Lincoln Electric (NASDAQ:LECO) Reaches New 12-Month High on Analyst Upgrade

Key Points

• Lincoln Electric Holdings, Inc. (NASDAQ:LECO) reached a new 52-week high of $244.41 following an analyst upgrade from a **buy** to a **strong-buy** rating by Wall Street Zen.
• Institutional investors now hold **79.61%** of Lincoln Electric's shares, with reports of significant increases in positions by various funds, including a **980.8%** growth by Geneos Wealth Management.
• The company announced a **quarterly dividend** of $0.75, yielding **1.2%**, which will be paid on October 15, with a payout ratio of **33.71%**.

Shares of Lincoln Electric Holdings, Inc. (NASDAQ:LECO - Get Free Report) hit a new 52-week high during mid-day trading on Monday after Wall Street Zen upgraded the stock from a buy rating to a strong-buy rating. The stock traded as high as $244.41 and last traded at $244.36, with a volume of 89566 shares trading hands. The stock had previously closed at $241.14.

A number of other equities analysts have also recently issued reports on the stock. Morgan Stanley increased their price objective on shares of Lincoln Electric from $179.00 to $180.00 and gave the stock an "underweight" rating in a research report on Tuesday, May 6th. KeyCorp raised their price objective on shares of Lincoln Electric from $250.00 to $280.00 and gave the stock an "overweight" rating in a report on Friday. Stifel Nicolaus raised their price objective on shares of Lincoln Electric from $236.00 to $250.00 and gave the stock a "hold" rating in a report on Friday. Finally, Robert W. Baird cut their price target on shares of Lincoln Electric from $242.00 to $212.00 and set an "outperform" rating for the company in a report on Thursday, May 1st. One research analyst has rated the stock with a sell rating, one has assigned a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, Lincoln Electric has a consensus rating of "Moderate Buy" and an average price target of $231.40.

Hedge Funds Weigh In On Lincoln Electric

Several institutional investors have recently bought and sold shares of the business. Geneos Wealth Management Inc. grew its position in shares of Lincoln Electric by 980.8% in the 1st quarter. Geneos Wealth Management Inc. now owns 281 shares of the industrial products company's stock worth $53,000 after buying an additional 255 shares during the last quarter. Brooklyn Investment Group raised its position in Lincoln Electric by 279.6% during the first quarter. Brooklyn Investment Group now owns 353 shares of the industrial products company's stock worth $67,000 after acquiring an additional 260 shares during the period. Wood Tarver Financial Group LLC acquired a new position in Lincoln Electric during the fourth quarter worth $68,000. Signaturefd LLC grew its holdings in shares of Lincoln Electric by 77.1% during the first quarter. Signaturefd LLC now owns 425 shares of the industrial products company's stock worth $80,000 after buying an additional 185 shares in the last quarter. Finally, Covestor Ltd grew its holdings in shares of Lincoln Electric by 22.2% during the fourth quarter. Covestor Ltd now owns 517 shares of the industrial products company's stock worth $97,000 after buying an additional 94 shares in the last quarter. Institutional investors own 79.61% of the company's stock.

Lincoln Electric Price Performance

The company has a debt-to-equity ratio of 0.83, a current ratio of 1.68 and a quick ratio of 1.08. The stock's fifty day moving average price is $211.35 and its 200-day moving average price is $198.89. The firm has a market cap of $13.50 billion, a PE ratio of 27.54, a price-to-earnings-growth ratio of 1.75 and a beta of 1.21.

Lincoln Electric (NASDAQ:LECO - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The industrial products company reported $2.60 earnings per share for the quarter, topping analysts' consensus estimates of $2.32 by $0.28. The company had revenue of $1.09 billion for the quarter, compared to analysts' expectations of $1.04 billion. Lincoln Electric had a net margin of 12.27% and a return on equity of 39.79%. The firm's revenue for the quarter was up 6.6% on a year-over-year basis. During the same quarter last year, the company earned $2.34 earnings per share. As a group, equities analysts expect that Lincoln Electric Holdings, Inc. will post 9.36 EPS for the current fiscal year.

Lincoln Electric Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Tuesday, September 30th will be given a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date of this dividend is Tuesday, September 30th. Lincoln Electric's dividend payout ratio is presently 33.71%.

Lincoln Electric Company Profile

Lincoln Electric Holdings, Inc, through its subsidiaries, designs, develops, manufactures, and sells welding, cutting, and brazing products worldwide. The company operates through three segments: Americas Welding, International Welding, and The Harris Products Group. It offers brazing and soldering filler metals, arc welding equipment, plasma and oxyfuel cutting systems, wire feeding systems, fume control equipment, welding accessories, and specialty gas regulators, and education solutions, as well as a portfolio of automated solutions for joining, cutting, material handling, module assembly, and end of line testing, as well as involved in brazing and soldering alloys, and in the retail business in the United States.

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