Is Linde plc Stock Underperforming the S&P 500?

Linde plc (LIN) is a leading global industrial gases company specializing in the manufacturing and distribution of oxygen, nitrogen, and hydrogen to industries such as healthcare, manufacturing, and energy. Its principal executive offices are headquartered in Woking, the United Kingdom. The company has a market capitalization of $232.63 billion, which classifies it as a “mega-cap” stock.

Linde’s shares had reached a 52-week high of $504.49 on Feb. 24, and are only marginally down from that level, as the company increased its quarterly dividend by 7%. The stock has increased 23.6% over the past three months. On the other hand, the broader S&P 500 Index ($SPX) has gained 2.8% over the same period. 

However, over a more extended period, this outperformance does not persist. Over the past 52 weeks, Linde’s stock has gained 9.9%, underperforming the S&P 500 Index’s 15.2% gains. The stock is up 18.2% year-to-date (YTD), while the index is only up marginally. Linde’s shares have been trading above its 200-day moving average since early February and higher than its 50-day moving average since late December. 

For the fourth-quarter of fiscal 2025, Linde’s sales increased 6% year-over-year (YOY) to $8.76 billion, with a 3% growth in underlying sales. In the Americas segment, sales grew by 8% from the year-ago value to $3.88 billion. Underlying sales in the segment increased 4%, driven by 3% higher pricing and 1% higher volumes (mainly in the electronics end market). 

The company’s defensive industrial positioning and structural growth prospects have made the stock attractive to investors. Analysts are also seeing upsides in the company’s fundamentals. They expect Linde’s diluted EPS to climb 8.1% YOY to $4.27 for the current quarter. For fiscal 2026, EPS is projected to surge 8.1% annually to $17.79, followed by a 9% growth to $19.39 in fiscal 2027.

We compare Linde’s performance with that of another gas provider, Air Products and Chemicals, Inc. (APD), which has declined 9.7% over the past 52 weeks but gained 13.1% YTD. Therefore, Linde has been the clear outperformer over these periods.

Wall Street analysts are strongly bullish on Linde’s stock. The stock has a consensus rating of “Strong Buy” from the 24 analysts covering it. The mean price target of $518.36 implies a 2.8% upside from current levels. The Street-high price target of $565 indicates a 12.1% upside.