LINDE PLC (LIN.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:LIN • IE000S9YS762
382 EUR
+5 (+1.33%)
Last: Jan 30, 2026, 07:00 PM
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 quite expensive at the moment. It does show a decent growth rate.
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.
- LIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of LIN (8.25%) is better than 85.29% of its industry peers.
- With an excellent Return On Equity value of 18.37%, LIN belongs to the best of the industry, outperforming 86.76% of the companies in the same industry.
- LIN's Return On Invested Capital of 9.49% is fine compared to the rest of the industry. LIN outperforms 79.41% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for LIN is in line with the industry average of 6.72%.
- The 3 year average ROIC (8.64%) for LIN is below the current ROIC(9.49%), indicating increased profibility in the last year.
| 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
- Looking at the Profit Margin, with a value of 21.17%, LIN belongs to the top of the industry, outperforming 97.06% of the companies in the same industry.
- 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.
- LIN's Operating Margin has improved in the last couple of years.
- LIN has a Gross Margin of 48.78%. This is in the better half of the industry: LIN outperforms 69.12% of its industry peers.
- In the last couple of years the Gross Margin of LIN has grown nicely.
| 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.
- Compared to 1 year ago, LIN has less shares outstanding
- Compared to 5 years ago, LIN has less shares outstanding
- LIN has a worse debt/assets ratio than last year.
2.2 Solvency
- LIN has an Altman-Z score of 3.65. This indicates that LIN is financially healthy and has little risk of bankruptcy at the moment.
- LIN's Altman-Z score of 3.65 is fine compared to the rest of the industry. LIN outperforms 76.47% of its industry peers.
- 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.
- LIN's Debt to FCF ratio of 5.11 is fine compared to the rest of the industry. LIN outperforms 73.53% of its industry peers.
- A Debt/Equity ratio of 0.61 indicates that 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 61.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 3.65 |
ROIC/WACC1.11
WACC8.53%
2.3 Liquidity
- LIN has a Current Ratio of 0.82. This is a bad value and indicates that LIN is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.82, LIN is doing worse than 85.29% of the companies in the same industry.
- A Quick Ratio of 0.69 indicates that LIN may have some problems paying its short term obligations.
- LIN's Quick ratio of 0.69 is on the low side compared to the rest of the industry. LIN is outperformed by 77.94% 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.
- The Earnings Per Share has been growing by 16.11% on average over the past years. This is quite good.
- LIN shows a small growth in Revenue. In the last year, the Revenue has grown by 1.45%.
- LIN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.18% yearly.
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 9.02% on average per year.
- Based on estimates for the next years, LIN will show a small growth in Revenue. The Revenue will grow by 5.20% on average per year.
EPS Next Y6.94%
EPS Next 2Y7.77%
EPS Next 3Y8.43%
EPS Next 5Y9.02%
Revenue Next Year2.13%
Revenue Next 2Y3.59%
Revenue Next 3Y4.17%
Revenue Next 5Y5.2%
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 28.07 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.
- The average S&P500 Price/Earnings ratio is at 28.32. LIN is around the same levels.
- LIN is valuated quite expensively with a Price/Forward Earnings ratio of 25.28.
- The rest of the industry has a similar Price/Forward Earnings ratio as LIN.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. LIN is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.07 | ||
| Fwd PE | 25.28 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, LIN is valued a bit more expensive than 66.18% of the companies 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 | 41.88 | ||
| EV/EBITDA | 17.69 |
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)4.04
PEG (5Y)1.74
EPS Next 2Y7.77%
EPS Next 3Y8.43%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.32%, LIN has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 2.28, LIN has a dividend in line with its industry peers.
- Compared to the average S&P500 Dividend Yield of 1.83, LIN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
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
- 39.08% of the earnings are spent on dividend by LIN. This is a low number and sustainable payout ratio.
- The dividend of LIN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP39.08%
EPS Next 2Y7.77%
EPS Next 3Y8.43%
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 28.07 and the Price/Book (PB) ratio is 5.51.
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%.