409.15 USD
+0.36 (+0.09%)
408.67 USD
-0.48 (-0.12%)
LIN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 81 industry peers in the Chemicals industry. While LIN has a great profitability rating, 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
In the past year LIN was profitable.
In the past year LIN had a positive cash flow from operations.
Each year in the past 5 years LIN has been profitable.
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.
LIN has a Return On Invested Capital of 9.49%. This is amongst the best in the industry. LIN outperforms 80.25% of its industry peers.
LIN had an Average Return On Invested Capital over the past 3 years of 8.64%. This is above the industry average of 6.15%.
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
The Profit Margin of LIN (21.17%) is better than 100.00% of its industry peers.
In the last couple of years the Profit Margin of LIN has grown nicely.
Looking at the Operating Margin, with a value of 27.52%, 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 Operating Margin of LIN has grown nicely.
LIN has a better Gross Margin (48.78%) than 93.83% 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
LIN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, LIN has less shares outstanding
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 3.38 indicates that LIN is not in any danger for bankruptcy at the moment.
LIN has a Altman-Z score of 3.38. This is amongst the best in the industry. LIN outperforms 85.19% 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 has a Debt to FCF ratio of 5.11. This is amongst the best in the industry. LIN outperforms 81.48% of its industry peers.
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 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 | 3.38 |
ROIC/WACC1.11
WACC8.58%
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.
LIN has a Current ratio of 0.82. This is amonst the worse of the industry: LIN underperforms 92.59% of its industry peers.
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.
LIN has a worse Quick ratio (0.69) 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
LIN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.20%.
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%.
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.
Based on estimates for the next years, LIN will show a small growth in Revenue. The Revenue will grow by 5.11% on average per year.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 25.23 indicates a quite expensive valuation of LIN.
The rest of the industry has a similar Price/Earnings ratio as LIN.
The average S&P500 Price/Earnings ratio is at 26.37. LIN is around the same levels.
LIN is valuated rather expensively with a Price/Forward Earnings ratio of 22.52.
LIN's Price/Forward Earnings is on the same level as the industry average.
LIN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.23 | ||
| Fwd PE | 22.52 |
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 ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.64 | ||
| EV/EBITDA | 16.03 |
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)3.57
PEG (5Y)1.57
EPS Next 2Y8.24%
EPS Next 3Y8.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.47%, LIN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.88, LIN has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.32, LIN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
On average, the dividend of LIN grows each year by 9.70%, which is quite nice.
LIN has paid a dividend for at least 10 years, which is 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%
409.15
+0.36 (+0.09%)
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 Cap191.05B
Revenue(TTM)33.50B
Net Income(TTM)7.09B
Analysts79.33
Price Target513.64 (25.54%)
Short Float %1.42%
Short Ratio2.84
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 | 25.23 | ||
| Fwd PE | 22.52 | ||
| P/S | 5.7 | ||
| P/FCF | 37.64 | ||
| P/OCF | 18.86 | ||
| P/B | 4.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.03 |
EPS(TTM)16.22
EY3.96%
EPS(NY)18.17
Fwd EY4.44%
FCF(TTM)10.87
FCFY2.66%
OCF(TTM)21.69
OCFY5.3%
SpS71.75
BVpS82.7
TBVpS-2.45
PEG (NY)3.57
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 | 3.38 |
F-Score6
WACC8.58%
ROIC/WACC1.11
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%.