Linde PLC (LIN) vs RPM International Inc. (RPM)

Linde PLC and RPM International Inc. are both Specialty Chemicals companies. Linde PLC is the larger, with a market value of $227.4B against $12.8B — 17.8× the size. RPM International Inc. trades at the lower P/E: 18.4× against 32.0×. Linde PLC grew revenue faster over the last twelve months: 6.63% against 5.96%. Linde PLC has the higher net margin (20.4% vs 8.63%) and the lower return on invested capital (9.20% vs 11.2%). Both pay a dividend; RPM International Inc. yields more (2.17% vs 1.26%). Across the 23 metrics below, RPM International Inc. leads on 14 and Linde PLC on 9.

Valuation

Metric LIN RPM Specialty Chemicals median
P/E 32.03 18.38 25.37
P/S 6.50 1.59 1.46
P/B 5.68 3.63 1.84
Price to free cash flow 46.34 16.71 21.16
EV/EBITDA 19.21 12.02 12.82
EV/Sales 7.16 1.85 1.85
Earnings yield 3.12% 5.44% 2.11%
Free cash flow yield 2.16% 5.98% 2.16%

Profitability

Metric LIN RPM Specialty Chemicals median
Gross margin 48.35% 41.17% 29.23%
Operating margin 26.45% 12.56% 3.63%
Net margin 20.43% 8.63% 2.89%
Free cash flow margin 14.03% 9.50% 3.76%
Return on equity 17.98% 21.04% 3.62%
Return on assets 8.31% 8.50% 0.35%
Return on invested capital 9.20% 11.22% 2.75%

Growth

Metric LIN RPM Specialty Chemicals median
Revenue growth (TTM) 6.63% 5.96% 4.51%
EPS growth (last fiscal year) 7.27% (3.36%) (14.40%)
Revenue growth, 5-year CAGR 4.52% 5.19% 6.30%
Net income growth, 5-year CAGR 22.50% 5.73% 0.00%

Health

Metric LIN RPM Specialty Chemicals median
Debt to equity 0.69 0.69 0.54
Current ratio 0.88 1.76 1.94
Net debt to EBITDA 1.73 1.87 2.03

Dividend

Metric LIN RPM Specialty Chemicals median
Dividend yield 1.26% 2.17% 1.73%
Payout ratio 0.41 0.40 0.41

Size

Metric LIN RPM Specialty Chemicals median
Market cap 227.36b 12.76b 2.41b

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