Linamar Valuation

LNR Stock  CAD 88.69  0.11  0.12%   
At this time, the firm appears to be undervalued. Linamar secures a last-minute Real Value of C$101.1 per share. The latest price of the firm is C$88.69. Our model forecasts the value of Linamar from analyzing the firm fundamentals such as Return On Equity of 0.041, profit margin of 0.02 %, and Current Valuation of 6.22 B as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Linamar's valuation include:
Price Book
0.88
Enterprise Value
6.2 B
Enterprise Value Ebitda
5.1924
Price Sales
0.5256
Forward PE
8.0386
Undervalued
Today
88.69
Please note that Linamar's price fluctuation is very steady at this time. Calculation of the real value of Linamar is based on 3 months time horizon. Increasing Linamar's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Linamar is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Linamar Stock. However, Linamar's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  88.69 Real  101.1 Hype  88.87
The intrinsic value of Linamar's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Linamar's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
101.10
Real Value
102.73
Upside
Estimating the potential upside or downside of Linamar helps investors to forecast how Linamar stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Linamar more accurately as focusing exclusively on Linamar's fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
2.511.992.53
Details
Hype
Prediction
LowEstimatedHigh
87.2488.8790.50
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Linamar's intrinsic value based on its ongoing forecasts of Linamar's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Linamar's closest peers.

Linamar Cash

1.27 Billion

Linamar Total Value Analysis

Linamar is now projected to have takeover price of 6.22 B with market capitalization of 5.3 B, debt of 2.29 B, and cash on hands of 1.05 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Linamar fundamentals before making investing decisions based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
6.22 B
5.3 B
2.29 B
1.05 B

Linamar Investor Information

About 36.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 0.88. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Linamar has Price/Earnings To Growth (PEG) ratio of 1.08. The entity last dividend was issued on the 21st of November 2025. The firm had 3:1 split on the 15th of May 1998. Based on the analysis of Linamar's profitability, liquidity, and operating efficiency, Linamar may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.09410.0664
Significantly Up
Pretty Stable
Total Cash From Operating Activities1.4 B1.3 B
Sufficiently Up
Slightly volatile
Operating Income738.2 M703 M
Sufficiently Up
Slightly volatile

Linamar Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Linamar has an asset utilization ratio of 100.78 percent. This suggests that the Company is making C$1.01 for each dollar of assets. An increasing asset utilization means that Linamar is more efficient with each dollar of assets it utilizes for everyday operations.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

Linamar Profitability Analysis

Considering Linamar's profitability and operating efficiency indicators, Linamar's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Linamar's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1993-09-30
Previous Quarter
126.9 M
Current Value
169.2 M
Quarterly Volatility
60.1 M
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
At this time, Linamar's Gross Profit is very stable compared to the past year. As of the 10th of February 2026, Pretax Profit Margin is likely to grow to 0.09, while Net Profit Margin is likely to drop 0.03.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.190.16
Fairly Up
Very volatile
Net Profit Margin0.02670.0281
Notably Down
Slightly volatile
Operating Profit Margin0.09410.0664
Significantly Up
Pretty Stable
Pretax Profit Margin0.08890.0517
Way Up
Pretty Stable
Return On Assets0.02690.0283
Notably Down
Slightly volatile
Return On Equity0.0520.0547
Notably Down
Slightly volatile
For Linamar profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Linamar to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Linamar utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Linamar's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Linamar over time as well as its relative position and ranking within its peers.

Linamar Earnings per Share Projection vs Actual

By analyzing Linamar's earnings estimates, investors can diagnose different trends across Linamar's analyst sentiment over time as well as compare current EPS estimates against different timeframes. Please be aware that the consensus of earnings estimates for Linamar is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Linamar is projected to generate 1.99 in earnings per share on the 31st of December 2025. Linamar earnings estimates show analyst consensus about projected Linamar EPS (Earning Per Share). It derives the highest and the lowest estimates based on Linamar's historical volatility. Many public companies, such as Linamar, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Linamar Ownership Allocation

Linamar maintains a total of 59.81 Million outstanding shares. Linamar holds significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Linamar Profitability Analysis

The company reported the revenue of 10.58 B. Net Income was 258.26 M with profit before overhead, payroll, taxes, and interest of 1.47 B.

Linamar Past Distributions to stockholders

About Linamar Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Linamar. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Linamar based exclusively on its fundamental and basic technical indicators. By analyzing Linamar's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Linamar's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Linamar. We calculate exposure to Linamar's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Linamar's related companies.
Last ReportedProjected for Next Year
Gross Profit1.7 B1.8 B
Pretax Profit Margin 0.05  0.09 
Operating Profit Margin 0.07  0.09 
Net Profit Margin 0.03  0.03 
Gross Profit Margin 0.16  0.19 

Linamar Quarterly Retained Earnings

5.57 Billion

Other Information on Investing in Linamar Stock

Linamar financial ratios help investors to determine whether Linamar Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Linamar with respect to the benefits of owning Linamar security.