LINDE PLC (LIN.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:LIN - IE000S9YS762 - Common Stock
362 EUR
+0.2 (+0.06%)
We assign a fundamental rating of 5 out of 10 to LIN. LIN was compared to 68 industry peers in the Chemicals industry. While LIN belongs to the best of the industry regarding profitability, 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
With an excellent Return On Assets value of 8.25%, LIN belongs to the best of the industry, outperforming 83.82% of the companies in the same industry.
LIN has a Return On Equity of 18.37%. This is amongst the best in the industry. LIN outperforms 86.76% of its industry peers.
LIN's Return On Invested Capital of 9.49% is fine compared to the rest of the industry. LIN outperforms 77.94% of its industry peers.
LIN had an Average Return On Invested Capital over the past 3 years of 8.64%. This is in line with the industry average of 7.01%.
The last Return On Invested Capital (9.49%) for LIN is above the 3 year average (8.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.25% | ||
| ROE | 18.37% | ||
| ROIC | 9.49% |
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's Profit Margin of 21.17% is amongst the best of the industry. LIN outperforms 97.06% of its industry peers.
In the last couple of years the Profit Margin of LIN has grown nicely.
LIN's Operating Margin of 27.52% is amongst the best of the industry. LIN outperforms 98.53% of its industry peers.
In the last couple of years the Operating Margin of LIN has grown nicely.
The Gross Margin of LIN (48.78%) is better than 72.06% of its industry peers.
LIN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.52% | ||
| PM (TTM) | 21.17% | ||
| GM | 48.78% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LIN is still 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 3.48 indicates that LIN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.48, LIN is in the better half of the industry, outperforming 69.12% of the companies in the same industry.
LIN has a debt to FCF ratio of 5.11. This is a neutral value as LIN would need 5.11 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 5.11, LIN is doing good in the industry, outperforming 70.59% of the companies in the same industry.
LIN has a Debt/Equity ratio of 0.61. This is a neutral value indicating LIN is somewhat dependend on debt financing.
LIN has a Debt to Equity ratio of 0.61. This is in the lower half of the industry: LIN underperforms 63.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 3.48 |
ROIC/WACC1.12
WACC8.49%
2.3 Liquidity
A Current Ratio of 0.82 indicates that LIN may have some problems paying its short term obligations.
The Current ratio of LIN (0.82) is worse than 89.71% of its industry peers.
A Quick Ratio of 0.69 indicates that LIN may have some problems paying its short term obligations.
LIN has a worse Quick ratio (0.69) than 82.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.20% over the past year.
Measured over the past years, LIN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.11% on average per year.
LIN shows a small growth in Revenue. In the last year, the Revenue has grown by 1.45%.
The Revenue has been growing slightly by 3.18% on average over the past years.
EPS 1Y (TTM)7.2%
EPS 3Y13.21%
EPS 5Y16.11%
EPS Q2Q%6.85%
Revenue 1Y (TTM)1.45%
Revenue growth 3Y2.34%
Revenue growth 5Y3.18%
Sales Q2Q%3.1%
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 8.71% on average per year.
LIN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.13% yearly.
EPS Next Y6.92%
EPS Next 2Y7.73%
EPS Next 3Y8.42%
EPS Next 5Y8.71%
Revenue Next Year2.14%
Revenue Next 2Y3.55%
Revenue Next 3Y4.16%
Revenue Next 5Y5.13%
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 26.23, LIN can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of LIN is on the same level as its industry peers.
LIN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 23.63, the valuation of LIN can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LIN is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, LIN is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 23.63 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LIN is valued a bit more expensive than the industry average as 67.65% of the companies are valued more cheaply.
The rest of the industry has a similar Price/Free Cash Flow ratio as LIN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.13 | ||
| EV/EBITDA | 16.61 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LIN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.79
PEG (5Y)1.63
EPS Next 2Y7.73%
EPS Next 3Y8.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.41%, LIN has a reasonable but not impressive dividend return.
LIN's Dividend Yield is comparable with the industry average which is at 2.51.
Compared to the average S&P500 Dividend Yield of 2.00, LIN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.41% |
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
39.08% of the earnings are spent on dividend by LIN. This is a low number and sustainable payout ratio.
