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LECOLincoln Electric Holdings, Inc.Hold5.7·$251.47+0.44%
HoldModerate Confidence
Investment thesis

Lincoln Electric is a financially sound industrial franchise — with a 38% return on equity, a Piotroski F-Score of 8 out of 9, and four straight earnings beats — but with the stock now trading above its price target and free cash flow converting at only 33% of stated earnings, the margin of safety for new entry has largely been consumed.

Thesis pillars

  • Strong Price Momentum BreakoutDeteriorating
  • Consistent Earnings OutperformanceImproving
  • High Quality Business FundamentalsStable
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

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Lincoln Electric Holdings, Inc. (LECO) Stock Analysis

HoldQualityModerate Confidence

Industrials · Tools & Accessories

Earnings in 5 days (2026-07-30). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Hold if already holding. Not a fresh buy at $251.47, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Earnings in 5 days (event risk).

The Company is a high-performance industrial machinery and technology leader who helps customers manufacture and maintain vital equipment and infrastructure. The Company's innovative solutions enable higher quality and productivity across a variety of processes including... Read more

$251.47+2.8% A.UpsideScore 5.7/10#3 of 8 Tools & Accessories
QualityF-score8 / 9FCF yield1.28%
IncomeYield1.26%(5y avg 1.40%)Payout31.79%sustainable
Stop $237.35Target $258.39(analyst − 13%)A.R:R 0.5:1
Analyst target$297.00+18.1%10 analysts
$258.39our TP
$251.47price
$297.00mean
$229
$340

Hold if already holding. Not a fresh buy at $251.47, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Earnings in 5 days (event risk). Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Score 5.7/10, moderate confidence.

Passes 5/8 gates (clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and earnings proximity 5d<=7d. Suitability: moderate.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Jul 30, 20265d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (4/4)
Positive insider activity
Risks
Analyst target reached - limited upside remaining
Earnings in 5 days (event risk)
Negative momentum

Key Metrics

P/E (TTM)25.8
P/E (Fwd)20.9
Mkt Cap$13.8B
EV/EBITDA17.6
Profit Mgn12.4%
ROE37.8%
Rev Growth11.7%
Beta1.21
Dividend1.26%
Rating analysts18

Quality Signals

Piotroski F8/9MoatNarrow

Options Flow

P/C1.57bearish
IV52%elevated

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 floor-breaker

Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static

Macd
0.0
Volume
0.3
Ma Position
2.2
Rsi
3.5
Obv
10.0
Volume accumulation (rising OBV)Below 200-MA but MA still rising (+1.4%/30d) — pullback in uptrend, not confirmed weakness
GatesMomentum 3.2<4.5A.R:R 0.5 < 1.5@spotEARNINGS PROXIMITY 5d<=7dInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Moderate
RSI
38 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $243.73Resistance $272.79

Price Targets

$237
$258
A.Upside+2.8%
A.R:R0.5:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (2.8% upside)
! momentum at 3.2 (below the engine's 4.5 threshold)
! asymmetry at 0.5 (below the engine's 1.5 threshold)@spot

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-07-30 (5d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is LECO stock a buy right now?

Hold if already holding. Not a fresh buy at $251.47, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Earnings in 5 days (event risk). Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Target $258.39 (+2.8%), stop $237.35 (−5.9%), A.R:R 0.5:1. Score 5.7/10, moderate confidence.

What is the LECO stock price target?

Take-profit target: $258.39 (+2.8% upside). Target $258.39 (+2.8%), stop $237.35 (−5.9%), A.R:R 0.5:1. Stop-loss: $237.35.

What are the risks of investing in LECO?

Analyst target reached - limited upside remaining; Earnings in 5 days (event risk); Negative momentum.

Is LECO overvalued or undervalued?

Lincoln Electric Holdings, Inc. trades at a P/E of 25.8 (forward 20.9). TrendMatrix value score: 5.2/10. Verdict: Hold.

What do analysts say about LECO?

18 analysts cover LECO with a consensus score of 3.7/5. Average price target: $297.

What does Lincoln Electric Holdings, Inc. do?The Company is a high-performance industrial machinery and technology leader who helps customers manufacture and...

The Company is a high-performance industrial machinery and technology leader who helps customers manufacture and maintain vital equipment and infrastructure. The Company's innovative solutions enable higher quality and productivity across a variety of processes including welding, cutting, brazing, machining, process automation, and field repair.

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