- Linde recently reported its second quarter results, showing year-over-year growth in sales and net income, and announced the commissioning of one of the world's largest helium storage caverns in Beaumont, Texas.
- The new helium facility highlights Linde’s initiative to strengthen global supply reliability for helium, a key material for sectors such as electronics, space, and healthcare.
- We’ll explore how the enhanced helium storage capacity and solid earnings results could affect Linde’s long-term growth outlook.
These 14 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.
Linde Investment Narrative Recap
To be a long-term Linde shareholder, you need to believe in the company’s resilience to industrial cycles and its ability to capture growth from energy transition and specialty gases. The latest quarterly results and the commissioning of a major helium cavern reinforce the earnings outlook but do not significantly impact the biggest near-term catalyst: project backlog conversion in clean energy and electronics. The main risk remains exposure to weak industrial demand in Europe, which could weigh on volumes if recovery is slow.
Among recent announcements, the launch of the Beaumont, Texas helium storage facility stands out. This expansion directly supports Linde’s focus on reliability and growth in high-value gas markets, especially as demand from sectors like electronics and healthcare increases. Stable specialty gases operations are seen as central to offsetting volatility in traditional markets.
However, investors should keep in mind that, while these developments are promising, there are ongoing risks related to European industrial demand that could pose challenges if...
Read the full narrative on Linde (it's free!)
Linde's narrative projects $38.7 billion revenue and $9.0 billion earnings by 2028. This requires 5.2% yearly revenue growth and a $2.3 billion earnings increase from $6.7 billion today.
Uncover how Linde's forecasts yield a $505.61 fair value, a 7% upside to its current price.
Exploring Other Perspectives
Five separate fair value estimates from the Simply Wall St Community range from US$339.68 to US$505.61 per share. While opinions differ widely, keep in mind that persistent industrial softness in key regions may influence future revenue momentum, explore more perspectives to see how views compare.
Explore 5 other fair value estimates on Linde - why the stock might be worth 28% less than the current price!
Build Your Own Linde Narrative
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
- A great starting point for your Linde research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.
- Our free Linde research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Linde's overall financial health at a glance.
Ready For A Different Approach?
Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped:
- This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality.
- AI is about to change healthcare. These 26 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.
- Rare earth metals are an input to most high-tech devices, military and defence systems and electric vehicles. The global race is on to secure supply of these critical minerals. Beat the pack to uncover the 26 best rare earth metal stocks of the very few that mine this essential strategic resource.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com