LIN

The fuel cell maker's earnings multiple is measured on a trailing year, while the guidance management has raised describes a far bigger business. That mismatch moves the buy decision onto delivery rather than demand. Bloom Energy (BE) has returned about 530% over the trailing twelve months and still trades roughly 31% below its 52-week high. At about $237 a share it changes hands at 278 times trailing earnings, against 23.8 for the S&P 500. Whether that gap is a warning or a lag depends on what the trailing figures measure. The Business Changed Faster Than The Trailing Window Bloom sells solid oxide fuel cell systems for on-site power generation. By its own account it took nearly a decade to become the standard supplier to hospitals, factories and university campuses, and less than a year to become one for AI data centers, where every major U.S. hyperscaler and more than a dozen neoclouds, AI labs, and colocation operators have validated its power solutions. Revenue over the trailing twelve months was $3.1 billion, up from $1.6 billion a year earlier, while the second quarter of 2026 alone brought $1.065 billion, up 166% year over year. A multiple measured across that window is priced against quarters that predate the ramp, which is why the raised full-year 2026 outlook matters more: revenue of $3.9 billion to $4.2 billion, and non-GAAP diluted earnings of $2.55 to $2.85 a share. Where The Twenty-Five Billion Actually Sits Most customers never buy the equipment outright. A financier purchases the energy servers and serves the end customer under the contract Bloom originated. Brookfield anchors that financing shelf: the partnership was formed last fall at $5 billion and expanded fivefold in June to $25 billion. That commitment is available project capital rather than an order book. What the trailing year shows is mixed: the business turns 23.7% of revenue into operating cash flow against 21.8% for the market, while its operating margin of 11.2% still trails the market's 18.4%. Holdings in the Trefis High Quality Portfolio tend to be businesses where growth, strong margins and cash generation already sit together. Lumpy Deliveries And A Withdrawn Cash Flow Guide The company flags the fragile part of its model: large campus deliveries are lumpy, and revenue can look concentrated in one or two customers in any single quarter, a concentration management attributes to delivery timing rather than backlog composition. Alongside the raised revenue and operating income outlooks, free cash flow guidance is no longer part of the presentation, a change the CFO described as aligning it with what the company truly guides, while saying conversion from operating income into cash remains strong. Separately, a securities class action covering stock purchases from February 2025 through July 2026 alleges false or misleading statements by the company and certain of its top executives. And when markets have broken this stock has fallen harder: down 78% in the 2020 pandemic crash against 34% for the S&P 500. The options market prices implied volatility at 98, the 15th percentile of its own trailing one-year range: high by most standards, low by this stock's own. At 278 times trailing earnings the price already pays for deliveries landing on schedule and the cash arriving behind them, making this a delivery question rather than a demand one. A slipped campus quarter with no conversion is where the multiple turns from a lag into a warning, and the same five factors on every stock are where both would show. Buy It Or Fear It, How Much Of It Should You Own? Whichever way the call lands, the bigger question is how much of any single stock belongs in a portfolio at all. A position that has grown large enough to matter is worth sizing deliberately rather than by accident. What a position that size would do to your net worth is exactly what the Trefis Wealth team computes, with the same rules-based systematic discipline that runs our High Quality Portfolio. Request a free vulnerability audit of your biggest positions.

