Air Products and Chemicals, Inc.

DB:AP3 Stock Report

Market Cap: €62.9b

Air Products and Chemicals Valuation

Is AP3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AP3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AP3 (€282) is trading below our estimate of fair value (€980.18)

Significantly Below Fair Value: AP3 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AP3?

Key metric: As AP3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AP3. This is calculated by dividing AP3's market cap by their current earnings.
What is AP3's PE Ratio?
PE Ratio17.1x
EarningsUS$3.84b
Market CapUS$65.60b

Price to Earnings Ratio vs Peers

How does AP3's PE Ratio compare to its peers?

The above table shows the PE ratio for AP3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average39.4x
BAS BASF
76.4x31.4%€38.0b
SY1 Symrise
36.2x13.6%€14.2b
HEI Heidelberg Materials
11.5x8.7%€21.3b
EVK Evonik Industries
33.5x32.9%€7.7b
AP3 Air Products and Chemicals
17.1x1.3%€65.6b

Price-To-Earnings vs Peers: AP3 is good value based on its Price-To-Earnings Ratio (17.1x) compared to the peer average (39.4x).

Price to Earnings Ratio vs Industry

How does AP3's PE Ratio compare vs other companies in the European Chemicals Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
AP3 17.1xIndustry Avg. 16.9xNo. of Companies12PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AP3 is expensive based on its Price-To-Earnings Ratio (17.1x) compared to the European Chemicals industry average (16.9x).

Price to Earnings Ratio vs Fair Ratio

What is AP3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AP3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.1x
Fair PE Ratio17.7x

Price-To-Earnings vs Fair Ratio: AP3 is good value based on its Price-To-Earnings Ratio (17.1x) compared to the estimated Fair Price-To-Earnings Ratio (17.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AP3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€282.00
€336.79
+19.4%
7.3%€381.14€279.82n/a21
Dec ’25€315.30
€326.63
+3.6%
6.2%€359.67€274.49n/a21
Nov ’25€285.20
€306.31
+7.4%
8.0%€353.97€252.84n/a21
Oct ’25€265.00
€270.48
+2.1%
9.3%€317.65€187.91n/a23
Sep ’25€250.30
€271.33
+8.4%
9.7%€320.53€189.61n/a23
Aug ’25€271.20
€264.02
-2.6%
11.1%€328.98€194.61n/a23
Jul ’25€238.10
€261.40
+9.8%
11.0%€330.61€195.57n/a23
Jun ’25€241.00
€248.52
+3.1%
11.1%€327.24€193.58n/a23
May ’25€216.40
€253.31
+17.1%
11.7%€332.03€196.41n/a23
Apr ’25€224.00
€247.86
+10.7%
11.9%€330.51€195.51n/a22
Mar ’25€217.50
€251.68
+15.7%
13.3%€328.45€194.29n/a23
Feb ’25€237.30
€284.72
+20.0%
9.0%€326.56€220.78n/a23
Jan ’25€245.90
€280.80
+14.2%
8.6%€322.66€218.14n/a23
Dec ’24€251.90
€281.63
+11.8%
8.4%€323.16€218.47€315.3023
Nov ’24€265.90
€315.10
+18.5%
6.3%€360.73€284.79€285.2023
Oct ’24€270.70
€311.64
+15.1%
6.4%€359.56€283.86€265.0023
Sep ’24€272.50
€300.96
+10.4%
6.7%€347.97€274.71€250.3022
Aug ’24€275.80
€292.84
+6.2%
6.6%€343.73€267.84€271.2022
Jul ’24€269.00
€301.25
+12.0%
6.3%€355.59€277.08€238.1024
Jun ’24€254.00
€307.26
+21.0%
6.8%€360.24€280.71€241.0024
May ’24€264.20
€300.76
+13.8%
6.7%€343.09€274.47€216.4023
Apr ’24€261.55
€306.62
+17.2%
7.2%€357.82€278.82€224.0023
Mar ’24€269.65
€309.26
+14.7%
7.5%€359.79€274.97€217.5024
Feb ’24€290.70
€305.32
+5.0%
8.6%€363.66€258.44€237.3024
Jan ’24€290.00
€304.63
+5.0%
8.8%€371.70€264.15€245.9022
Dec ’23€297.60
€297.82
+0.07%
8.1%€377.44€261.31€251.9022

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 17:59
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Air Products and Chemicals, Inc. is covered by 43 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
William SeleskyArgus Research Company
David MantheyBaird
Sergey VasnetsovBarclays