Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Air Products to invest $70 million in Missouri expansion

Published 23/05/2024, 16:04
APD
-

LEHIGH VALLEY, Pa. - Air Products (NYSE:APD) has announced plans to invest over $70 million to expand its manufacturing and logistics center in Maryland Heights, near St. Louis, Missouri. The expansion, which is the largest in the history of Air Products Membrane Solutions, aims to meet increasing demand across various industries, including biogas, hydrogen recovery, aerospace, and marine.

The investment is expected to enhance the company's production capacity for gas separation and purification membranes, which are essential in the production of cleaner fuels and other energy transition technologies. Dr. Erin Sorensen, general manager at Air Products Membrane Solutions, emphasized the company's commitment to innovation and community growth, stating the expansion will bolster their global manufacturing capabilities in the United States.

The new facility is anticipated to be operational by the end of 2025 and will create 30 new jobs, adding to the current workforce of about 170 employees. This expansion follows a $10 million investment made in 2023 to ramp up the existing facility's production capacity.

Missouri Governor Mike Parson and Missouri Department of Economic Development Director Michelle Hataway have welcomed the expansion, highlighting Air Products' role in contributing to the state's business growth and economic prosperity. The company's decision to invest further in Maryland Heights is seen as a testament to Missouri's favorable business environment and skilled labor force.

Air Products Membrane Solutions specializes in hollow fiber membrane separators and systems for on-site gas generation. Their products, including PRISM® Membrane Separators and Marine Systems, serve a wide range of industries and applications. The company's global service and support network also provides maintenance and optimization for these systems.

As a world-leading industrial gases company with operations spanning over 80 years, Air Products reported fiscal 2023 sales of $12.6 billion and currently boasts a market capitalization of over $50 billion. With approximately 23,000 employees worldwide, the company continues to focus on sustainable solutions that address environmental challenges and support the global energy transition.

The information in this article is based on a press release statement from Air Products.

InvestingPro Insights

Air Products (NYSE:APD), a key player in the industrial gases sector, is not just making headlines with its recent expansion plans, but also catching the eye of investors with notable financial metrics and trends. As of the last twelve months leading up to Q2 2024, Air Products has maintained a robust market capitalization of $58.62 billion, reflecting its significant presence in the industry.

Investors examining the company's valuation metrics will find a Price-to-Earnings (P/E) ratio of 23.71, suggesting a premium market valuation relative to current earnings. However, this figure is adjusted to a slightly lower P/E ratio of 22.99 when considering the performance over the last twelve months as of Q2 2024. This could indicate a slight improvement in earnings or a decrease in share price, providing a potentially more favorable entry point for value-oriented investors.

One of the InvestingPro Tips that stands out for Air Products is its impressive track record of dividend reliability, with the company raising its dividend for 54 consecutive years. This consistency demonstrates a strong commitment to returning value to shareholders and could be particularly attractive to those seeking steady income streams.

Another tip from InvestingPro highlights that the stock has experienced a strong return over the last month, with a 13.24% price total return. This performance, coupled with the company's strategic investments, could signal confidence in Air Products' future growth prospects and operational expansion.

For investors eager to delve deeper into Air Products' financials and gain access to more InvestingPro Tips, which can provide additional insights into the company's performance and potential investment opportunities, a visit to InvestingPro is recommended. There, users can explore a total of 9 insightful tips for Air Products. And remember, by using the coupon code PRONEWS24, you can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.