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Parker-Hannifin Corporation
S&P 500
🏹 Trader: 🎯 Near 52W High View all →
$117.7B
Market Cap
25.8
P/E
2.67
PEG
16.1%
ROCE
25.1%
ROE
0.55
D/E
21.6%
OPM
-11.3%
% from 52W High
69
α RS
🔍 PH is showing a high-conviction setup because it matches 11 of 39 tracked screener presets, Sector RRG has Industrials in the Improving quadrant with the trail still strengthening, and RS Rating is 69. Net: Broad signal stack, not a recommendation. ? Conviction RRG RS Rating
Sources
Conviction 11/39 · Industrials in Improving quadrant · RS Rating 69
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🌏 Global Investor Returns
Currency-adjusted total returns for PH including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
📊 Sector Averages
About

Parker-Hannifin Corporation engages in the manufacture and sale of motion and control technologies and systems for aerospace and defense, in-plant and industrial equipment, transportation, off-highway, energy, and HVAC and refrigeration markets in North America, EMEA, Asia Pacific, and Latin America. It operates through two segments: Diversified Industrial and Aerospace Systems. The company offers various motion-control systems and components, such as active and passive vibration control, high purity sealing, coatings, high temperature sealing, cryogenic valves and fittings, HVAC/R controls and monitoring, elastomeric, fabric reinforced, metal, precision cut seals, hydrogen and natural gas filters, electric and hydraulic pumps and motors, industrial air, gas filtration, electric and hydraulic valves, miniature pumps and valves, electromagnetic interface shielding, pneumatic actuators, regulators and valves, electromechanical and hydraulic actuators, power take offs, electronics, drives and controllers, process filtration solutions, engine filtration solutions, rubber to substrate adhesives, fluid condition monitoring, sensors and diagnostics, fluid conveyance hose and tubing, structural adhesives, high pressure connectors, fittings, valves and regulators, thermal management, high purity fittings. The company also provides products for use in commercial and defense airframe and engine programs, such as avionics, electric and hydraulic braking systems, electric power, electromechanical actuators, engine exhaust systems and components, fire detection and suppression, flight control systems, fluid conveyance, fuel systems and components, fuel tank inserting systems, hydraulic pumps and motors, hydraulic valves and actuators, pneumatics, seals, sensors, and thermal management products. The company sells its products to original equipment manufacturers, distributors, direct-sales employees. Parker-Hannifin Corporation was founded in 1917 and is headquartered in Cleveland, Ohio.

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📈 Growth Pattern
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⭐ Superinvestors Holding PH
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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 272.9K $244.3M 0.31% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q4 2026
Revenue
$5.8B
+9.8% YoY
Adjusted Segment Operating Margin
28.0%
+1.1pp YoY
Net Income
$1.1B
+18% YoY
Adjusted EPS
$9.27
+21% YoY
What Went Right
  • Record Q4 sales of $5.8B and organic growth of 8%, the strongest quarter of FY26.
  • Adjusted segment operating margin hit a record 28.0%, up 110bps, and adjusted EPS rose 21% to a record $9.27.
  • Total orders jumped 19% on a 3-month basis; backlog rose to a record $12.8B and Aerospace sales reached a record $1.9B.
What to Watch
  • Agriculture remains soft and automotive is expected to be a lower-growth contributor in FY27; oil & gas is expected flat.
  • Foreign exchange was a 0.3% headwind in Q4 and is guided as a 0.5% headwind for FY27.
  • Second-half FY27 comps get tougher, and management is not yet calling a full distribution restock.
Management Guidance
  • FY27 reported/organic sales growth of 5.5%-8.5%, roughly $23B in sales at midpoint.
  • FY27 adjusted segment operating margin of 27.5%-27.9% (27.7% midpoint).
  • FY27 adjusted EPS of $34.25-$35.25 ($34.75 midpoint); free cash flow of $3.4B-$3.9B.
  • Q1 FY27: reported sales growth ~9%, organic growth ~8%, adjusted EPS ~$8.07.
Investor Lens
The thesis is stronger after this call. Parker converted a broad industrial recovery into record sales, margins, EPS, and cash flow, and again raised its margin target to 30% by FY31. Rolling-12-month order growth of 12% and record backlog of $12.8B support the FY27 guidance. The key execution overhang is absorbing the pending Filtration Group and CIRCOR acquisitions while navigating tougher second-half comps.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record quarter: 8% organic growth, 28.0% adjusted segment margin, EPS $9.27
Revenue
Q4 sales rose 9.8% to a record $5.8B, with organic growth of 8.0% — the strongest quarter of FY26. Aerospace led with 13.4% organic growth, North America grew ~5%, and International grew 6.5% (Asia Pacific +16%).
Profitability
Q4 net income increased 18% to $1.1B; adjusted net income increased 20% to $1.2B. Adjusted EPS rose 21% to a record $9.27, while full-year adjusted EPS increased 18% to $32.31.
Margins
Q4 adjusted segment operating margin expanded 110bps to 28.0%, the first quarter ever above 28%, and adjusted EBITDA margin rose 180bps to 28.6%. Full-year adjusted segment operating margin was 27.3%, up 120bps.
Balance Sheet
FY26 cash flow from operations was a record $4.4B, or 20.3% of sales, and free cash flow was a record $3.9B at 18.2% of sales with 107% conversion. Net debt-to-adjusted EBITDA improved to 1.4x from 1.7x, helped by ~$1B of debt reduction in the quarter.
Key Risks
Management flagged continued softness in agriculture, lower automotive growth expectations, flat oil & gas, and modest FX headwinds. The two pending acquisitions (Filtration Group and CIRCOR) are excluded from FY27 guidance and remain subject to regulatory clearances; management is not yet calling a full distribution restock.
Outlook
FY27 guidance calls for 5.5%-8.5% reported/organic sales growth, adjusted segment margin of 27.5%-27.9%, and adjusted EPS of $34.25-$35.25. For Q1 FY27, Parker expects organic growth of ~8% and adjusted EPS of ~$8.07.
Generated by AI · Q4 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q4 2026 Q4 2026 2026-08-06
Record FY 2026 results included $21.5B in sales, 6.6% organic growth, and 18% higher adjusted EPS. FY 2027 guidance calls for 7% organic growth, 27.7% margin, and $34.75 EPS, with all market verticals expected to grow. Major acquisitions and strong cash generation underpin a new 30% margin target by FY 2031.
Q3 2026 Q3 2026 2026-04-30
Record Q3 results with 11% sales growth, 18% EPS increase, and robust cash flow. Aerospace and transportation segments led performance, with strong order growth and record backlogs. FY 2026 guidance raised for sales, margins, and EPS, supported by resilient demand and disciplined execution.
Q2 2026 Q2 2026 2026-01-29
Record Q2 results with 9% sales growth, 27.1% segment margin, and 17% EPS increase. Guidance raised for sales, margins, and EPS, supported by strong order rates, record backlog, and the strategic Filtration Group acquisition. Aerospace, off-highway, and international segments led growth.
Q1 2026 Q1 2026 2025-11-06
Record Q1 results featured 5% organic growth, 16% EPS increase, and strong margin expansion. Guidance for FY26 was raised across sales, margins, EPS, and free cash flow, supported by robust aerospace and industrial performance and the Curtis acquisition.
Q4 2025 Q4 2025 2025-08-07
Record FY 2025 with $19.9B sales, 26.1% margin, and $3.8B cash flow. FY 2026 guidance targets 2%-5% sales growth, 3% organic growth, and 6% EPS increase, with aerospace leading at 8% growth. Curtis Instruments acquisition to enhance electrification and EPS.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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