Lincoln Electric Holdings Stock Buy Hold or Sell Recommendation
| LECO Stock | USD 237.67 2.10 0.88% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Lincoln Electric Holdings is 'Strong Hold'. Macroaxis provides Lincoln Electric buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LECO positions. The advice algorithm takes into account all of Lincoln Electric's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Lincoln Electric's buy or sell advice are summarized below:
Real Value 239.88 | Target Price 206.78 | Hype Value 239.77 | Market Value 237.67 | Naive Value 234.09 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Lincoln Electric Holdings given historical horizon and risk tolerance towards Lincoln Electric. When Macroaxis issues a 'buy' or 'sell' recommendation for Lincoln Electric Holdings, the advice is generated through an automated system that utilizes algorithms and statistical models.
Lincoln |
Execute Lincoln Electric Buy or Sell Advice
The Lincoln recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Lincoln Electric Holdings. Macroaxis does not own or have any residual interests in Lincoln Electric Holdings or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Lincoln Electric's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Lincoln Electric Trading Alerts and Improvement Suggestions
| Lincoln Electric is unlikely to experience financial distress in the next 2 years | |
| Over 81.0% of the company shares are owned by institutional investors | |
| On 15th of April 2024 Lincoln Electric paid $ 0.71 per share dividend to its current shareholders | |
| Latest headline from finance.yahoo.com: Tritium, major supplier of EV fast-charging equipment, is insolvent |
Lincoln Electric Returns Distribution Density
The distribution of Lincoln Electric's historical returns is an attempt to chart the uncertainty of Lincoln Electric's future price movements. The chart of the probability distribution of Lincoln Electric daily returns describes the distribution of returns around its average expected value. We use Lincoln Electric Holdings price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Lincoln Electric returns is essential to provide solid investment advice for Lincoln Electric.
| Mean Return | 0.14 | Value At Risk | -1.63 | Potential Upside | 1.89 | Standard Deviation | 1.43 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Lincoln Electric historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Lincoln Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Lincoln Electric is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Lincoln Electric Holdings backward and forwards among themselves. Lincoln Electric's institutional investor refers to the entity that pools money to purchase Lincoln Electric's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Macquarie Group Ltd | 2023-12-31 | 766.5 K | Amvescap Plc. | 2023-12-31 | 716.9 K | Westfield Capital Management Company, Lp | 2023-12-31 | 687.8 K | Bank Of New York Mellon Corp | 2023-12-31 | 682.8 K | Thrivent Financial For Lutherans | 2023-12-31 | 570.4 K | Dimensional Fund Advisors, Inc. | 2023-12-31 | 561.6 K | Bessemer Group Inc | 2023-12-31 | 542.8 K | Principal Financial Group Inc | 2023-12-31 | 519.8 K | Fisher Asset Management, Llc | 2023-12-31 | 486.7 K | Vanguard Group Inc | 2023-12-31 | 5.7 M | Blackrock Inc | 2023-12-31 | 5.3 M |
Lincoln Electric Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (12.0M) | 22.8M | (154.3M) | (81.2M) | 122.1M | 128.2M | |
| Change In Cash | (159.3M) | 57.7M | (64.3M) | 4.2M | 196.6M | 206.5M | |
| Free Cash Flow | 333.6M | 292.2M | 302.5M | 311.5M | 576.6M | 605.4M | |
| Depreciation | 81.5M | 80.5M | 81.1M | 78.1M | 86.7M | 59.2M | |
| Other Non Cash Items | (13.7M) | 11.5M | 108.1M | 20.1M | (48.9M) | (46.4M) | |
| Dividends Paid | 117.9M | 118.1M | 121.9M | 130.7M | 148.0M | 155.4M | |
| Capital Expenditures | 69.6M | 59.2M | 62.5M | 71.9M | 91.0M | 63.2M | |
| Net Income | 293.1M | 206.1M | 276.5M | 472.2M | 545.2M | 572.5M | |
| End Period Cash Flow | 199.6M | 257.3M | 193.0M | 197.2M | 393.8M | 218.2M | |
| Change Receivables | 50.4M | 3.6M | (65.8M) | (65.0M) | (58.5M) | (55.6M) | |
| Net Borrowings | 24.3M | (31.8M) | 46.0M | 405.4M | 466.3M | 489.6M | |
| Change To Netincome | 23.3M | 23.9M | 103.3M | (11.0M) | (12.6M) | (12.0M) | |
| Investments | (192.8M) | (49.2M) | (205.4M) | (504.7M) | (74.7M) | (78.5M) |
Lincoln Electric Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Lincoln Electric or Machinery sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Lincoln Electric's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Lincoln stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.01 | |
β | Beta against NYSE Composite | 1.39 | |
σ | Overall volatility | 1.44 | |
Ir | Information ratio | 0.03 |
Lincoln Electric Volatility Alert
Lincoln Electric Holdings has relatively low volatility with skewness of 2.4 and kurtosis of 12.25. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Lincoln Electric's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Lincoln Electric's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Lincoln Electric Fundamentals Vs Peers
