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Linde Plc faces decreased institutional ownership despite optimistic revenue projections

EditorAmbhini Aishwarya
Published 31-10-2023, 12:02 pm
© Reuters.
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Linde Plc (NYSE:LIN), a leading player in the industrial gas sector, is facing a quarter-on-quarter decrease in institutional ownership of 25.79%, with total institutional shares decreasing by 11.73% to 413,281K shares. This comes amid a bearish investor sentiment reflected in LIN's put/call ratio of 1.26. Notably, Capital Research Global Investors has slightly reduced its holdings in the company.

Despite this downturn, some major stakeholders have increased their stakes in Linde. Vanguard Total Stock Market Index Fund Investor Shares and Massachusetts Financial Services have both upped their investments, demonstrating continued faith in the company's performance.

BMO Capital maintains an 'Outperform' rating for Linde, indicating a potential upside of 16.82% from its recent close at $370.53, with an average one-year price target of $432.86. The company's projected annual revenue and non-GAAP EPS stand at $34,767 million and 13.01, respectively, which would represent a revenue growth of 7.14%.

These projections highlight an optimistic outlook for Linde's financial performance, despite the recent decrease in institutional ownership. It remains to be seen how the dynamics of investor sentiment and financial performance will play out for the industrial gas giant in the coming months.

InvestingPro Insights

In light of recent events, it's worth noting that Linde's management has been aggressively buying back shares, a move that often signals confidence in the company's future prospects (InvestingPro Tip 0). The company also yields a high return on invested capital, which is a positive indicator of its efficiency in using its capital to generate profits (InvestingPro Tip 1).

As per InvestingPro Data, Linde has a market capitalization of $183.74 billion, indicating its substantial presence in the market. The company's P/E ratio stands at 31.06, suggesting investors are willing to pay a higher price because they expect the company to grow its earnings. The revenue for the last twelve months as of Q3 2023 is $32.45 billion, showing a solid income stream despite the challenging market conditions.

For those seeking additional insights, InvestingPro offers a wealth of further tips and data points. With a total of 19 tips and numerous data metrics available, InvestingPro can provide a more comprehensive understanding of Linde's financial health and future prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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