Lincoln Electric (NASDAQ:LECO) CEO Steven Hedlund Sells 14,371 Shares of Company Stock

Key Points

• CEO Steven Hedlund sold 14,371 Lincoln Electric shares at an average price of $281.95, generating approximately $4.05 million and reducing his direct stake by 18.46%.
• Lincoln Electric reported quarterly EPS of $2.98 and revenue of $1.22 billion, beating estimates, while revenue increased 15.1% year over year. The company also raised its quarterly dividend to $0.87 per share.
• Analyst sentiment remains favorable, with the stock carrying a “Moderate Buy” consensus rating and an average price target of $319.11; institutional investors own 79.61% of outstanding shares.

Lincoln Electric Holdings, Inc. (NASDAQ:LECO - Get Free Report) CEO Steven Hedlund sold 14,371 shares of Lincoln Electric stock in a transaction that occurred on Friday, October 30th. The stock was sold at an average price of $281.95, for a total transaction of $4,051,903.45. Following the transaction, the chief executive officer directly owned 63,483 shares in the company, valued at approximately $17,899,031.85. This represents a 18.46% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

Lincoln Electric Stock Performance

Shares of NASDAQ LECO traded up $8.58 during mid-day trading on Monday, reaching $285.50. 276,851 shares of the company's stock were exchanged, compared to its average volume of 385,005. The firm has a market capitalization of $15.46 billion, a price-to-earnings ratio of 27.37, a price-to-earnings-growth ratio of 1.62 and a beta of 1.19. Lincoln Electric Holdings, Inc. has a 52 week low of $216.22 and a 52 week high of $310.00. The company has a debt-to-equity ratio of 0.74, a current ratio of 1.91 and a quick ratio of 1.18. The firm has a 50-day moving average price of $267.96 and a two-hundred day moving average price of $265.93.

Lincoln Electric (NASDAQ:LECO - Get Free Report) last released its earnings results on Tuesday, October 27th. The industrial products company reported $2.98 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.81 by $0.17. Lincoln Electric had a return on equity of 40.06% and a net margin of 12.40%. The business had revenue of $1.22 billion during the quarter, compared to the consensus estimate of $1.17 billion. During the same period last year, the business posted $2.47 earnings per share. The business's revenue for the quarter was up 15.1% on a year-over-year basis. Analysts predict that Lincoln Electric Holdings, Inc. will post 11.38 EPS for the current year.

Lincoln Electric Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, January 15th. Stockholders of record on Thursday, December 31st will be given a dividend of $0.87 per share. This is an increase from Lincoln Electric's previous quarterly dividend of $0.79. The ex-dividend date is Thursday, December 31st. This represents a $3.48 dividend on an annualized basis and a dividend yield of 1.2%. Lincoln Electric's dividend payout ratio (DPR) is presently 30.30%.

Analyst Upgrades and Downgrades

LECO has been the topic of several research reports. DA Davidson set a $340.00 price objective on shares of Lincoln Electric in a research report on Thursday. Barclays increased their target price on Lincoln Electric from $300.00 to $350.00 and gave the company an "overweight" rating in a research note on Thursday. UBS Group raised their price target on Lincoln Electric from $340.00 to $360.00 and gave the company a "buy" rating in a research report on Wednesday, October 28th. Robert W. Baird lifted their price target on Lincoln Electric from $317.00 to $322.00 and gave the stock an "outperform" rating in a research note on Wednesday, October 28th. Finally, Wall Street Zen upgraded Lincoln Electric from a "hold" rating to a "buy" rating in a report on Saturday. Six analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $319.11.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in LECO. BlackRock Inc. increased its holdings in Lincoln Electric by 40.5% in the 2nd quarter. BlackRock Inc. now owns 18,561,962 shares of the industrial products company's stock valued at $656,165,000 after purchasing an additional 5,354,141 shares during the last quarter. The Manufacturers Life Insurance Company acquired a new position in Lincoln Electric during the second quarter worth $1,858,000. Hsbc Holdings PLC lifted its stake in Lincoln Electric by 126.9% during the second quarter. Hsbc Holdings PLC now owns 17,021 shares of the industrial products company's stock worth $4,500,000 after purchasing an additional 9,518 shares in the last quarter. NewEdge Advisors LLC boosted its position in shares of Lincoln Electric by 403.4% during the second quarter. NewEdge Advisors LLC now owns 21,388 shares of the industrial products company's stock worth $5,679,000 after buying an additional 17,139 shares during the period. Finally, California State Teachers Retirement System grew its stake in shares of Lincoln Electric by 23.2% in the first quarter. California State Teachers Retirement System now owns 64,257 shares of the industrial products company's stock valued at $16,005,000 after buying an additional 12,093 shares in the last quarter. Hedge funds and other institutional investors own 79.61% of the company's stock.

About Lincoln Electric

Lincoln Electric Holdings, Inc NASDAQ: LECO is a global manufacturer of welding, cutting and industrial automation products. The company serves customers in industries including construction, manufacturing, energy, transportation and heavy equipment.

Its product portfolio includes arc-welding equipment, welding consumables such as electrodes and welding wire, plasma-cutting systems, welding accessories and personal protective equipment. Lincoln Electric also provides robotic and automated welding systems, industrial automation solutions, application engineering, training and maintenance services.

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