Lincoln Electric Holdings Beats Analyst Estimates on EPS
Lincoln Electric Holdings (NAS: LECO) reported earnings on July 29. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Lincoln Electric Holdings missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly. Non-GAAP earnings per share grew. GAAP earnings per share grew.
Margins grew across the board.
Lincoln Electric Holdings recorded revenue of $727.4 million. The nine analysts polled by S&P Capital IQ wanted to see revenue of $757.2 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 $0.91. The nine earnings estimates compiled by S&P Capital IQ predicted $0.89 per share. Non-GAAP EPS of $0.91 for Q2 were 12% higher than the prior-year quarter's $0.81 per share. GAAP EPS of $0.87 for Q2 were 10% higher than the prior-year quarter's $0.79 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 33.0%, 260 basis points better than the prior-year quarter. Operating margin was 14.5%, 130 basis points better than the prior-year quarter. Net margin was 10.0%, 110 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $733.7 million. On the bottom line, the average EPS estimate is $0.86.
Next year's average estimate for revenue is $2.94 billion. The average EPS estimate is $3.50.
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 150 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 149 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 hold, with an average price target of $60.83.
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The article Lincoln Electric Holdings Beats Analyst Estimates on EPS originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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