LINDE PLC (LIN.DE) Stock Fundamental Analysis
Europe - FRA:LIN - IE000S9YS762 - Common Stock
405 EUR
+2 (+0.5%)
Overall LIN gets a fundamental rating of 5 out of 10. We evaluated LIN against 68 industry peers in the Chemicals industry. While LIN has a great profitability rating, there are some minor concerns on its financial health. LIN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
LIN had positive earnings in the past year.
LIN had a positive operating cash flow in the past year.
Each year in the past 5 years LIN has been profitable.
Each year in the past 5 years LIN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of LIN (7.80%) is better than 87.88% of its industry peers.
With an excellent Return On Equity value of 17.43%, LIN belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
LIN's Return On Invested Capital of 9.18% is fine compared to the rest of the industry. LIN outperforms 78.79% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LIN is above the industry average of 6.62%.
The 3 year average ROIC (8.64%) for LIN is below the current ROIC(9.18%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.8% | ||
| ROE | 17.43% | ||
| ROIC | 9.18% |
ROA(3y)7.02%
ROA(5y)5.72%
ROE(3y)14.4%
ROE(5y)11.44%
ROIC(3y)8.64%
ROIC(5y)7.15%
1.3 Margins
LIN has a better Profit Margin (20.20%) than 98.48% of its industry peers.
LIN's Profit Margin has improved in the last couple of years.
LIN has a Operating Margin of 27.35%. This is amongst the best in the industry. LIN outperforms 98.48% of its industry peers.
In the last couple of years the Operating Margin of LIN has grown nicely.
With a decent Gross Margin value of 48.45%, LIN is doing good in the industry, outperforming 74.24% of the companies in the same industry.
LIN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.35% | ||
| PM (TTM) | 20.2% | ||
| GM | 48.45% |
OM growth 3Y15.4%
OM growth 5Y17.98%
PM growth 3Y16.98%
PM growth 5Y19.7%
GM growth 3Y3.75%
GM growth 5Y3.21%
2. Health
2.1 Basic Checks
LIN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for LIN has been reduced compared to 1 year ago.
Compared to 5 years ago, LIN has less shares outstanding
Compared to 1 year ago, LIN has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.77 indicates that LIN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.77, LIN belongs to the top of the industry, outperforming 80.30% of the companies in the same industry.
The Debt to FCF ratio of LIN is 5.11, which is a neutral value as it means it would take LIN, 5.11 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.11, LIN is in the better half of the industry, outperforming 77.27% of the companies in the same industry.
LIN has a Debt/Equity ratio of 0.64. This is a neutral value indicating LIN is somewhat dependend on debt financing.
LIN has a Debt to Equity ratio of 0.64. This is in the lower half of the industry: LIN underperforms 62.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 3.77 |
ROIC/WACC1.08
WACC8.49%
2.3 Liquidity
A Current Ratio of 0.93 indicates that LIN may have some problems paying its short term obligations.
LIN has a worse Current ratio (0.93) than 86.36% of its industry peers.
A Quick Ratio of 0.78 indicates that LIN may have some problems paying its short term obligations.
The Quick ratio of LIN (0.78) is worse than 74.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
LIN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.62%.
The Earnings Per Share has been growing by 16.11% on average over the past years. This is quite good.
The Revenue has been growing slightly by 1.28% in the past year.
Measured over the past years, LIN shows a small growth in Revenue. The Revenue has been growing by 3.18% on average per year.
EPS 1Y (TTM)7.62%
EPS 3Y13.21%
EPS 5Y16.11%
EPS Q2Q%6.23%
Revenue 1Y (TTM)1.28%
Revenue growth 3Y2.34%
Revenue growth 5Y3.18%
Sales Q2Q%2.76%
3.2 Future
Based on estimates for the next years, LIN will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.51% on average per year.
The Revenue is expected to grow by 5.04% on average over the next years.
EPS Next Y7.1%
EPS Next 2Y8.23%
EPS Next 3Y9.89%
EPS Next 5Y8.51%
Revenue Next Year1.97%
Revenue Next 2Y3.77%
Revenue Next 3Y4.46%
Revenue Next 5Y5.04%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 30.00 indicates a quite expensive valuation of LIN.
Compared to the rest of the industry, the Price/Earnings ratio of LIN is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.38, LIN is valued at the same level.
Based on the Price/Forward Earnings ratio of 26.34, the valuation of LIN can be described as expensive.
Based on the Price/Forward Earnings ratio, LIN is valued a bit more expensive than 62.12% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.86, LIN is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30 | ||
| Fwd PE | 26.34 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LIN is valued a bit more expensive than the industry average as 69.70% of the companies are valued more cheaply.
LIN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.28 | ||
| EV/EBITDA | 18.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LIN does not grow enough to justify the current Price/Earnings ratio.
LIN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.22
PEG (5Y)1.86
EPS Next 2Y8.23%
EPS Next 3Y9.89%
5. Dividend
5.1 Amount
LIN has a Yearly Dividend Yield of 1.26%.
LIN's Dividend Yield is slightly below the industry average, which is at 3.03.
