Air Products and Chemicals (NYSE:APD) Issues Earnings Results

Air Products and Chemicals (NYSE:APD) released its earnings results on Thursday. The basic materials company reported $3.61 EPS for the quarter, hitting analysts’ consensus estimates of $3.61, FiscalAI reports. Air Products and Chemicals had a positive return on equity of 16.87% and a negative net margin of 0.38%. The company had revenue of $3.56 billion for the quarter, compared to the consensus estimate of $3.33 billion. During the same quarter last year, the business posted $3.39 EPS. Air Products and Chemicals’s quarterly revenue was up 12.3% compared to the same quarter last year.

Here are the key takeaways from Air Products and Chemicals’ conference call:

• Air Products reported FY2026 adjusted EPS of $13.45, up 12%, on 8% sales growth and 11% operating income growth. Operating margin expanded 70 basis points to 24.4%, and return on capital rose 100 basis points to 11.9%.
• For FY2027, the company forecasts adjusted EPS of $14.15–$14.50, up 5%–8%, citing new-asset ramp-ups, volume growth, pricing and productivity. Management expects about 2% base volume growth plus contributions from new assets, while higher interest expense and taxes are expected to be a roughly 2% EPS headwind.
• Traditional industrial gas backlog reached $3.3 billion, with more than $2 billion in project wins over the past year, largely tied to electronics. FY2027 capital spending is forecast at $3.0–$3.5 billion, including more than $1 billion for traditional industrial gas growth projects.
• More than $2 billion of spending remains to complete the company’s energy-transition projects, with most expected in FY2027 and the remainder in FY2028. Management said these projects are not expected to contribute materially to future operating income; NEOM is expected to have no material FY2027 financial impact.
• Management expects FY2027 to generate positive net cash flow as stronger operating cash flow and anticipated asset-sale proceeds offset capital spending and dividends. The company also cited $95 million in FY2026 cost savings and said it had completed about 93% of its previously announced workforce reduction.

Air Products and Chemicals Trading Down 1.6%

Shares of Air Products and Chemicals stock traded down $4.88 during trading on Friday, reaching $304.61. 1,075,823 shares of the company were exchanged, compared to its average volume of 965,353. The company has a quick ratio of 0.92, a current ratio of 1.08 and a debt-to-equity ratio of 1.01. Air Products and Chemicals has a twelve month low of $229.11 and a twelve month high of $324.00. The business has a 50-day moving average price of $294.94 and a 200-day moving average price of $290.92. The firm has a market capitalization of $67.83 billion, a price-to-earnings ratio of 23.91, a P/E/G ratio of 2.98 and a beta of 0.67.

Air Products and Chemicals Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, February 8th. Stockholders of record on Monday, January 4th will be paid a dividend of $1.81 per share. This represents a $7.24 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Monday, January 4th. Air Products and Chemicals’s dividend payout ratio is -3,290.91%.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on APD. Royal Bank Of Canada increased their price target on Air Products and Chemicals from $346.00 to $359.00 and gave the stock an “outperform” rating in a research note on Friday. Weiss Ratings upgraded shares of Air Products and Chemicals from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, October 27th. Citigroup decreased their price objective on Air Products and Chemicals from $330.00 to $312.00 and set a “neutral” rating for the company in a research report on Wednesday, October 7th. Argus upped their price target on shares of Air Products and Chemicals from $316.00 to $329.00 and gave the stock a “buy” rating in a research note on Wednesday, September 9th. Finally, Evercore reissued an “outperform” rating and issued a $342.00 target price on shares of Air Products and Chemicals in a research report on Friday, July 10th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $334.24.

More Air Products and Chemicals News

Here are the key news stories impacting Air Products and Chemicals this week:

• Positive Sentiment: Fiscal Q4 adjusted EPS of $3.61 met consensus, while revenue rose 12.3% year over year to $3.56 billion, above estimates. The company also reported 12% growth in full-year adjusted EPS, reduced capital spending, and more than $2 billion in new electronics wins. Air Products fiscal 2026 results and guidance
• Positive Sentiment: Air Products forecast fiscal 2027 adjusted EPS of $14.15–$14.50, above its fiscal 2026 result of $13.45, indicating continued expected earnings growth.
• Positive Sentiment: RBC raised its price target to $359 and maintained an Outperform rating; Mizuho also raised its target, to $360, and kept an Outperform rating. RBC raises price target
• Neutral Sentiment: Barclays lowered its target to $346 from $353 but retained an Overweight rating, leaving its view positive while signaling a slightly reduced valuation outlook. Barclays recommendations
• Negative Sentiment: Reported GAAP results were weighed down by significant charges tied mainly to exiting two China coal-gasification projects. Full-year GAAP EPS was $2.39, far below adjusted EPS of $13.45, highlighting execution and project-related risks despite stronger core performance.

Air Products and Chemicals Company Profile