410.32 USD
+2.42 (+0.59%)
410.54 USD
+0.22 (+0.05%)
Overall LIN gets a fundamental rating of 6 out of 10. We evaluated LIN against 81 industry peers in the Chemicals industry. While LIN has a great profitability rating, 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.
LIN had positive earnings in each of the past 5 years.
LIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.25%, LIN belongs to the top of the industry, outperforming 86.42% of the companies in the same industry.
LIN has a better Return On Equity (18.37%) than 86.42% of its industry peers.
With an excellent Return On Invested Capital value of 9.49%, LIN belongs to the best of the industry, outperforming 80.25% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LIN is above the industry average of 6.07%.
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
LIN has a better Profit Margin (21.17%) than 100.00% 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 93.83% of its industry peers.
In the last couple of years the Operating Margin of LIN has grown nicely.
Looking at the Gross Margin, with a value of 48.78%, LIN belongs to the top of the industry, outperforming 93.83% of the companies in the same industry.
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.
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
The debt/assets ratio for LIN is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.39 indicates that LIN is not in any danger for bankruptcy at the moment.
LIN has a Altman-Z score of 3.39. This is amongst the best in the industry. LIN outperforms 83.95% 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.
Looking at the Debt to FCF ratio, with a value of 5.11, LIN belongs to the top of the industry, outperforming 81.48% of the companies in the same industry.
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 better half of the industry: LIN outperforms 60.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 3.39 |
ROIC/WACC1.1
WACC8.59%
2.3 Liquidity
A Current Ratio of 0.82 indicates that LIN may have some problems paying its short term obligations.
With a Current ratio value of 0.82, LIN is not doing good in the industry: 92.59% of the companies in the same industry are doing better.
LIN has a Quick 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.
The Quick ratio of LIN (0.69) is worse than 86.42% of its industry peers.
LIN does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| 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.
LIN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.11% yearly.
LIN shows a small growth in Revenue. In the last year, the Revenue has grown by 1.45%.
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)7.2%
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
The Earnings Per Share is expected to grow by 8.71% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.11% on average over the next years.
EPS Next Y7.07%
EPS Next 2Y8.24%
EPS Next 3Y8.82%
EPS Next 5Y8.71%
Revenue Next Year2.02%
Revenue Next 2Y3.51%
Revenue Next 3Y4.43%
Revenue Next 5Y5.11%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.30, which means the current valuation is very expensive for LIN.
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 26.31, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 22.58, LIN is valued on the expensive side.
LIN's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, LIN is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.3 | ||
| Fwd PE | 22.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LIN is valued a bit more expensive than 66.67% 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 | 37.75 | ||
| EV/EBITDA | 16.07 |
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.
The excellent profitability rating of LIN may justify a higher PE ratio.
PEG (NY)3.58
PEG (5Y)1.57
EPS Next 2Y8.24%
EPS Next 3Y8.82%
5. Dividend
5.1 Amount
LIN has a Yearly Dividend Yield of 1.47%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.94, LIN has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.34, LIN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
The dividend of LIN is nicely growing with an annual growth rate of 9.70%!
LIN has been paying a dividend for at least 10 years, so it has a reliable track record.
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 2Y8.24%
EPS Next 3Y8.82%
410.32
+2.42 (+0.59%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.37%
Inst Owner Change0.7%
Ins Owners0.21%
Ins Owner Change-2.87%
Market Cap191.60B
Revenue(TTM)33.50B
Net Income(TTM)7.09B
Analysts79.33
Price Target513.64 (25.18%)
Short Float %1.35%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Yearly Dividend5.56
Dividend Growth(5Y)9.7%
DP39.08%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)-1.66%
PT rev (3m)-1.19%
EPS NQ rev (1m)-1.56%
EPS NQ rev (3m)-1.55%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-0.03%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)-0.25%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.3 | ||
| Fwd PE | 22.58 | ||
| P/S | 5.72 | ||
| P/FCF | 37.75 | ||
| P/OCF | 18.92 | ||
| P/B | 4.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.07 |
EPS(TTM)16.22
EY3.95%
EPS(NY)18.17
Fwd EY4.43%
FCF(TTM)10.87
FCFY2.65%
OCF(TTM)21.69
OCFY5.29%
SpS71.75
BVpS82.7
TBVpS-2.45
PEG (NY)3.58
PEG (5Y)1.57
Graham Number173.73
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 | 3.39 |
F-Score6
WACC8.59%
ROIC/WACC1.1
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 Y7.07%
EPS Next 2Y8.24%
EPS Next 3Y8.82%
EPS Next 5Y8.71%
Revenue 1Y (TTM)1.45%
Revenue growth 3Y2.34%
Revenue growth 5Y3.18%
Sales Q2Q%3.1%
Revenue Next Year2.02%
Revenue Next 2Y3.51%
Revenue Next 3Y4.43%
Revenue Next 5Y5.11%
EBIT growth 1Y8%
EBIT growth 3Y18.1%
EBIT growth 5Y21.73%
EBIT Next Year40.14%
EBIT Next 3Y16.76%
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 FAQ
What is the fundamental rating for LIN stock?
ChartMill assigns a fundamental rating of 6 / 10 to LIN.
Can you provide the valuation status for LINDE PLC?
ChartMill assigns a valuation rating of 3 / 10 to LINDE PLC (LIN). This can be considered as Overvalued.
How profitable is LINDE PLC (LIN) stock?
LINDE PLC (LIN) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for LIN stock?
The Earnings per Share (EPS) of LINDE PLC (LIN) is expected to grow by 7.07% in the next year.
Can you provide the dividend sustainability for LIN stock?
The dividend rating of LINDE PLC (LIN) is 4 / 10 and the dividend payout ratio is 39.08%.