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Linde (LIN) stock is in focus after the company released second quarter 2026 results, reporting sales of US$9.289b and net income of US$1.928b, along with higher earnings per share compared with a year earlier. See our latest analysis for Linde. Despite record quarterly figures and new long-term contracts in semiconductors and renewable power, Linde’s recent share price has pulled back, with the 30 day share price return down 10.34% while the 5 year total shareholder return is 67.37%. This suggests longer term holders have still seen substantial gains even as near term momentum has faded. If earnings news has you rethinking where growth could come from next, this is a good moment to broaden your search and review 35 power grid technology and infrastructure stocks Linde now trades only slightly below one intrinsic estimate, yet sits at a double digit discount to analyst targets after a 10% pullback. Is the market showing healthy caution or mispricing a quality industrial gas giant? Linde closed at $478.38, while the most followed narrative places fair value around $545.44, which implies meaningful upside in that framework. Read the complete narrative. Read the complete narrative. Want to see what sits behind that backlog story? Analysts are baking in steady revenue expansion, rising margins and a premium future earnings multiple. Curious which assumptions really carry that valuation. The narrative applies a 7.87% discount rate and leans on projected revenue growth, fatter profit margins and a higher future P/E to bridge today’s price to a fair value of about $545.44. It ties those inputs to Linde’s role in gases for clean energy, electronics and commercial space, where long term contracts and capital projects shape the earnings path more than short term volume swings. Result: Fair Value of $545.44 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Linde’s story could look very different if industrial demand in Europe stays weak, or if clean energy projects and hydrogen adoption progress more slowly than analysts expect. Find out about the key risks to this Linde narrative. The earlier narrative leans on discounted cash flows to argue Linde looks modestly undervalued. A simpler lens tells a tighter story. At a P/E of 31.2x, Linde trades above the US Chemicals industry on 24.8x and above an estimated fair ratio of 25.5x. That points to less of a safety cushion if expectations slip. For a closer look at how this earnings multiple stacks up by sector and versus that fair ratio the market could move toward over time, See what the numbers say about this price — find out in our valuation breakdown. This mix of optimism and caution around Linde makes the next move an open question, so it is worth checking the underlying data yourself and deciding where you stand. To balance the concerns and potential upside in one place, review the full breakdown of 3 key rewards and 3 important warning signs If Linde has you thinking more carefully about where to put your capital next, do not stop here. The companies that best fit your goals might be elsewhere. Target stability and income by reviewing companies that appear to be consistent payers and potential compounders through the 9 dividend fortresses Hunt for potential value opportunities by scanning stocks that combine quality fundamentals with appealing prices in the 55 high quality undervalued stocks Prioritise capital protection by checking companies that score well on resilience and risk in the 81 resilient stocks with low risk scores 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. Companies discussed in this article include LIN. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved record sales and EPS growth of near double-digits, supported by a record project backlog of $8.1 billion following significant electronics wins in the Western U.S. Operating margins excluding cost pass-through declined 30 basis points, primarily due to persistent headwinds in the U.S. homecare business (Lincare) and a mix shift toward lower-margin equipment sales. Management is actively evaluating the strategic fit of the U.S. homecare business within the portfolio while implementing aggressive productivity and operational improvement actions. Electronics remains the fastest-growing end market, fueled by AI-related hardware demand and advanced node fab expansions in the U.S., Taiwan, and Korea. Manufacturing growth is being led by the U.S. market, specifically driven by aerospace activity and data center construction, which management views as a signal of a broader manufacturing recovery. Helium supply chains remain complex due to Middle East geopolitical tensions, but Linde has successfully leveraged its diverse sourcing to secure new long-term contracts and maintain reliability. Full-year EPS guidance was raised at the bottom end to a range of $17.70 to $17.90, assuming no economic improvement at the midpoint and a neutral stance on macro volatility. Expect to start up more than 20 projects in the remainder of the year, representing approximately $1.3 billion in investments, while maintaining a backlog with an '8 handle'. Sequential margin improvement is expected in the third quarter as management actions to address U.S. homecare inefficiencies and cost inflation take effect. The commercial space market is projected to be a $1 billion-plus opportunity by 2030, with increased base CAPEX allocated to support this growth. Helium markets are expected to begin normalizing in early 2027, though the pace of recovery depends on the resolution of logistical challenges in the Strait of Hormuz. The U.S. homecare business (Lincare) continues to face structural challenges from labor cost inflation and unfavorable policy changes in the reimbursement environment. Higher equipment and hardgoods sales in the Americas and APAC are currently dilutive to margins but are viewed as strategic 'pull-through' mechanisms for future high-margin gas sales. Geopolitical instability in the Middle East has forced some industrial scaling back in Asian markets like India and China due to hydrocarbon dependency. Linde's Taiwan JV secured approximately $800 million in electronics wins not currently included in the primary sale-of-gas backlog. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed that excluding the Lincare business, Americas margins would have increased by 20 basis points. The company is evaluating the strategic fit and options for the U.S. homecare business while focusing on improving its operational performance., while a new management team focuses on pruning the portfolio and improving quality. The electronics pipeline is robust globally, with significant opportunities in the U.S., Taiwan, Korea, and China. While equipment sales for electronics have lower margins, they are critical for locking in long-term gas supply contracts for advanced semiconductor fabs. Linde is seeing a trend where some large space customers desire vertical integration for atmospheric gases, similar to traditional on-site industrial customers. The company is flexible in offering both 'sale of gas' and 'sale of plant' models, often including operate-and-maintain agreements to manage customer-owned infrastructure. Current helium contributions are positive on a dollar basis but dilutive on a margin basis due to high dislocation and logistics costs. Full market normalization is unlikely within this calendar year and will likely stretch into early 2027 depending on the restart of production in Qatar.

