Please ensure Javascript is enabled for purposes of website accessibility

Will Lincoln Electric Holdings Beat These Analyst Estimates?

By Seth Jayson - Updated Apr 10, 2017 at 1:49PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Checking expectations

Lincoln Electric Holdings (Nasdaq: LECO) is expected to report Q1 earnings on April 23. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Lincoln Electric Holdings's revenues will grow 1.1% and EPS will grow 2.6%.

The average estimate for revenue is $734.8 million. On the bottom line, the average EPS estimate is $0.78.

Revenue details
Last quarter, Lincoln Electric Holdings logged revenue of $684.6 million. GAAP reported sales were 1.4% lower than the prior-year quarter's $694.5 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.79. 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.

Recent performance
For the preceding quarter, gross margin was 31.1%, 310 basis points better than the prior-year quarter. Operating margin was 13.7%, 120 basis points better than the prior-year quarter. Net margin was 9.1%, 80 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $2.99 billion. The average EPS estimate is $3.32.

Investor sentiment
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 137 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 136 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.

The rich are different than you and me: They might not notice the moneymaking stories right under our noses. In our new report, "Middle-Class Millionaire-Makers: 3 Stocks Wall Street's Too Rich to Notice," we give you three Peter Lynch-inspired buy-what-you-know stocks for the 99%. Click here for instant access to this free report.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Lincoln Electric Holdings, Inc. Stock Quote
Lincoln Electric Holdings, Inc.
LECO
$133.34 (0.06%) $0.09

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
345%
 
S&P 500 Returns
119%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/16/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.