About Linde plc
Linde plc (LIN) is a Basic Materials company in the Industrial Inorganic Chemicals industry with a market capitalisation of $226.3B. The stock trades at 31.47x trailing earnings and yields 1.27%.
- Sector
- Basic Materials
- Industry
- Industrial Inorganic Chemicals
- Market cap
- $226.3B
- P/E ratio
- 31.47
- EPS (TTM)
- $14.61
- Revenue (TTM)
- $34B
- Free cash flow
- $5.1B
- Profit margin
- 20.3%
- Dividend yield
- 1.27%
- Shares outstanding
- 461M
Financial health: Fair7/10
5 strengths, 1 concern. Weakest points: current ratio.
- Debt to equity: 0.71 (Watch, benchmark < 0.5) — Debt of 0.71x equity is moderate against the 0.5x benchmark. It has deteriorated over the last 4 years.
- Net debt vs cash flow: 4.3y (Watch, benchmark < 4 years) — Net debt of $21.9B is 4.3x annual free cash flow — about 4 years of cash flow to repay.
- Current ratio: 0.88 (Concern, benchmark > 1.5) — Short-term assets cover only 0.88x short-term liabilities — below 1.0, meaning bills due this year exceed the assets on hand to pay them. It has improved over the last 4 years.
- Return on equity: 18.0% (Strong, benchmark > 15%) — Earns 18.0% on shareholder equity, comfortably past the > 15% mark.
- Gross margin: 48.4% (Strong, benchmark > 40%) — Keeps 48.4% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 20.3% (Strong, benchmark > 10%) — Turns 20.3% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $5.1B (Strong, benchmark positive) — Generated $5.1B of free cash flow after capital spending. It has deteriorated over the last 4 years.
- Revenue growth: 3.0% (Watch, benchmark > 10%) — Revenue changed 3.0% year on year, short of the > 10% mark.
- Earnings growth: 5.1% (Watch, benchmark > 10%) — Earnings changed 5.1% year on year, short of the > 10% mark.
- Payout ratio: 40.8% (Strong, benchmark < 60%) — Pays out 40.8% of earnings as dividends, leaving room to keep paying.