7 Best Natural Resources Stocks to Invest in According to Hedge Funds

5. Linde Plc (NASDAQ:LIN)

Number of Hedge Fund Holders: 70

Linde Plc (NASDAQ:LIN) is a global leader in the industrial gas industry, serving a variety of sectors in the Americas, Europe, the Middle East, Africa, and Asia-Pacific. The company supplies vital atmospheric and process gases, including helium, hydrogen, nitrogen, and oxygen to industries such as manufacturing, electronics, healthcare, and energy.

Linde Plc (NASDAQ:LIN)’s financial performance for the fiscal year ended December 31, 2024 was strong and stable, with sales of $33.0 billion and a 7% increase in adjusted operating profit. Volumes increased across the Americas and Asia-Pacific segments, owing to higher pricing and successful project launches in electronics and industrial manufacturing. Despite a 5% revenue decline in its Engineering division, the company’s third-party equipment backlog remained solid at $3.3 billion. Linde also continued to provide significant returns to shareholders, with $7.1 billion distributed through dividends and buybacks.

Moreover, Linde Plc (NASDAQ:LIN) has significantly expanded its portfolio as part of its commitment to clean energy. The company signed a long-term hydrogen supply agreement with ExxonMobil’s Baytown facility and made significant progress on a $1.8 billion blue hydrogen project in Beaumont, Texas. The company also completed major air separation unit expansions in China, meeting increased demand for rare gases and semiconductor-grade nitrogen. While these initiatives fueled growth in many areas, the EMEA (Europe, the Middle East, and Africa) region’s sales fell by 2% due to lower industrial activity in manufacturing and chemicals.

Looking ahead, the company remains optimistic about its prospects, projecting an 8%-11% increase in adjusted EPS in 2025. This expansion will be aided by a $10.4 billion project backlog and ongoing investments in industrial gas infrastructure and hydrogen production. Capital expenditures are expected to be between $5 billion and $5.5 billion, highlighting Linde’s strong long-term position in both the energy transition and industrial applications.