Lincoln Electric at Morgan Stanley conference: margin plan in focus
On Thursday, September 17, 2026, Lincoln Electric presented a long-term strategy at Morgan Stanley's 14th Annual Laguna Conference, focusing on higher margins and steady growth amidst inflation pressures in welding businesses and a soft European market. While demand for the company's products remained strong across most end markets, incremental margins slipped to the low 20s in Q3 due to inflation, though management expects a 100 basis point price increase in Q4.
The company aims to achieve high 20s incremental margins by 2030 through its RISE strategy, which includes structural changes across finance, HR, IT, supply chain, procurement, and engineering. Asia is the primary growth engine for Lincoln Electric's international business, while core Europe remains a challenge. The company's P/E ratio of 25.7 and PEG ratio of 2.04 suggest it is trading at a high P/E relative to near-term earnings growth, with InvestingPro data indicating slight overvaluation.
Written by urgent.news from Investing.com's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
