Air Products and Chemicals, Inc. (APD) Stock Valuation — PE Analysis

Chemicals - Specialty · NYSE

Current Price

$305.10

PE Ratio (TTM)

n/m

Intrinsic Value

Use the calculator below to estimate

AI MOAT & RISK ANALYSISAPD

COMPETITIVE MOAT

INVESTMENT RISKS

This company has negative earnings, so a P/E model may not be meaningful — it values profits. You can still use the calculator below with your own assumptions.

Customize the APD PE valuation

Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Air Products and Chemicals, Inc. respond.

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Company Overview

Operating globally, Air Products and Chemicals, Inc. (APD) is a prominent supplier of industrial gases, specialized equipment, and associated services. The company's diverse product range includes atmospheric gases such as oxygen, nitrogen, and argon, as well as various process gases like hydrogen, helium, carbon dioxide, carbon monoxide, and syngas. They also provide a selection of specialty gases. APD is involved in the fabrication of crucial machinery for gas production and handling, including air separation units and non-cryogenic generators. These products and services cater to a broad spectrum of industries, including but not limited to refining, chemical processing, gasification, metals production, general manufacturing, food and beverage, electronics, medical imaging, and energy generation. Moreover, the company's capabilities extend to designing and manufacturing advanced systems for air separation, hydrocarbon recovery and purification, the liquefaction of natural gas, and the secure transportation and storage of liquid helium and hydrogen. APD also engages in a strategic partnership with Baker Hughes Company to further innovate hydrogen compression systems. The firm was established in 1940 and is based in Allentown, Pennsylvania.

Financial Metrics — APD PE Stock Valuation Data

PE Ratio (TTM)

n/m

PEG Ratio

15.51

Earnings Yield

-0.07%

ROE (TTM)

-0.3%

Revenue/Share (TTM)

$56.56

Dividend Yield

2.36%

Debt/Equity

1.31x

Frequently Asked Questions

What is the PE ratio of APD?

The trailing twelve-month PE ratio of APD reflects how much investors pay per dollar of Air Products and Chemicals, Inc.'s earnings. This metric is most useful when compared to Chemicals - Specialty peers and the company's own historical range.

Is APD overvalued based on PE ratio?

APD's PE of -1466.8x combined with a PEG ratio of 15.51 provides a growth-adjusted perspective. A PEG above 2.0 means the P/E is high relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Chemicals - Specialty, a DCF analysis may be more appropriate.

How do I value APD stock using PE ratio?

To value Air Products and Chemicals, Inc. using PE: (1) Compare the current PE (-1466.8x) against the Chemicals - Specialty median to assess relative pricing, (2) check the PEG ratio (15.51) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.

What is the PEG ratio of APD?

APD's PEG ratio is 15.51, calculated by dividing the PE ratio (-1466.8x) by the expected earnings growth rate. A PEG above 2.0 means the P/E is high relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.

Should I use PE ratio or DCF for APD stock valuation?

PE ratio gives a quick relative read — how APD is priced versus Chemicals - Specialty peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.

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Related PE Valuations

All Basic Materials valuations

P/E and DCF value APD with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.

Price as of 2026-08-21. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.

This is an estimate, not investment advice.