LINDE PLC (LIN.DE) Stock Fundamental Analysis
Europe - FRA:LIN - IE000S9YS762 - Common Stock
387.8 EUR
+1.6 (+0.41%)
Taking everything into account, LIN scores 5 out of 10 in our fundamental rating. LIN was compared to 66 industry peers in the Chemicals industry. LIN has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, LIN is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
LIN had positive earnings in the past year.
In the past year LIN had a positive cash flow from operations.
In the past 5 years LIN has always been profitable.
Each year in the past 5 years LIN had a positive operating cash flow.
1.2 Ratios
LIN has a Return On Assets of 7.80%. This is amongst the best in the industry. LIN outperforms 84.85% of its industry peers.
LIN has a better Return On Equity (17.43%) than 90.91% of its industry peers.
LIN has a better Return On Invested Capital (9.18%) than 77.27% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LIN is in line with the industry average of 7.02%.
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
Looking at the Profit Margin, with a value of 20.20%, LIN belongs to the top of the industry, outperforming 96.97% of the companies in the same industry.
In the last couple of years the Profit Margin of LIN has grown nicely.
With an excellent Operating Margin value of 27.35%, LIN belongs to the best of the industry, outperforming 98.48% of the companies in the same industry.
LIN's Operating Margin has improved in the last couple of years.
LIN has a Gross Margin of 48.45%. This is in the better half of the industry: LIN outperforms 72.73% of its industry peers.
In the last couple of years the Gross Margin of LIN has grown nicely.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LIN is creating some value.
LIN has less shares outstanding than it did 1 year ago.
LIN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, LIN has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.62 indicates that LIN is not in any danger for bankruptcy at the moment.
LIN has a better Altman-Z score (3.62) than 72.73% of its industry peers.
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.
LIN has a better Debt to FCF ratio (5.11) than 75.76% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that LIN is somewhat dependend on debt financing.
LIN has a worse Debt to Equity ratio (0.64) than 65.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 3.62 |
ROIC/WACC1.07
WACC8.55%
2.3 Liquidity
A Current Ratio of 0.93 indicates that LIN may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.93, LIN is doing worse than 86.36% of the companies in the same industry.
A Quick Ratio of 0.78 indicates that LIN may have some problems paying its short term obligations.
LIN has a Quick ratio of 0.78. This is in the lower half of the industry: LIN underperforms 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.
Looking at the last year, LIN shows a small growth in Revenue. The Revenue has grown by 1.28% in the last year.
The Revenue has been growing slightly by 3.18% on average over the past years.
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
The Earnings Per Share is expected to grow by 8.51% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.83% on average over the next years.
EPS Next Y7.13%
EPS Next 2Y8.24%
EPS Next 3Y9.89%
EPS Next 5Y8.51%
Revenue Next Year2.08%
Revenue Next 2Y3.84%
Revenue Next 3Y4.49%
Revenue Next 5Y4.83%
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
With a Price/Earnings ratio of 28.22, LIN can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as LIN.
Compared to an average S&P500 Price/Earnings ratio of 27.77, LIN is valued at the same level.
The Price/Forward Earnings ratio is 24.77, which indicates a rather expensive current valuation of LIN.
60.61% of the companies in the same industry are cheaper than LIN, based on the Price/Forward Earnings ratio.
LIN's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.22 | ||
| Fwd PE | 24.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LIN indicates a slightly more expensive valuation: LIN is more expensive than 68.18% of the companies listed in the same industry.
LIN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.64 | ||
| EV/EBITDA | 17.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of LIN may justify a higher PE ratio.
PEG (NY)3.96
PEG (5Y)1.75
EPS Next 2Y8.24%
EPS Next 3Y9.89%
5. Dividend
5.1 Amount
LIN has a Yearly Dividend Yield of 1.35%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.14, LIN has a dividend in line with its industry peers.
With a Dividend Yield of 1.35, LIN pays less dividend than the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.35% |
5.2 History
On average, the dividend of LIN grows each year by 9.70%, which is quite nice.
Dividend Growth(5Y)9.7%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
40.71% of the earnings are spent on dividend by LIN. This is a bit on the high side, but may be sustainable.
LIN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP40.71%
EPS Next 2Y8.24%
EPS Next 3Y9.89%
FRA:LIN (10/21/2025, 7:00:00 PM)
387.8
+1.6 (+0.41%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.37%
Inst Owner ChangeN/A
Ins Owners0.21%
Ins Owner ChangeN/A
Market Cap181.84B
Analysts78.67
Price Target444.13 (14.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.35% |
Yearly Dividend4.76
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)0.29%
PT rev (3m)-0.24%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)-0.5%
EPS NY rev (1m)0.02%
EPS NY rev (3m)0.25%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)0.91%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.22 | ||
| Fwd PE | 24.77 | ||
| P/S | 6.35 | ||
| P/FCF | 41.64 | ||
| P/OCF | 21.29 | ||
| P/B | 5.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.73 |
EPS(TTM)13.74
EY3.54%
EPS(NY)15.66
Fwd EY4.04%
FCF(TTM)9.31
FCFY2.4%
OCF(TTM)18.21
OCFY4.7%
SpS61.08
BVpS70.77
TBVpS-2.53
PEG (NY)3.96
PEG (5Y)1.75
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 | 3.62 |
F-Score5
WACC8.55%
ROIC/WACC1.07
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 Y7.13%
EPS Next 2Y8.24%
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 Year2.08%
Revenue Next 2Y3.84%
Revenue Next 3Y4.49%
Revenue Next 5Y4.83%
EBIT growth 1Y8.79%
EBIT growth 3Y18.1%
EBIT growth 5Y21.73%
EBIT Next Year40.22%
EBIT Next 3Y16.69%
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%