--- title: "Is It Too Late To Consider Buying Linde (LIN) After Its Strong Multi‑Year Rally?" type: "News" locale: "en" url: "https://longbridge.com/en/news/277091095.md" description: "Linde (LIN) has seen significant stock price increases, closing at US$508.27, with returns of 4.7% over 7 days and 120.0% over 5 years. However, valuation analyses indicate the stock may be overvalued by 27.9% based on a Discounted Cash Flow model, estimating an intrinsic value of US$397.28 per share. Additionally, Linde's P/E ratio of 34.41x exceeds the industry average, suggesting overvaluation. Investors are encouraged to consider various narratives and forecasts to assess Linde's fair value in light of its strong market position in industrial gases." datetime: "2026-02-26T20:15:50.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/277091095.md) - [en](https://longbridge.com/en/news/277091095.md) - [zh-HK](https://longbridge.com/zh-HK/news/277091095.md) --- # Is It Too Late To Consider Buying Linde (LIN) After Its Strong Multi‑Year Rally? - If you are wondering whether Linde is still reasonably priced after its recent run, this breakdown will help you see how the current share price lines up with different measures of value. - The stock last closed at US$508.27, with returns of 4.7% over 7 days, 11.7% over 30 days, 18.4% year to date, 11.6% over 1 year, 51.0% over 3 years and 120.0% over 5 years. - Recent coverage has focused on Linde as a large industrial gases company. Investors are paying close attention to its role in sectors such as manufacturing and energy. This backdrop has kept interest high as the market weighs how future projects, investments and long term contracts might affect the long term story and what investors are currently willing to pay for the shares. - Right now Linde scores 1 out of 6 on our valuation checks for being undervalued. You can see the full breakdown in our valuation score. We will unpack this using several common methods before looking at a more complete way to think about what the stock is worth. Linde scores just 1/6 on our valuation checks. See what other red flags we found in the full valuation breakdown. ## Approach 1: Linde Discounted Cash Flow (DCF) Analysis A Discounted Cash Flow, or DCF, model projects a company’s future cash flows and then discounts them back to today using a required rate of return. The idea is to estimate what those future cash flows are worth in today’s dollars and compare that with the current share price. For Linde, the model used is a 2 Stage Free Cash Flow to Equity approach built on cash flow projections. The latest twelve month free cash flow is about $5.74b. Analyst estimates and extrapolated figures suggest projected free cash flow of $9.40b by 2030, with a series of annual projections between 2026 and 2035 that are discounted back to today. Pulling all of those discounted cash flows together, the DCF model arrives at an estimated intrinsic value of about $397.28 per share. Compared with the recent share price of US$508.27, this indicates the stock is roughly 27.9% overvalued based on these cash flow assumptions. **Result: OVERVALUED** Our Discounted Cash Flow (DCF) analysis suggests Linde may be overvalued by 27.9%. Discover 53 high quality undervalued stocks or create your own screener to find better value opportunities. LIN Discounted Cash Flow as at Feb 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Linde. ## Approach 2: Linde Price vs Earnings For a profitable company like Linde, the P/E ratio is a useful way to think about what you are paying for each dollar of current earnings. Investors usually accept a higher P/E when they expect stronger growth or see the earnings as relatively resilient, and a lower P/E when they see more risk or slower growth. Linde currently trades on a P/E of 34.41x. That sits above the broader Chemicals industry average P/E of 24.38x and below the peer group average of 40.17x. Simply comparing with peers or the industry gives you a rough sense of how the market is pricing Linde, but it does not adjust for the company’s specific earnings growth profile, profit margins, size or risk. To address that, Simply Wall St estimates a “Fair Ratio” for Linde of 28.92x. This is a proprietary P/E level that reflects factors such as the company’s earnings growth, its industry, profit margins, market capitalization and risk profile. Because it is tailored to the company, this Fair Ratio can be more informative than a simple comparison with peers or the sector. With the current P/E of 34.41x sitting above the Fair Ratio of 28.92x, the shares screen as overvalued on this metric. **Result: OVERVALUED** NasdaqGS:LIN P/E Ratio as at Feb 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 21 top founder-led companies. ### Upgrade Your Decision Making: Choose your Linde Narrative Earlier we mentioned that there is an even better way to think about valuation. On Simply Wall St this comes through Narratives, where you set out your own story for Linde, link that story to specific forecasts for revenue, earnings and margins, and then see a Fair Value that you can compare with the current price. All of this is available within an easy tool on the Community page that updates automatically when new earnings or news arrive. For instance, one investor might build a more optimistic Linde Narrative that lines up with a higher fair value closer to US$576, based on stronger long term project expectations. Another might build a more cautious Narrative tied to a lower fair value near US$381. By seeing those different views side by side, you can decide which story and valuation feels more realistic for you. Do you think there's more to the story for Linde? Head over to our Community to see what others are saying! NasdaqGS:LIN 1-Year Stock Price Chart _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._ ### **New:** AI Stock Screener & Alerts Our new AI Stock Screener scans the market every day to uncover opportunities. • Dividend Powerhouses (3%+ Yield) • Undervalued Small Caps with Insider Buying • High growth Tech and AI Companies Or build your own from over 50 metrics. 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