Comparing Lincoln Electric's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Lincoln Electric's direct or indirect competition across all of the common fundamentals between Lincoln Electric and the related equities. This way, we can detect undervalued stocks with similar characteristics as Lincoln Electric or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Lincoln Electric's fundamental indicators could also be used in its relative valuation, which is a method of valuing Lincoln Electric by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Lincoln Electric to competition |
| Fundamentals | Lincoln Electric | Peer Average |
| Return On Equity | 0.47 | -0.31 |
| Return On Asset | 0.13 | -0.14 |
| Profit Margin | 0.13 % | (1.27) % |
| Operating Margin | 0.16 % | (5.51) % |
| Current Valuation | 14.39 B | 16.62 B |
| Shares Outstanding | 56.83 M | 571.82 M |
| Shares Owned By Insiders | 1.65 % | 10.09 % |
| Shares Owned By Institutions | 81.41 % | 39.21 % |
| Number Of Shares Shorted | 1.03 M | 4.71 M |
| Price To Earning | 39.83 X | 28.72 X |
| Price To Book | 10.36 X | 9.51 X |
| Price To Sales | 3.23 X | 11.42 X |
| Revenue | 4.19 B | 9.43 B |
| Gross Profit | 1.28 B | 27.38 B |
| EBITDA | 781.73 M | 3.9 B |
| Net Income | 545.25 M | 570.98 M |
| Cash And Equivalents | 152.8 M | 2.7 B |
| Cash Per Share | 2.64 X | 5.01 X |
| Total Debt | 1.16 B | 5.32 B |
| Debt To Equity | 0.97 % | 48.70 % |
| Current Ratio | 1.62 X | 2.16 X |
| Book Value Per Share | 22.97 X | 1.93 K |
| Cash Flow From Operations | 667.54 M | 971.22 M |
| Short Ratio | 3.44 X | 4.00 X |
| Earnings Per Share | 9.37 X | 3.12 X |
| Price To Earnings To Growth | 2.09 X | 4.89 X |
| Target Price | 238.91 | |
| Number Of Employees | 12 K | 18.84 K |
| Beta | 1.21 | -0.15 |
| Market Capitalization | 13.63 B | 19.03 B |
| Total Asset | 3.38 B | 29.47 B |
| Retained Earnings | 3.69 B | 9.33 B |
| Working Capital | 938.5 M | 1.48 B |
Note: Disposition of 283 shares by Geoffrey Allman of Lincoln Electric at 249.9 subject to Rule 16b-3 [view details]
Lincoln Electric Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Lincoln . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Lincoln Electric Buy or Sell Advice
When is the right time to buy or sell Lincoln Electric Holdings? Buying financial instruments such as Lincoln Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 769.8M | 1.2B | 1.2B | 1.2B | Total Assets | 2.6B | 3.2B | 3.4B | 1.8B |
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In addition to having Lincoln Electric in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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World Allocation Funds
Funds or Etfs investing in stocks, bonds, and cash of domestic markets as well as in markets of Canada, Japan, and Europe. The World Allocation Funds theme has 41 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize World Allocation Funds Theme or any other thematic opportunities.
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Check out Lincoln Electric Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Lincoln Electric Holdings information on this page should be used as a complementary analysis to other Lincoln Electric's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Complementary Tools for Lincoln Stock analysis
When running Lincoln Electric's price analysis, check to measure Lincoln Electric's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lincoln Electric is operating at the current time. Most of Lincoln Electric's value examination focuses on studying past and present price action to predict the probability of Lincoln Electric's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lincoln Electric's price. Additionally, you may evaluate how the addition of Lincoln Electric to your portfolios can decrease your overall portfolio volatility.
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Is Lincoln Electric's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lincoln Electric. If investors know Lincoln will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lincoln Electric listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.446 | Dividend Share 2.63 | Earnings Share 9.37 | Revenue Per Share 73.071 | Quarterly Revenue Growth 0.137 |
The market value of Lincoln Electric Holdings is measured differently than its book value, which is the value of Lincoln that is recorded on the company's balance sheet. Investors also form their own opinion of Lincoln Electric's value that differs from its market value or its book value, called intrinsic value, which is Lincoln Electric's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lincoln Electric's market value can be influenced by many factors that don't directly affect Lincoln Electric's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lincoln Electric's value and its price as these two are different measures arrived at by different means. Investors typically determine if Lincoln Electric is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lincoln Electric's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.