Seek Returns logo

LIN vs. PM: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at LIN and PM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolLINPM
Company NameLinde plcPhilip Morris International Inc.
CountryUnited KingdomUnited States
GICS SectorMaterialsConsumer Staples
GICS IndustryChemicalsTobacco
Market Capitalization226.18 billion USD269.06 billion USD
ExchangeNasdaqGSNYSE
Listing DateJune 17, 1992March 17, 2008
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of LIN and PM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

LIN vs. PM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolLINPM
5-Day Price Return0.99%4.59%
13-Week Price Return4.79%-0.18%
26-Week Price Return4.62%15.87%
52-Week Price Return5.19%45.93%
Month-to-Date Return4.80%5.36%
Year-to-Date Return15.21%43.62%
10-Day Avg. Volume1.36M4.34M
3-Month Avg. Volume1.77M5.80M
3-Month Volatility12.85%25.38%
Beta0.960.50

Profitability

Return on Equity (TTM)

LIN

17.46%

Chemicals Industry

Max
26.17%
Q3
13.48%
Median
8.13%
Q1
2.52%
Min
-11.86%

In the upper quartile for the Chemicals industry, LIN’s Return on Equity of 17.46% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

PM

575.44%

Tobacco Industry

Max
49.48%
Q3
49.48%
Median
7.92%
Q1
5.28%
Min
4.04%

PM’s Return on Equity of 575.44% is exceptionally high, placing it well beyond the typical range for the Tobacco industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

LIN vs. PM: A comparison of their Return on Equity (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Net Profit Margin (TTM)

LIN

20.20%

Chemicals Industry

Max
21.80%
Q3
9.57%
Median
4.44%
Q1
1.14%
Min
-11.30%

A Net Profit Margin of 20.20% places LIN in the upper quartile for the Chemicals industry, signifying strong profitability and more effective cost management than most of its peers.

PM

21.08%

Tobacco Industry

Max
21.36%
Q3
18.49%
Median
11.05%
Q1
6.80%
Min
5.37%

A Net Profit Margin of 21.08% places PM in the upper quartile for the Tobacco industry, signifying strong profitability and more effective cost management than most of its peers.

LIN vs. PM: A comparison of their Net Profit Margin (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Operating Profit Margin (TTM)

LIN

26.75%

Chemicals Industry

Max
27.33%
Q3
13.97%
Median
8.08%
Q1
4.46%
Min
-8.10%

An Operating Profit Margin of 26.75% places LIN in the upper quartile for the Chemicals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

PM

36.28%

Tobacco Industry

Max
14.35%
Q3
12.68%
Median
11.00%
Q1
10.58%
Min
10.58%

PM’s Operating Profit Margin of 36.28% is exceptionally high, placing it well above the typical range for the Tobacco industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

LIN vs. PM: A comparison of their Operating Profit Margin (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Profitability at a Glance

SymbolLINPM
Return on Equity (TTM)17.46%575.44%
Return on Assets (TTM)8.10%12.56%
Net Profit Margin (TTM)20.20%21.08%
Operating Profit Margin (TTM)26.75%36.28%
Gross Profit Margin (TTM)48.45%66.46%

Financial Strength

Current Ratio (MRQ)

LIN

0.93

Chemicals Industry

Max
3.38
Q3
2.23
Median
1.73
Q1
1.39
Min
0.55

LIN’s Current Ratio of 0.93 falls into the lower quartile for the Chemicals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

PM

0.83

Tobacco Industry

Max
3.20
Q3
1.83
Median
0.83
Q1
0.72
Min
0.57

PM’s Current Ratio of 0.83 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.

LIN vs. PM: A comparison of their Current Ratio (MRQ) against their respective Chemicals and Tobacco industry benchmarks.

Debt-to-Equity Ratio (MRQ)

LIN

0.67

Chemicals Industry

Max
1.65
Q3
0.94
Median
0.65
Q1
0.41
Min
0.00

LIN’s Debt-to-Equity Ratio of 0.67 is typical for the Chemicals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

PM

186.08

Tobacco Industry

Max
2.19
Q3
2.19
Median
0.74
Q1
0.26
Min
0.01

With a Debt-to-Equity Ratio of 186.08, PM operates with exceptionally high leverage compared to the Tobacco industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

LIN vs. PM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Chemicals and Tobacco industry benchmarks.

