Air Products and Chemicals, Inc.

NYSE:APD Stock Report

Market Cap: US$72.9b

Air Products and Chemicals Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • 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 APD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: APD ($327.85) is trading below our estimate of fair value ($487.39)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for APD. This is calculated by dividing APD's market cap by their current earnings.
What is APD's PE Ratio?
PE Ratio19x
EarningsUS$3.84b
Market CapUS$72.92b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for APD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average41x
LIN Linde
33.6x9.4%US$211.4b
ECL Ecolab
33.5x6.6%US$69.2b
SHW Sherwin-Williams
36.5x8.8%US$93.7b
CTVA Corteva
60.3x26.2%US$40.0b
APD Air Products and Chemicals
19x1.4%US$72.9b

Price-To-Earnings vs Peers: APD is good value based on its Price-To-Earnings Ratio (19x) compared to the peer average (41x).

Price to Earnings Ratio vs Industry

How does APD's PE Ratio compare vs other companies in the US Chemicals Industry?

7 CompaniesPrice / EarningsEstimated GrowthMarket Cap
FFHL Fuwei Films (Holdings)
2.8xn/aUS$27.11m
BSLK Bolt Projects Holdings
0.06xn/aUS$9.40m
BON Bon Natural Life
2.4xn/aUS$5.36m
GSPI Green Star Products
1.7xn/aUS$1.49m
APD 19.0xIndustry Avg. 23.2xNo. of Companies7PE01224364860+
7 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: APD is good value based on its Price-To-Earnings Ratio (19x) compared to the US Chemicals industry average (23.2x).

Price to Earnings Ratio vs Fair Ratio

What is APD'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.

APD PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19x
Fair PE Ratio20.1x

Price-To-Earnings vs Fair Ratio: APD is good value based on its Price-To-Earnings Ratio (19x) compared to the estimated Fair Price-To-Earnings Ratio (20.1x).

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 APD forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$327.85
US$340.21
+3.8%
7.9%US$380.00US$275.00n/a21
Nov ’25US$309.21
US$333.16
+7.7%
8.0%US$385.00US$275.00n/a21
Oct ’25US$291.43
US$302.28
+3.7%
9.3%US$355.00US$210.00n/a23
Sep ’25US$278.85
US$300.51
+7.8%
9.7%US$355.00US$210.00n/a23
Aug ’25US$287.47
US$284.90
-0.9%
11.1%US$355.00US$210.00n/a23
Jul ’25US$247.34
US$280.69
+13.5%
11.0%US$355.00US$210.00n/a23
Jun ’25US$266.70
US$269.60
+1.1%
11.1%US$355.00US$210.00n/a23
May ’25US$237.49
US$270.84
+14.0%
11.7%US$355.00US$210.00n/a23
Apr ’25US$243.42
US$266.23
+9.4%
11.9%US$355.00US$210.00n/a22
Mar ’25US$236.00
US$272.03
+15.3%
13.3%US$355.00US$210.00n/a23
Feb ’25US$259.56
US$309.51
+19.2%
9.0%US$355.00US$240.00n/a23
Jan ’25US$273.80
US$308.94
+12.8%
8.6%US$355.00US$240.00n/a23
Dec ’24US$272.64
US$309.38
+13.5%
8.4%US$355.00US$240.00n/a23
Nov ’24US$283.41
US$331.93
+17.1%
6.3%US$380.00US$300.00US$309.2123
Oct ’24US$283.40
US$329.36
+16.2%
6.4%US$380.00US$300.00US$291.4323
Sep ’24US$298.02
US$328.66
+10.3%
6.7%US$380.00US$300.00US$278.8522
Aug ’24US$302.41
US$328.00
+8.5%
6.6%US$385.00US$300.00US$287.4722
Jul ’24US$299.53
US$326.17
+8.9%
6.3%US$385.00US$300.00US$247.3424
Jun ’24US$273.17
US$328.38
+20.2%
6.8%US$385.00US$300.00US$266.7024
May ’24US$296.18
US$328.74
+11.0%
6.7%US$375.00US$300.00US$237.4923
Apr ’24US$287.21
US$329.91
+14.9%
7.2%US$385.00US$300.00US$243.4223
Mar ’24US$288.28
US$331.79
+15.1%
7.5%US$386.00US$295.00US$236.0024
Feb ’24US$318.13
US$330.79
+4.0%
8.6%US$394.00US$280.00US$259.5624
Jan ’24US$308.26
US$322.91
+4.8%
8.8%US$394.00US$280.00US$273.8022
Dec ’23US$312.04
US$307.73
-1.4%
8.1%US$390.00US$270.00US$272.6422
Nov ’23US$252.12
US$290.32
+15.2%
7.3%US$335.00US$251.00US$283.4122

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

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