S.E.E.D. Planning Group LLC has significantly increased its investment in Linde PLC, raising its stake by 76.1% during the third quarter of 2023. According to the firm’s latest filing with the U.S. Securities and Exchange Commission (SEC), S.E.E.D. now holds 25,107 shares of the multinational industrial gases company, having acquired an additional 10,848 shares in this period. As a result, Linde represents approximately 3.5% of S.E.E.D.’s overall portfolio, making it the firm’s 11th largest holding.
The total value of S.E.E.D.’s holdings in Linde stood at approximately $11.9 million as per the latest SEC filing. This move comes amid a broader trend among institutional investors, many of whom have adjusted their positions in Linde recently.
Several prominent investment firms have also been active in reshaping their stakes in Linde. Notably, Vanguard Group Inc. increased its position by 0.7% in the second quarter, bringing its total shares to 44,638,847, valued at about $20.9 billion. Similarly, Norges Bank acquired a new position, estimated at around $3.1 billion. Other firms, including Invesco Ltd. and Franklin Resources Inc., also reported incremental increases in their respective holdings.
Currently, institutional investors and hedge funds control approximately 82.80% of Linde’s stock, indicating strong confidence in the company among large investment entities.
Analyst Ratings and Stock Performance
Analysts have weighed in on Linde’s stock, with varying target price adjustments. Citigroup reduced its target price from $535.00 to $520.00 while maintaining a “buy” rating. Mizuho set a price objective of $495.00, and Royal Bank of Canada lowered its target from $540.00 to $490.00 with an “outperform” rating. Notably, JPMorgan Chase & Co. adjusted its target from $475.00 to $455.00.
Despite these adjustments, Linde remains a favorable investment, earning a consensus “buy” rating from analysts. The stock currently has an average target price of $501.00.
On October 31, 2023, Linde reported its quarterly earnings, posting an earnings per share (EPS) of $4.21, slightly surpassing the consensus estimate of $4.18. The company generated $8.62 billion in revenue for the quarter, matching analyst expectations. This reflects a 2.9% increase in revenue compared to the same quarter last year.
Linde also provided guidance for fiscal year 2025, forecasting an EPS between $16.350 and $16.450.
Dividend Announcement
In addition to the positive earnings report, Linde announced a quarterly dividend of $1.50 per share, which was paid to shareholders on December 17, 2023. This dividend reflects an annualized payout of $6.00 and a yield of 1.4%. The company’s payout ratio stands at 40.19%, indicating a balanced approach to returning value to shareholders while retaining sufficient capital for growth.
Linde PLC, listed under the ticker symbol LIN on NASDAQ, is a leading provider of industrial gases and engineering services worldwide. The company was formed from the merger between Germany’s Linde AG and U.S.-based Praxair in 2018, solidifying its position as one of the largest players in the industry. Its extensive portfolio includes atmospheric and process gases, alongside specialty and electronic gases vital for various sectors.
As Linde continues to grow, its recent financial maneuvers and robust performance in the market highlight its significant role in the industrial gases sector, bolstered by increasing institutional investment and favorable analyst sentiment.