Interest Coverage Ratio (TTM)

LIN

33.09

Chemicals Industry

Max
56.43
Q3
26.33
Median
9.38
Q1
3.10
Min
-9.39

LIN’s Interest Coverage Ratio of 33.09 is in the upper quartile for the Chemicals industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

PM

11.67

Tobacco Industry

Max
36.48
Q3
28.54
Median
7.02
Q1
6.32
Min
-11.45

PM’s Interest Coverage Ratio of 11.67 is positioned comfortably within the norm for the Tobacco industry, indicating a standard and healthy capacity to cover its interest payments.

LIN vs. PM: A comparison of their Interest Coverage Ratio (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Financial Strength at a Glance

SymbolLINPM
Current Ratio (MRQ)0.930.83
Quick Ratio (MRQ)0.700.83
Debt-to-Equity Ratio (MRQ)0.67186.08
Interest Coverage Ratio (TTM)33.0911.67

Growth

Revenue Growth

LIN vs. PM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

LIN vs. PM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

LIN

1.21%

Chemicals Industry

Max
6.56%
Q3
4.04%
Median
2.47%
Q1
1.45%
Min
0.00%

LIN’s Dividend Yield of 1.21% is in the lower quartile for the Chemicals industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

PM

3.10%

Tobacco Industry

Max
6.71%
Q3
6.06%
Median
5.48%
Q1
3.91%
Min
3.27%

PM’s Dividend Yield of 3.10% is below the typical range for the Tobacco industry. This indicates that shareholder returns are likely driven more by potential capital appreciation than by dividend income.

LIN vs. PM: A comparison of their Dividend Yield (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Dividend Payout Ratio (TTM)

LIN

40.71%

Chemicals Industry

Max
181.25%
Q3
95.01%
Median
53.52%
Q1
26.59%
Min
0.00%

LIN’s Dividend Payout Ratio of 40.71% is within the typical range for the Chemicals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

PM

70.92%

Tobacco Industry

Max
77.64%
Q3
76.55%
Median
50.14%
Q1
47.08%
Min
42.39%

PM’s Dividend Payout Ratio of 70.92% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

LIN vs. PM: A comparison of their Dividend Payout Ratio (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Dividend at a Glance

SymbolLINPM
Dividend Yield (TTM)1.21%3.10%
Dividend Payout Ratio (TTM)40.71%70.92%

Valuation

Price-to-Earnings Ratio (TTM)

LIN

33.69

Chemicals Industry

Max
42.94
Q3
29.77
Median
20.37
Q1
14.27
Min
6.19

A P/E Ratio of 33.69 places LIN in the upper quartile for the Chemicals industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

PM

32.70

Tobacco Industry

Max
42.16
Q3
36.45
Median
20.93
Q1
10.52
Min
9.15

PM’s P/E Ratio of 32.70 is within the middle range for the Tobacco industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LIN vs. PM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Price-to-Sales Ratio (TTM)

LIN

6.80

Chemicals Industry

Max
4.36
Q3
2.23
Median
1.01
Q1
0.55
Min
0.16

With a P/S Ratio of 6.80, LIN trades at a valuation that eclipses even the highest in the Chemicals industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

PM

6.89

Tobacco Industry

Max
10.48
Q3
5.39
Median
3.32
Q1
1.54
Min
0.59

PM’s P/S Ratio of 6.89 is in the upper echelon for the Tobacco industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

LIN vs. PM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Chemicals and Tobacco industry benchmarks.

Price-to-Book Ratio (MRQ)

LIN

5.73

Chemicals Industry

Max
4.92
Q3
2.56
Median
1.54
Q1
0.97
Min
0.30

At 5.73, LIN’s P/B Ratio is at an extreme premium to the Chemicals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

PM

1,368.86

Tobacco Industry

Max
4.76
Q3
4.76
Median
2.18
Q1
1.70
Min
1.06

At 1,368.86, PM’s P/B Ratio is at an extreme premium to the Tobacco industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

LIN vs. PM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Chemicals and Tobacco industry benchmarks.

Valuation at a Glance

SymbolLINPM
Price-to-Earnings Ratio (TTM)33.6932.70
Price-to-Sales Ratio (TTM)6.806.89
Price-to-Book Ratio (MRQ)5.731,368.86
Price-to-Free Cash Flow Ratio (TTM)44.6227.63