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Is this Large Market Cap Stock target price reasonable for Lincoln Electric Holdings Inc. (NASDAQ:LECO)?

The company in question is, Lincoln Electric Holdings Inc. (NASDAQ:LECO) currently with a stock price of 62.1 (0.25% today). The market cap for Lincoln Electric Holdings Inc. is 4216.88, and is in the sector Industrial Goods, and Small Tools & Accessories industry. The target price for Lincoln Electric Holdings Inc. is 67.73. Currently Lincoln Electric Holdings Inc. is trading with a P/E of 57.73, and a forward P/E of 17.53. Average volume for Lincoln Electric Holdings Inc. is 362.44 and so far today it is 114616.

Performance in the last year for Lincoln Electric Holdings Inc. has been 12.88%. For EPS growth, Lincoln Electric Holdings Inc. has seen a growth of -46.40%, and is looking to grow in the next year to 9.51%. More long term stats show that EPS growth has been 2.20% over the last five years and could be 7.56% for the next five years. Lincoln Electric Holdings Inc. has seen sales growth quarter over quarter at -10.90%, with EPS growth quarter over quarter at -51.40%. The 20-day simple moving average is -1.15%, with the 200-day simple moving average coming to 6.04%.

Since the IPO date for Lincoln Electric Holdings Inc. on the 6/13/1995, Lincoln Electric Holdings Inc. has seen performance year to date to be 21.35%. With Lincoln Electric Holdings Inc. trading at 62.1, the dividend yield is 2.07%, and the EPS is 1.07.

So could Lincoln Electric Holdings Inc., be undervalued? Well as said before P/E is 57.73. The PEG is 7.64, P/S is 1.79 and the P/B is at 5.34. The P/cash is 17.79, with P/free cash flow at 24.43.

Lincoln Electric Holdings Inc. ability to deal with debt shows that the current ratio is 1.6, and the quick ratio is 1.1. This is with long term debt/equity at 0.46, and total debt/equity at 0.66.

In terms of margins, Lincoln Electric Holdings Inc. has a gross margin of 33.40%, an operating margin of 5.00% and a profit margin of 3.10%.Payout ratio for Lincoln Electric Holdings Inc. is 114.50%. Return on assets come to 4.00% with return on investment coming to 10.80%.

Insider ownership for Lincoln Electric Holdings Inc., is at 0.30% and institutional ownership comes to 67.40%. Outstanding shares are at 68.08. While shares float is 60.92. The float short is currently 5.72%, and short ratio is 9.62.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

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Peter Clarke

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