Interested in Linde PLC? Here are five stocks we like better. Linde reported record second-quarter sales of $9.3 billion and adjusted EPS of $4.50, up 9% and 10% year over year, respectively. However, operating margin declined to 29.5% due mainly to pressure in its U.S. home-care business and a mix shift toward lower-margin products. The company raised the low end of its full-year EPS outlook to $17.70–$17.90 and expects third-quarter EPS of $4.45–$4.55. Linde is implementing operational improvements at Lincare while evaluating the business’s strategic fit. Strong electronics demand, particularly from semiconductor and AI-related projects, lifted Linde’s sale-of-gas backlog to a record $8.1 billion. The company plans to start more than 20 projects involving roughly $1.3 billion of investment during the rest of 2026, while also pursuing growth in commercial space and maintaining helium supplies amid geopolitical disruptions. Buy, Hold, or Wait: 3 Small-Cap Stocks Telling Different Stories Linde (NASDAQ:LIN) reported record second-quarter sales and earnings per share, while expanding its sale-of-gas project backlog to a record $8.1 billion following a new U.S. electronics contract. The industrial-gases company also said it expects to start more than 20 projects during the remainder of 2026, representing approximately $1.3 billion of investment. Chief Executive Officer Sanjiv Lamba said sales and EPS both increased at near-double-digit rates during the quarter. However, he said the company was not satisfied with its margin performance, citing pressure in its U.S. home care business and a sales mix that included higher volumes of lower-margin equipment and hard goods. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now China's Helium Ban Could Reshape the AI Supply Chain Second-quarter sales totaled $9.3 billion, up 9% from a year earlier and 6% sequentially, Chief Financial Officer Matt White said. Foreign exchange added 2 percentage points to year-over-year sales growth, while acquisitions and engineering each contributed 1 percentage point. Higher cost pass-through added another 1 percentage point. Excluding those items, underlying sales increased 4%, split between higher volume and pricing. Nearly half of the volume increase came from project startups in Asia-Pacific and the Americas, while the balance reflected organic growth in the U.S., China, Korea, India and the company’s advanced materials business. Pricing rose 2% from a year earlier, broadly tracking local inflation, White said. → Microsoft Just Flipped the AI Spending Narrative Overnight Helium Stocks Soar on Conflict and Chip Demand: 5 Names to Know Operating margin was 29.5%, down 60 basis points from the prior-year period, or down 30 basis points excluding cost pass-through. Adjusted EPS was $4.50, up 10% from a year earlier, aided by higher net income and a lower share count. Linde guided for third-quarter EPS of $4.45 to $4.55, representing growth of 6% to 8% from a year earlier. The outlook assumes no year-over-year currency impact but includes a 1% sequential foreign-exchange headwind. The company raised the lower end of its full-year EPS outlook by $0.10, projecting $17.70 to $17.90, or growth of 8% to 9%, excluding an assumed 1% foreign-exchange tailwind. → Carrier Earnings Could Send the Stock to a New All-Time High White said the company is not yet incorporating the second quarter’s improvement in base volumes into its forward outlook. At the midpoint, third-quarter EPS is expected to rise $0.05 sequentially excluding foreign exchange, reflecting actions underway to improve performance. Lamba said the Americas segment was the primary source of margin pressure, particularly the U.S. home care business, known as Lincare. He said continued cost inflation and policy changes have outweighed the benefits of portfolio pruning efforts. According to Lamba, Americas margins excluding the home care business would have risen 20 basis points, excluding cost pass-through. White said the home care profit headwind was higher than an analyst’s estimate of $30 million for the quarter, without providing a specific figure. The company has installed a new management team at Lincare and is pursuing operational improvements, productivity initiatives and additional portfolio actions. Lamba said Linde is also evaluating the strategic fit of the business, “both in part and as a whole,” while seeking to improve its performance. Higher sales of hard goods in the U.S. packaged-gases business also reduced margins, though management characterized the trend as a positive sign for manufacturing activity. U.S. hard-goods sales increased by a double-digit percentage from a year earlier. In Asia-Pacific, margins were affected by lower-margin equipment sales to electronics customers, which Linde said can support future gas-sales opportunities. Electronics remained Linde’s fastest-growing end market, supported by project startups and demand tied to artificial-intelligence-related hardware. The company added $1 billion of new U.S. electronics wins to its backlog to support advanced-node semiconductor fabrication investments. Linde has begun building plants under reimbursable letters of intent while final supply contracts are completed. Lamba said Linde expects electronics to remain its largest backlog contributor and one of its fastest-growing markets. The company is pursuing additional opportunities in the U.S., Taiwan, Korea and China. Separately, Linde’s Taiwan joint venture