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APD (Air Products & Chemicals) PE Ratio (TTM) : 26.91 (As of Oct. 31, 2024)


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What is Air Products & Chemicals PE Ratio (TTM)?

The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2024-10-31), Air Products & Chemicals's share price is $310.53. Air Products & Chemicals's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $11.54. Therefore, Air Products & Chemicals's PE Ratio (TTM) for today is 26.91.


The historical rank and industry rank for Air Products & Chemicals's PE Ratio (TTM) or its related term are showing as below:

APD' s PE Ratio (TTM) Range Over the Past 10 Years
Min: 9.29   Med: 27.45   Max: 57.05
Current: 26.91


During the past 13 years, the highest PE Ratio (TTM) of Air Products & Chemicals was 57.05. The lowest was 9.29. And the median was 27.45.


APD's PE Ratio (TTM) is ranked worse than
54.5% of 1145 companies
in the Chemicals industry
Industry Median: 24.19 vs APD: 26.91

Air Products & Chemicals's Earnings per Share (Diluted) for the three months ended in Jun. 2024 was $3.13. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $11.54.

As of today (2024-10-31), Air Products & Chemicals's share price is $310.53. Air Products & Chemicals's EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2024 was $12.02. Therefore, Air Products & Chemicals's PE Ratio without NRI for today is 25.83.

During the past 13 years, Air Products & Chemicals's highest PE Ratio without NRI was 36.60. The lowest was 17.05. And the median was 24.21.

Air Products & Chemicals's EPS without NRI for the three months ended in Jun. 2024 was $3.20. Its EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2024 was $12.02.

During the past 12 months, Air Products & Chemicals's average EPS without NRI Growth Rate was 6.80% per year. During the past 3 years, the average EPS without NRI Growth Rate was 11.20% per year. During the past 5 years, the average EPS without NRI Growth Rate was 35.30% per year. During the past 10 years, the average EPS without NRI Growth Rate was 5.90% per year.

During the past 13 years, Air Products & Chemicals's highest 3-Year average EPS without NRI Growth Rate was 152.10% per year. The lowest was -51.60% per year. And the median was 8.00% per year.

Air Products & Chemicals's EPS (Basic) for the three months ended in Jun. 2024 was $3.13. Its EPS (Basic) for the trailing twelve months (TTM) ended in Jun. 2024 was $11.55.


Air Products & Chemicals PE Ratio (TTM) Historical Data

The historical data trend for Air Products & Chemicals's PE Ratio (TTM) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Air Products & Chemicals PE Ratio (TTM) Chart

Air Products & Chemicals Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
PE Ratio (TTM)
Get a 7-Day Free Trial Premium Member Only Premium Member Only 27.94 35.08 27.16 22.95 27.43

Air Products & Chemicals Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
PE Ratio (TTM) Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.47 27.43 26.13 21.87 22.36

Competitive Comparison of Air Products & Chemicals's PE Ratio (TTM)

For the Specialty Chemicals subindustry, Air Products & Chemicals's PE Ratio (TTM), along with its competitors' market caps and PE Ratio (TTM) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Air Products & Chemicals's PE Ratio (TTM) Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Air Products & Chemicals's PE Ratio (TTM) distribution charts can be found below:

* The bar in red indicates where Air Products & Chemicals's PE Ratio (TTM) falls into.



Air Products & Chemicals PE Ratio (TTM) Calculation

The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Air Products & Chemicals's PE Ratio (TTM) for today is calculated as

PE Ratio (TTM)=Share Price/Earnings per Share (Diluted) (TTM)
=310.53/11.540
=26.91

Air Products & Chemicals's Share Price of today is $310.53.
Air Products & Chemicals's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $11.54.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PE Ratio (TTM)=Market Cap /Net Income

There are at least three kinds of PE Ratio (TTM)s used by different investors. They are Trailing Twelve Month PE Ratio (TTM) or PE Ratio (TTM) (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio (TTM) based on inflation-adjusted normalized PE Ratio (TTM) is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio (TTM), the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Air Products & Chemicals  (NYSE:APD) PE Ratio (TTM) Explanation

The PE Ratio (TTM) can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio (TTM) is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio (TTM) is positive. Also for stocks with the same PE Ratio (TTM), the one with faster growth business is more attractive.

If a company loses money, the PE Ratio (TTM) becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio (TTM) divided by the growth ratio. He thinks a company with a PE Ratio (TTM) equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio (TTM) of 20, instead of a company growing 10% a year with a PE Ratio (TTM) of 10.

Because the PE Ratio (TTM) measures how long it takes to earn back the price you pay, the PE Ratio (TTM) can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio (TTM) measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio (TTM) can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratio (TTM)s are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio (TTM) is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .

PE Ratio (TTM) can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio (TTM).


Air Products & Chemicals PE Ratio (TTM) Related Terms

Thank you for viewing the detailed overview of Air Products & Chemicals's PE Ratio (TTM) provided by GuruFocus.com. Please click on the following links to see related term pages.


Air Products & Chemicals Business Description

Address
1940 Air Products Boulevard, Allentown, PA, USA, 18106-5500
Since its founding in 1940, Air Products has become one of the leading industrial gas suppliers globally, with operations in 50 countries and 19,000 employees. The company is the largest supplier of hydrogen and helium in the world. It has a unique portfolio serving customers in a number of industries, including chemicals, energy, healthcare, metals, and electronics. Air Products generated $12.6 billion in revenue in fiscal 2023.
Executives
Jeffrey Kutz officer: VP, Controller & PAO 1940 AIR PRODUCTS BLVD., ALLENTOWN PA 18106-5500
Seifi Ghasemi director 100 OVERLOOK CENTER, PRINCETON NJ 08540
Sean D Major officer: Executive VP & General Counsel 100 E. WISCONSIN AVENUE, SUITE 2780, MILWAUKEE WI 53202
Tonit M Calaway director HARLEY-DAVIDSON MOTOR COMPANY, 3700 WEST JUNEAU AVENUE, MILWAUKEE WI 53208
Wayne Thomas Smith director 1940 AIR PRODUCTS BLVD., ALLENTOWN PA 18106
Melissa N. Schaeffer officer: Senior Vice President and CFO 1940 AIR PRODUCTS BLVD., ALLENTOWN PA 18106
Edward L Monser director
Lisa Ann Davis director 2555 TELEGRAPH RD, BLOOMFIELD HILLS MI 48302
Russell A Flugel officer: Chief Accounting Officer C/O THE MOSAIC COMPANY, 101 EAST KENNEDY BLVD., SUITE 2500, TAMPA FL 33602
Charles I Cogut director 7201 HAMILTON BOULEVARD, ALLENTOWN PA 18195
Samir Serhan officer: Executive Vice President 7201 HAMILTON BLVD., ALLENTOWN PA 18195
Jennifer Grant officer: VP 7201 HAMILTON BLVD, ALLENTOWN PA 18195
John D. Stanley officer: SR VP and General Counsel 7201 HAMILTON BOULEVARD, ALLENTOWN PA 18195-1501
Guillermo Novo officer: Senior V.P. AIR PRODUCTS AND CHEMICALS, INC., 7201 HAMILTON BOULEVARD, ALLENTOWN PA 18195
Painter Corning F. officer: Senior V.P. 7201 HAMILTON BOULEVARD, ALLENTOWN PA 18195-1501

Air Products & Chemicals Headlines

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