Linde PLC (LIN-N)

In last decade, has grown 19% annually on average, and that's without the dividend. Industrial gases from oxygen in hospitals to acetylene for welding. Biggest. Share buybacks and dividend increases. Strong returns for a long time. Tariff noise gave new money a chance to get in. Global scope and good execution. Yield is 1.32%.

With all the current turbulence, he'll take the modest gain as a win. Story hasn't changed. Decent dividend compounder and earnings grower. He'd still make it a pick today.

Classified in the materials sector, but she'd call it a soft cyclical. A lot of their services are recurring, which makes it more defensive. Very well managed. It can always grow earnings by high single digits, regardless of the economic scenario, as they'll adjust their prices to customers via pass-through contracts. Still, it needs economic growth.

Has held stock for 10 years, and will continue to buy more shares. Believes company is under valued, with great future ahead. 

Largest industrial gas company in the world, estimated 30% market share. Competitive advantage is density of network and proximity to customers. Long-term, take-or-pay contracts, a guaranteed return. Supplies the healthcare, semiconductor, and green energy industries. 

Should do well in any sort of economic environment. Tends to grow earnings even in a recession. Well managed. She expects earnings to grow in range of 10%. Yield is 1.1%.

(Note the short timeframe.) Still likes it. Multi-year compounder going forward.

An industrial, but classified as a materials company because they make industrial gases. Low beta. Mission-critical inputs. Long-term, take-or-pay contracts. A happy shareholder.

Its industrial gas makes it unique. Regional monopolies. Quality compounder. Allocates capital reasonably at high rates of return. Disciplined payout ratio, share buybacks. Reasonable valuation. Quality defense, benefiting from manufacturing renaissance. Yield is 1.2%.

Can benefit no matter the political landscape in the US.

Like many industrials, it had a great run, but lacked a blow-out quarter. LIN needs to show volume growth.

Their tech is used in carbon capture and clean hydrogen systems. It could be an idea for the future, but he's not a buyer of ideas, but of taking ideas and making them a viable business. Maybe LIN can do it or not.

It reports Tuesday. They supply industrial gas to hospitals, oil/gas, semi-makers, dollar stores and vinters. It does fine when the economy struggle and great when it thrives.

LIN is one of the larger basic materials names in the US. It is a $197B company with a decent yield of 1.3%, a premium valuation of 27X forward earnings, but a strong and growing revenue base of $32.5B. It has decent debt levels, a growing margin, and strong cash flow generation, of which it uses most to repurchase shares. While its shares trade at an expensive valuation, its performance has been excellent, and its fundamentals continue to grow and expand. We would be comfortable owning LIN as part of a long-term position. 

Materials which we think might be in great demand in the future include: lithium and cobalt (lithium-ion batteries for EV and renewable energy storage), graphene (exceptional strength and conductivity), and advanced alloys (aerospace and automotive industries).
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Huge winner so far. Very well run. Not much competition in the space. Not a ton of growth ahead. Price being driven by infrastructure spend in the US. Look elsewhere for better valuations. Could look at on a major pullback.

An earnings winner. Continues to improve margins and generate consistent cash. Buy this and sleep at night.

They reported this morning. Really likes LIN. Take or pay contracts with high returns, so a dividend grower with little cyclicality in this industry.