won projects requiring approximately $800 million of investment in air separation and hydrogen production units for new semiconductor fabrication and advanced-packaging facilities. The company expects its sale-of-gas backlog to still end 2026 with “an eight handle,” even after approximately $1.3 billion of project startups reduce the current $8.1 billion balance. Management said manufacturing was the fastest-growing industrial market, particularly in the U.S., where aerospace and data-center-related construction supported activity. Aerospace represented more than one-third of manufacturing growth during the quarter. Manufacturing volumes also increased in Asia-Pacific and the Americas. Metals and mining and chemicals and energy each grew at low-single-digit rates. Metals and mining was solid in the U.S. and Brazil, while chemicals growth was primarily driven by backlog contributions in Asia-Pacific. Lamba said these markets were otherwise broadly flat across other regions. Linde deployed $6 billion of capital year to date, split evenly between business investments and shareholder returns. Of that amount, $1.9 billion was directed to secured growth through acquisitions and project-backlog investments. White said the company expects secured growth to remain a significant use of capital given the record backlog, acquisition opportunities and project pipeline. The company increased its expected capital spending, with the additional investment tied to backlog wins and base capital expenditures supporting commercial-space customers. White said commercial-space customers may use a combination of sale-of-gas arrangements and customer-owned plants operated and maintained by Linde, particularly for atmospheric gases. He said Linde is not seeing the same dynamic in hydrogen supply. Lamba said the company remains on track to pursue a billion-dollar-plus space-market opportunity by 2030. On helium, Lamba said Linde has maintained supply to contracted customers amid disruption related to the Middle East and has signed new long-term customer contracts. He said improved pricing has been partly offset by dislocation costs, which have limited the immediate margin benefit. Linde expects a more normalized helium market next year, though the pace will depend on resolution of issues affecting the Strait of Hormuz and the resumption of production and logistics flows from Qatar. Linde (NASDAQ: LIN) is a multinational industrial gases and engineering company that supplies gases, related technologies and services to a wide range of industries. The company traces its current form to the 2018 combination of Germany's Linde AG and U.S.-based Praxair, creating one of the largest global providers of industrial, specialty and medical gases. Linde's business model centers on production, processing and distribution of gases as well as the design and construction of the plants and equipment needed to produce them. Core products and services include atmospheric and process gases such as oxygen, nitrogen and argon; hydrogen and helium; carbon dioxide; and a portfolio of higher‑value specialty and electronic gases. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Linde Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Linde (LIN) came out with quarterly earnings of $4.5 per share, beating the Zacks Consensus Estimate of $4.49 per share. This compares to earnings of $4.09 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +0.22%. A quarter ago, it was expected that this gas supplier would post earnings of $4.27 per share when it actually produced earnings of $4.33, delivering a surprise of +1.41%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Linde, which belongs to the Zacks Chemical - Specialty industry, posted revenues of $9.29 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.62%. This compares to year-ago revenues of $8.5 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Linde shares have added about 19.3% since the beginning of the year versus the S&P 500's gain of 8.7%. While Linde has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Linde was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $4.53 on $9.07 billion in revenues for the coming quarter and $17.89 on $35.97 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Chemical - Specialty is currently in the top 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Neo Performance Materials Inc. (NOPMF), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 11. This company is expected to post quarterly earnings of $0.50 per share in its upcoming report, which represents a year-over-year change of +177.8%. The consensus EPS estimate for the quarter has been revised 123.7% higher over the last 30 days to the current level. Neo Performance Materials Inc.'s revenues are expected to be $176.07 million, up 53.