Compared to an average S&P500 Dividend Yield of 2.38, LIN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
The dividend of LIN is nicely growing with an annual growth rate of 9.70%!
Dividend Growth(5Y)9.7%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
LIN pays out 40.71% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of LIN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP40.71%
EPS Next 2Y8.23%
EPS Next 3Y9.89%
FRA:LIN (9/19/2025, 7:00:00 PM)
405
+2 (+0.5%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.55%
Inst Owner ChangeN/A
Ins Owners0.21%
Ins Owner ChangeN/A
Market Cap189.91B
Analysts78.06
Price Target442.85 (9.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend4.73
Dividend Growth(5Y)9.7%
DP40.71%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.03%
Min EPS beat(2)-0.37%
Max EPS beat(2)0.43%
EPS beat(4)3
Avg EPS beat(4)0.1%
Min EPS beat(4)-0.37%
Max EPS beat(4)0.43%
EPS beat(8)7
Avg EPS beat(8)0.58%
EPS beat(12)11
Avg EPS beat(12)2.21%
EPS beat(16)15
Avg EPS beat(16)2.43%
Revenue beat(2)1
Avg Revenue beat(2)-0.92%
Min Revenue beat(2)-2.54%
Max Revenue beat(2)0.7%
Revenue beat(4)1
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-2.54%
Max Revenue beat(4)0.7%
Revenue beat(8)2
Avg Revenue beat(8)-1.93%
Revenue beat(12)3
Avg Revenue beat(12)-2.09%
Revenue beat(16)7
Avg Revenue beat(16)-1.15%
PT rev (1m)-0.69%
PT rev (3m)-0.01%
EPS NQ rev (1m)0.02%
EPS NQ rev (3m)-0.35%
EPS NY rev (1m)0.23%
EPS NY rev (3m)0.24%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)1.02%
Revenue NY rev (1m)0.76%
Revenue NY rev (3m)0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30 | ||
| Fwd PE | 26.34 | ||
| P/S | 6.75 | ||
| P/FCF | 44.28 | ||
| P/OCF | 22.64 | ||
| P/B | 5.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.69 |
EPS(TTM)13.5
EY3.33%
EPS(NY)15.37
Fwd EY3.8%
FCF(TTM)9.15
FCFY2.26%
OCF(TTM)17.89
OCFY4.42%
SpS59.99
BVpS69.5
TBVpS-2.49
PEG (NY)4.22
PEG (5Y)1.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.8% | ||
| ROE | 17.43% | ||
| ROCE | 12.74% | ||
| ROIC | 9.18% | ||
| ROICexc | 9.79% | ||
| ROICexgc | 22.18% | ||
| OM | 27.35% | ||
| PM (TTM) | 20.2% | ||
| GM | 48.45% | ||
| FCFM | 15.25% |
ROA(3y)7.02%
ROA(5y)5.72%
ROE(3y)14.4%
ROE(5y)11.44%
ROIC(3y)8.64%
ROIC(5y)7.15%
ROICexc(3y)9.31%
ROICexc(5y)7.64%
ROICexgc(3y)23.08%
ROICexgc(5y)19.1%
ROCE(3y)11.99%
ROCE(5y)9.81%
ROICexcg growth 3Y14.81%
ROICexcg growth 5Y23.95%
ROICexc growth 3Y18.89%
ROICexc growth 5Y24.77%
OM growth 3Y15.4%
OM growth 5Y17.98%
PM growth 3Y16.98%
PM growth 5Y19.7%
GM growth 3Y3.75%
GM growth 5Y3.21%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 5.11 | ||
| Debt/EBITDA | 1.92 | ||
| Cap/Depr | 130.01% | ||
| Cap/Sales | 14.57% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.32% | ||
| Profit Quality | 75.5% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 3.77 |
F-Score5
WACC8.49%
ROIC/WACC1.08
Cap/Depr(3y)97.89%
Cap/Depr(5y)86.75%
Cap/Sales(3y)11.55%
Cap/Sales(5y)11.43%
Profit Quality(3y)100.43%
Profit Quality(5y)127.18%
High Growth Momentum
Growth
EPS 1Y (TTM)7.62%
EPS 3Y13.21%
EPS 5Y16.11%
EPS Q2Q%6.23%
EPS Next Y7.1%
EPS Next 2Y8.23%
EPS Next 3Y9.89%
EPS Next 5Y8.51%
Revenue 1Y (TTM)1.28%
Revenue growth 3Y2.34%
Revenue growth 5Y3.18%
Sales Q2Q%2.76%
Revenue Next Year1.97%
Revenue Next 2Y3.77%
Revenue Next 3Y4.46%
Revenue Next 5Y5.04%
EBIT growth 1Y8.79%
EBIT growth 3Y18.1%
EBIT growth 5Y21.73%
EBIT Next Year40.27%
EBIT Next 3Y16.75%
EBIT Next 5Y12.92%
FCF growth 1Y-6.18%
FCF growth 3Y-9.47%
FCF growth 5Y14.47%
OCF growth 1Y12.78%
OCF growth 3Y-1.05%
OCF growth 5Y8.77%