LIN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP39.08%
EPS Next 2Y7.73%
EPS Next 3Y8.42%
FRA:LIN (12/30/2025, 7:00:00 PM)
362
+0.2 (+0.06%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.56%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap169.04B
Revenue(TTM)33.50B
Net Income(TTM)7.09B
Analysts80.67
Price Target435.24 (20.23%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.41% |
Yearly Dividend4.71
Dividend Growth(5Y)9.7%
DP39.08%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.1%
Min EPS beat(2)-0.22%
Max EPS beat(2)0.43%
EPS beat(4)2
Avg EPS beat(4)-0.01%
Min EPS beat(4)-0.37%
Max EPS beat(4)0.43%
EPS beat(8)6
Avg EPS beat(8)0.47%
EPS beat(12)10
Avg EPS beat(12)1.8%
EPS beat(16)14
Avg EPS beat(16)2.31%
Revenue beat(2)1
Avg Revenue beat(2)-0.1%
Min Revenue beat(2)-0.91%
Max Revenue beat(2)0.7%
Revenue beat(4)1
Avg Revenue beat(4)-1.28%
Min Revenue beat(4)-2.54%
Max Revenue beat(4)0.7%
Revenue beat(8)2
Avg Revenue beat(8)-1.24%
Revenue beat(12)2
Avg Revenue beat(12)-2.55%
Revenue beat(16)6
Avg Revenue beat(16)-1.27%
PT rev (1m)-1.98%
PT rev (3m)-1.72%
EPS NQ rev (1m)0.12%
EPS NQ rev (3m)-1.43%
EPS NY rev (1m)-0.14%
EPS NY rev (3m)-0.19%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)-0.27%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 23.63 | ||
| P/S | 5.93 | ||
| P/FCF | 39.13 | ||
| P/OCF | 19.61 | ||
| P/B | 5.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.61 |
EPS(TTM)13.8
EY3.81%
EPS(NY)15.32
Fwd EY4.23%
FCF(TTM)9.25
FCFY2.56%
OCF(TTM)18.46
OCFY5.1%
SpS61.06
BVpS70.38
TBVpS-2.08
PEG (NY)3.79
PEG (5Y)1.63
Graham Number147.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.25% | ||
| ROE | 18.37% | ||
| ROCE | 13.21% | ||
| ROIC | 9.49% | ||
| ROICexc | 10.1% | ||
| ROICexgc | 23.27% | ||
| OM | 27.52% | ||
| PM (TTM) | 21.17% | ||
| GM | 48.78% | ||
| FCFM | 15.15% |
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%
ROICexgc growth 3Y14.81%
ROICexgc 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-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.11 | ||
| Debt/EBITDA | 1.82 | ||
| Cap/Depr | 135.62% | ||
| Cap/Sales | 15.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.25% | ||
| Profit Quality | 71.56% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 3.48 |
F-Score6
WACC8.49%
ROIC/WACC1.12
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)7.2%
EPS 3Y13.21%
EPS 5Y16.11%
EPS Q2Q%6.85%
EPS Next Y6.92%
EPS Next 2Y7.73%
EPS Next 3Y8.42%
EPS Next 5Y8.71%
Revenue 1Y (TTM)1.45%
Revenue growth 3Y2.34%
Revenue growth 5Y3.18%
Sales Q2Q%3.1%
Revenue Next Year2.14%
Revenue Next 2Y3.55%
Revenue Next 3Y4.16%
Revenue Next 5Y5.13%
EBIT growth 1Y8%
EBIT growth 3Y18.1%
EBIT growth 5Y21.73%
EBIT Next Year40.44%
EBIT Next 3Y16.6%
EBIT Next 5Y12.7%
FCF growth 1Y-0.49%
FCF growth 3Y-9.47%
FCF growth 5Y14.47%
OCF growth 1Y16.79%
OCF growth 3Y-1.05%
OCF growth 5Y8.77%
LINDE PLC / LIN.DE FAQ
What is the fundamental rating for LIN stock?
ChartMill assigns a fundamental rating of 5 / 10 to LIN.DE.
What is the valuation status of LINDE PLC (LIN.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to LINDE PLC (LIN.DE). This can be considered as Overvalued.
How profitable is LINDE PLC (LIN.DE) stock?
LINDE PLC (LIN.DE) has a profitability rating of 9 / 10.
What are the PE and PB ratios of LINDE PLC (LIN.DE) stock?
The Price/Earnings (PE) ratio for LINDE PLC (LIN.DE) is 26.23 and the Price/Book (PB) ratio is 5.14.
How sustainable is the dividend of LINDE PLC (LIN.DE) stock?
The dividend rating of LINDE PLC (LIN.DE) is 4 / 10 and the dividend payout ratio is 39.08%.