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Linde PLC (LIN) : Free Stock Analysis Report Neo Performance Materials Inc. (NOPMF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Second-Quarter Highlights Sales $9.3 billion, up 9% YoY, underlying sales up 4% Operating profit $2.6 billion, adjusted operating profit $2.7 billion, up 7% Operating profit margin 27.5%; adjusted operating profit margin 29.5% EPS $4.15, up 11%; adjusted EPS $4.50, up 10% YoY Second-quarter operating cash flow of $2.3 billion, up 3% YoY Full-year 2026 adjusted EPS guidance of $17.70 - $17.90 representing 8% to 9% growth Project backlog $11 billion WOKING, England, July 31, 2026--(BUSINESS WIRE)--Linde plc (Nasdaq: LIN) today reported second-quarter 2026 net income of $1,928 million and diluted earnings per share of $4.15, up 9% and up 11%, respectively. Excluding Linde AG purchase accounting impacts, adjusted net income was $2,089 million, up 8% versus prior year. Adjusted diluted earnings per share was $4.50, 10% above prior year. Linde’s sales for the second quarter were $9,289 million, up 9% versus prior year including 2% favorable currency impact. Compared to prior year, underlying sales increased 4% from 2% price attainment and 2% volumes, primarily in the electronics, manufacturing and chemicals & energy end markets. Acquisitions increased sales by 1%. Second-quarter operating profit was $2,554 million. Adjusted operating profit of $2,744 million was up 7% versus prior year resulting in an adjusted operating profit margin of 29.5%. Operating margin was 60 basis points lower than the previous year as higher price and productivity initiatives were offset by cost inflation. Second-quarter operating cash flow of $2,271 million increased 3% versus prior year. After capital expenditures of $1,438 million, free cash flow was $833 million. During the quarter, the company returned $1,590 million to shareholders through dividends and stock repurchases, net of issuances. Commenting on the financial results and business outlook, Chief Executive Officer Sanjiv Lamba said, "Linde employees delivered another solid quarter, generating record sales and EPS while maintaining industry-leading profitability with 29.5% operating margin and 23.5% return on capital. During the quarter, we also signed another long-term electronics supply contract in the U.S., increasing the sale of gas backlog to a record $8.1 billion." Lamba continued, "Customer proposal activity remains robust, primarily across the electronics end market, giving us confidence to further grow the backlog. Regardless of the economic climate, I’m confident the Linde team will continue to secure high-quality future growth projects while delivering long-term shareholder value." For the third quarter of 2026, Linde expects adjusted diluted earnings per share in the range of $4.45 to $4.55, up 6% to 8% versus prior-year quarter, with no expected impact from foreign currency translation. For the full year 2026, the company expects adjusted diluted earnings per share to be in the range of $17.70 to $17.90, up 8% to 9% when assuming favorable currency of 1% versus prior year. Full-year capital expenditures are expected to be in the range of $5.5 billion to $6.0 billion to support growth and maintenance requirements including the $8.1 billion contractual sale of gas project backlog. Second-Quarter 2026 Results by Segment Americas sales of $4,083 million were up 7% versus prior year. Compared with second quarter 2025, underlying sales increased 4%, driven by 2% higher pricing and 2% higher volumes, primarily in the electronics and manufacturing end markets. Operating profit of $1,272 million was 31.2% of sales, 50 basis points below prior year. APAC (Asia Pacific) sales of $1,870 million were up 13% versus prior year. Compared with second quarter 2025, underlying sales increased 8%, driven by 6% volumes primarily in the electronics and chemicals & energy end markets and project start-ups and 2% higher pricing. Operating profit of $531 million was 28.4% of sales, 120 basis points below prior year or 70 basis points when excluding the effects of cost pass-through. EMEA (Europe, Middle East & Africa) sales of $2,303 million were up 7% versus prior year. Compared with second quarter 2025, underlying sales increased 1%, driven by 2% higher pricing and lower volumes, primarily in the manufacturing end market. Operating profit of $823 million was 35.7% of sales, 40 basis points below prior year or 10 basis points higher when excluding the effects of cost pass-through. Linde Engineering sales were $625 million, up 13% versus prior year, and operating profit was $100 million or 16.0% of sales. Order intake for the quarter was $871 million and third-party sale of equipment backlog was $3.0 billion. Earnings Call A teleconference on Linde’s second-quarter 2026 results is being held today at 9:00 am EDT. Materials to be used in the teleconference are also available on the website. About Linde Linde is a leading global industrial gases and engineering company with 2025 sales of $34 billion. We live our mission of making our world more productive every day by providing high-quality solutions, technologies and services which are making our customers more successful and helping to sustain, decarbonize and protect our planet. Linde serves a variety of end markets such as chemicals & energy, food & beverage, electronics, healthcare, manufacturing, metals and mining. Linde’s industrial gases and technologies are used in countless applications, enabling space exploration and launch technologies, delivering ultra-high-purity and specialty gases for semiconductor manufacturing, providing life-saving medical oxygen and enabling clean hydrogen production and carbon capture to reduce greenhouse gas emissions. Linde also delivers state-of-the-art gas processing solutions to support customer growth, efficiency improvements and emissions reductions. For more information about the company and its products and services, please visit www.linde.com Adjusted amounts, free cash flow and return on capital are non-GAAP measures. See the attachments for a summary of non-GAAP reconciliations