Linde (LIN) Valuation in Focus as Leadership Transition Plans Announced

Linde (LIN) announced that CEO Sanjiv Lamba will assume the additional role of Chairman of the Board in early 2026. Steve Angel is preparing to retire after a long tenure.

See our latest analysis for Linde.

Leadership changes at the top often create waves, but Linde’s steady approach and robust contract backlog have helped maintain confidence. While the stock has seen a modest dip of nearly 1% over the past month, its 1-year total shareholder return remains positive. This highlights resilience and long-term growth potential as momentum holds steady.

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Despite a proven track record and steady financials, Linde’s valuation sits just below analyst targets. Is this a timely entry point for long-term investors, or has the market already factored in future growth?

Most Popular Narrative: 8% Undervalued

Linde’s most followed narrative sees more upside, with an estimated fair value of $511 compared to the last close at $469.48. The numbers suggest momentum is underpinned by strong fundamental drivers and ambitious future targets.

Linde's project backlog has doubled over the last 4 years, anchored by long-term, fixed-fee contracts supporting U.S. clean energy and electronics infrastructure. Management expects this robust pipeline to remain at record levels, positioning the company for steady multi-year revenue and earnings growth.

Read the complete narrative.

Want to know the growth blueprint behind this high valuation? The key element of this narrative is record-breaking earnings and a future profit multiple usually associated with tech leaders. Interested in which bold financial projections support that price target? Dive deeper to see the surprising numbers that drive this fair value calculation.

Result: Fair Value of $511 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, global economic softness and overcapacity pressures in key markets could quickly challenge growth assumptions and impact Linde’s ambitious margin outlook.

Find out about the key risks to this Linde narrative.

Another View: Multiples Comparison Raises Questions

While the consensus price target points to potential upside, Linde’s current price-to-earnings ratio of 32.8 is above both its industry peer average (26.7) and the estimated fair ratio of 26. In practical terms, this premium could signal limited upside and increased risk if expectations slip. Are investors paying too much for certainty?

See what the numbers say about this price — find out in our valuation breakdown.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Linde for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own Linde Narrative

If you see things differently or want to do a little digging of your own, crafting a personalized take takes just a few minutes. Do it your way.

A great starting point for your Linde research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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