Lincoln Electric Holdings
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Lincoln Electric Holdings met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank slightly and GAAP earnings per share grew.
Margins grew across the board.
Lincoln Electric Holdings tallied revenue of $684.6 million. The seven analysts polled by S&P Capital IQ predicted sales of $689.9 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 $0.79. The eight earnings estimates compiled by S&P Capital IQ anticipated $0.74 per share. GAAP EPS of $0.74 for Q4 were 8.8% higher than the prior-year quarter's $0.68 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 31.1%, 310 basis points better than the prior-year quarter. Operating margin was 13.3%, 140 basis points better than the prior-year quarter. Net margin was 9.1%, 80 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $751.6 million. On the bottom line, the average EPS estimate is $0.80.
Next year's average estimate for revenue is $3.02 billion. The average EPS estimate is $3.33.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 376 members out of 384 rating the stock outperform, and eight members rating it underperform. Among 145 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 144 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 outperform, with an average price target of $51.33.
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