and calculations for adjusted amounts. Attachments: Summary Non-GAAP Reconciliations, Statements of Income, Balance Sheets, Statements of Cash Flows, Segment Information and Appendix: Non-GAAP Measures and Reconciliations. *Note: We are providing adjusted earnings per share ("EPS") guidance for 2026. This is a non-GAAP financial measure that represents diluted earnings per share from continuing operations (a GAAP measure) but excludes the impact of certain items that we believe are not representative of our underlying business performance, such as cost reduction and other charges, and the impact of other potentially significant items. Given the uncertainty of timing and magnitude of such items, we cannot provide a reconciliation of the differences between the non-GAAP adjusted EPS guidance and the corresponding GAAP EPS measure without unreasonable effort. Forward-looking Statements This document contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by terms and phrases such as: anticipate, believe, intend, estimate, expect, continue, should, could, may, plan, project, predict, will, potential, forecast, and similar expressions. They are based on management’s reasonable expectations and assumptions as of the date the statements are made but involve risks and uncertainties. These risks and uncertainties include, without limitation: the performance of stock markets generally; developments in worldwide and national economies and other international events and circumstances, including trade conflicts and tariffs; changes in foreign currencies and in interest rates; the cost and availability of electric power, natural gas and other raw materials; the ability to achieve price increases to offset cost increases; catastrophic events including natural disasters, epidemics, and acts of war and terrorism; the ability to attract, hire, and retain qualified personnel; the impact of changes in financial accounting standards; the impact of changes in pension plan liabilities; the impact of tax, environmental, healthcare and other legislation and government regulation in jurisdictions in which the company operates; the cost and outcomes of investigations, litigation and regulatory proceedings; the impact of potential unusual or non-recurring items; continued timely development and market acceptance of new products and applications; the impact of competitive products and pricing; future financial and operating performance of major customers and industries served; the impact of information technology system failures, network disruptions and cybersecurity breaches; and the effectiveness and speed of integrating new acquisitions into the business. These risks and uncertainties may cause future results or circumstances to differ materially from adjusted projections, estimates or other forward-looking statements. Linde plc assumes no obligation to update or provide revisions to any forward-looking statement in response to changing circumstances. The above listed risks and uncertainties are further described in Item 1A. Risk Factors in Linde plc’s Form 10-K for the fiscal year ended December 31, 2025 filed with the SEC on February 25, 2026 which should be reviewed carefully. Please consider Linde plc’s forward-looking statements in light of those risks. View source version on businesswire.com: https://www.businesswire.com/news/home/20260731229906/en/ Contacts Anna DaviesDirectorExternal CommunicationsLinde plcForge, 43 Church Street West, Woking, Surrey, GU21 6HT, United KingdomPhone: +44 1483 244705, Mobile: +44 [email protected] www.linde.com

This article first appeared on GuruFocus. Release Date: July 31, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Record sales and EPS levels in Q2 2026, with both growing at near double-digit percent year-over-year. Increased the project backlog by $1 billion to $8.1 billion, driven by a new electronics win in the US, with expectations to finish the year with an '8 handle'. Electronics remains the fastest-growing market, with strong momentum expected to continue, supported by AI-related hardware and new project startups. Manufacturing recovery is underway, particularly in the US, with aerospace accounting for more than a third of manufacturing growth and strong signals from the package business. Helium business is navigating Middle East disruptions effectively, signing new long-term contracts and achieving strong price improvements, with expectations of margin recovery in coming quarters. Margins excluding cost pass-through declined approximately 30 basis points year-over-year, primarily driven by the Americas segment. The US home care (LinCare) business continues to face headwinds from higher cost inflation and reimbursement changes, acting as a significant margin drag. Higher equipment and hard goods sales, while a positive sign for US manufacturing, are diluting margins in the short term. The company remains cautious on macroeconomic conditions, leaving guidance assumptions unchanged and not incorporating recent volume recovery into future forecasts. Ongoing Middle East disruptions, particularly in the Strait of Hormuz, are impacting industrial activity in Asia and creating uncertainty, with helium normalization not expected until early next year. Warning! GuruFocus has detected 7 Warning Signs with PAX. Is LIN fairly valued? Test your thesis with our free DCF calculator. Q: Can you dig a little bit deeper into the healthcare comment? Much of the headwind over the last year, is the