were 10% higher than the prior-year quarter's $0.79 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 33.0%, 260 basis points better than the prior-year quarter. Operating margin was 14.5%, 130 basis points better than the prior-year quarter. Net margin was 10.0%, 110 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $733.7 million. On the bottom line, the average EPS estimate is $0.86.
Next year's average estimate for revenue is $2.94 billion. The average EPS estimate is $3.50.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 384 members out of 391 rating the stock outperform, and seven members rating it underperform. Among 150 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 149 give Lincoln Electric Holdings a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Lincoln Electric Holdings is hold, with an average price target of $60.83.
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