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Linde’s Strategic Positioning and Growth Prospects Justify Buy Rating

Linde’s Strategic Positioning and Growth Prospects Justify Buy Rating

BMO Capital analyst John McNulty has maintained their bullish stance on LIN stock, giving a Buy rating today.

John McNulty has given his Buy rating due to a combination of factors that suggest Linde is well-positioned for future growth. The management of Linde has demonstrated confidence in their growth strategy, focusing on stable pricing, a robust backlog, and strategic buybacks. Despite some uncertainties in end-market demand and macroeconomic factors, the company has managed to offset volume softness with favorable foreign exchange movements.
Furthermore, Linde’s pricing strategy remains strong, with expectations to pass through inflation-driven pricing across all regions. The company is on track to meet its organic EPS growth target of 8-11% by 2025, supported by efficiency gains, new projects, and a normalized energy cost environment. Additionally, Linde’s focus on clean energy projects is expected to accelerate long-term earnings growth, contributing to potential multiple expansions. These factors collectively underpin McNulty’s optimistic outlook and Buy rating for Linde’s stock.

In another report released today, Barclays also maintained a Buy rating on the stock with a $510.00 price target.

LIN’s price has also changed slightly for the past six months – from $465.110 to $454.070, which is a -2.37% drop .

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Questions or Comments about the article? Write to editor@tipranks.com