business currently profitable at all, or how much of a margin drag has it been on the business? A: Sanjeev (CEO): The Americas business, excluding the US homecare or LinCare business, would be up 20 basis points on margin. The gas business is doing well, and the double-digit hard goods sales are a good sign of US manufacturing recovery, though they have a temporary margin impact. We are not happy with margins and have aggressive actions underway to attack the issues in the LinCare business, expecting sequential improvement moving forward. Q: I did the math, home care penalty was $30 million in the second quarter. So order of magnitude, is it a $100 million penalty for this year? And is LinCare all of your 23% healthcare revenues of the Americas? A: Matt (CFO): The numbers are higher than what you haveprobably 30% higher than that number, give or take. LinCare is clearly the largest piece of the Americas healthcare business, though it does not include the institutional portion which runs through the traditional gas business. Jeff (CEO): The challenges at LinCare are not new. It has faced persistent headwinds from labor cost inflation and changes in the reimbursement environment. We have put a new management team in place, have been pruning the portfolio, and are evaluating strategic options with diligence to determine if the business will have a meaningful positive impact on our portfolio. Q: In the past you called out space being a billion dollar opportunity, I'm just wondering if you have any update on that number? A: Sanjeev (CEO): The space sector continues to grow, and we are on track for that billion dollar opportunity to be laid out, with 2030 as the timeline. Once it reaches a certain size, we will split it out in our end markets and have more visibility around it. Q: Can you share maybe some revenue intensity of the cap or give some guidance on your European flagged like a 25% CapEx to revenue conversion on some of these projects, is that a reasonable ballpark? A: Matt (CFO): The revenue to capex is always a function of whether it's atmospheric or process gasses like hydrogen. Traditionally for us, revenue has ranged anywhere from 20% to 50% depending upon energy control. Of the ones we've won, they are very similar in structure to the ones we already have in place on the first few phases, with no real difference because those contracts follow a very similar construct. Q: If I look at your volume trend in Asia, it was up 6% for a consecutive quarter, versus call it either side of flat throughout 2025, can you unpack that a little bit for us? A: Sanjeev (CEO): There are three components to what is happening in the Asia volumes: base volume, significant sale of equipment for electronics customers that had a disproportionate impact this quarter, and ramp-ups of backlog projects that were started up and are ramping up in ASEAN in particular. You put those three together and you see that healthy 6% sitting over there. Q: I know it's early for 2027, given project startups, helium may be a tailwind next year, growth in space and productivity, do you need much of any macro improvement to get to double-digit 10% EPS growth next year? A: Sanjeev (CEO): As our EPS algorithm lays out, between management actions and capital deployment, we should be delivering 8% to 12% growth. We're not looking for macro as long as macro is not taking away from that. It's very early to talk about 2027, but helium should be normalized next year, though the complexity and price mix will play a role in what helium does. Q: Can you speak to what you're seeing in particular out of APAC on the industrial side in terms of long-term investment? Is the Strait of Hormuz conflict having any slowdown effect on future projects growth in the industrial markets looking out over the next 2 to 3 years? A: Sanjeev (CEO): The headline is business as usual, reflected in a bit of a change in the mix. There is clearly strong electronics growth, and we expect the pipeline for electronics growth in Asia to remain fairly robust. We do not expect significant steel investments in China going forward, but in India you're seeing traditional end market investments happen in steel, refining, and other manufacturing elements. The mix is getting more positively impacted by electronics, with the rest being made up of the more traditional end markets. Q: Can you elaborate a little bit more on some of the actions you're taking to drive a little bit of the margin recovery? Do you expect that negative operating leverage to be solved, and what would drive thatmanagement actions, pricing, or productivity? A: Matt (CFO): In 2025, we had strong front half margins and weaker back half margins, so we expect better year-over-year performance given how last year played out. LinCare is going to be the focus given it's the biggest driver. Some of the mix effects like higher hard good sales and sale of equipment are positive and will continue. We will likely take some cost actions this quarter to get ahead of the inflation we're seeing around the world. In some regions we're seeing growth which supports it, in others we're seeing inflation without growth, and that's an area we're going to focus on specifically this quarter. Q: What's the impact on your business and on your customers from what's happening with the Strait of Hormuz, particularly with helium, and if that issue resides, what do you think the impact will be a year out as that starts to normalize? A: Sanjeev (CEO): On helium, I'm really pleased with how our team has navigated this complex set of issues. We've maintained reliable and safe supply to existing contract customers and signed up new customers with long-term contracts. We've had pricing move along, though with higher dislocation costs related to helium, the overall recovery doesn't quite show through in margins just yetI fully expect that over the next couple of quarters. I don't think you will see normalization this year; it will probably take us into the early part of next year. In Asia, countries highly dependent on hydrocarbons from the Middle East have had to scale back industrial activity, with markets like India, parts of Australia, and to a lesser extent China seeing that impact. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Linde plc LIN is set to report second-quarter 2026 results on July 31, before the opening bell. Let us delve into the factors that are likely to have influenced the performance of this global industrial gas producer. However, before that, it would be worth reviewing LIN’s performance in the previous quarter. In the last reported quarter, Linde’s earnings of $4.33 per share beat the Zacks Consensus Estimate of $4.27, driven by stronger pricing and higher volumes from the Americas segment and increased APAC segment volumes. Linde’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 1.03%. This is depicted in the graph below: Linde PLC price-eps-surprise | Linde PLC Quote The Zacks Consensus Estimate for second-quarter earnings per share (EPS) is pegged at $4.49, with two upward and no downward revisions over the past seven days. The bottom-line estimate implies an improvement of 9.8% from the figure reported in the prior-year quarter. The Zacks Consensus Estimate for second-quarter revenues is pegged at $8.96 billion, indicating a year-over-year improvement of 5.5%. Linde is a global leader in the production of industrial gases, such as oxygen, hydrogen, nitrogen and others, which are used across several end markets, including healthcare, manufacturing, chemicals & energy and food & beverage, in multiple geographies. The company is expected to have sustained a stable performance in the to-be-reported quarter, supported by its long-term, take-or-pay contracts with major on-site clients. Linde is expected to have benefited from its operations across several resilient end markets, such as healthcare and food & beverage. Moreover, LIN’s strong project backlog is also expected to have contributed positively to its earnings. However, challenges are likely to have persisted, particularly due to weaker industrial activity in Europe, which may have dampened growth across cyclical end markets like Chemicals & Energy and Manufacturing. Moreover, the Middle East conflict may have further weighed on manufacturing activity in the region, resulting in softer demand for Linde's products and affecting the EMEA segment results. These factors are anticipated to have affected demand and pricing dynamics, potentially hampering Linde’s quarterly performance. The Zacks Consensus Estimate for operating profit in the Americas segment is pegged at $1.3 billion, up from $1.21 billion reported in the second quarter of 2025. The Zacks Consensus Estimate for operating profit from the Engineering business unit is pinned at $94 million for the second quarter, up from $90 million recorded a year ago. Our proven model does not conclusively predict an earnings beat for Linde this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below. Earnings ESP: Linde’s Earnings ESP is -0.10%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: The company currently carries a Zacks Rank #3. Here are some other stocks that you may want to consider, as these, too, have the right combination of elements to post an earnings beat this reporting cycle. The Chemours Company CC is a major provider of performance chemicals that are used in end-products and processes across a host of industries. The company has an Earnings ESP of +27.17% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here. The Chemours Company is scheduled to release second-quarter 2026 earnings on Aug. 4. The Zacks Consensus Estimate for earnings is pegged at 43 cents per share, which suggests a 25.9% decline from the prior-year reported figure. Huntsman Corporation HUN manufactures diversified organic chemical products and markets them to a wide range of industrial and consumer customers. The company currently has an Earnings ESP of +4.31% and a Zacks Rank #3. Huntsman is scheduled to release second-quarter 2026 earnings on July 30. The Zacks Consensus Estimate for HUN’s earnings is pegged at 6 cents per share, indicating a 130% increase from the prior-year reported figure. Minerals Technologies Inc. MTX is involved in the production and marketing of a wide range of specialty mineral, mineral-based and synthetic mineral products. The company currently has an Earnings ESP of +5.52% and a Zacks Rank #2. Minerals Technologies is scheduled to release second-quarter 2026 earnings on July 30. The Zacks Consensus Estimate for MTX’s earnings is pegged at $1.64 per share, indicating a 5.8% increase from the prior-year reported figure. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Linde PLC (LIN) : Free Stock Analysis Report Huntsman Corporation (HUN) : Free Stock Analysis Report Minerals Technologies Inc. (MTX) : Free Stock Analysis Report The Chemours Company (CC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research