Parker-Hannifin Corporation (PH) Stock Analysis — Fair Value, Risk & Moat Rating

Parker-Hannifin Corporation (PH) stock price is $954.43 as of the latest market close, traded on the NYSE exchange.

Parker-Hannifin Corporation manufactures and sells 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, Europe, Asia Pacific, and Latin America. It operates through two segments: Diversified Industrial and Aerospace Systems. It 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.

Parker-Hannifin Corporation has a market capitalization of $120.46B, classifying it as a large-cap stock in the Industrials sector.

Parker-Hannifin Corporation operates in the Industrials sector, specifically within the Specialty Industrial Machinery industry. It trades on the NYSE under the ticker symbol PH.

Based on our valuation model, Parker-Hannifin Corporation trades 18.5% above our fair value estimate — potentially overvalued.

• FairValueLabs Fair Value: $805.71
• Current Price: $954.43
• Valuation Zone: Overvalued

Based on 24 Wall Street analysts, the consensus price target for Parker-Hannifin Corporation is $1034.83, implying upside of 8.4% from the current price.

• Analyst High Target: $1167.86
• Analyst Low Target: $610.00

Note: Analyst targets are shown for reference and are not used in our valuation model.

Here are the analyst consensus growth estimates for Parker-Hannifin Corporation:

• Revenue growth (current year est.): 7.2%
• EPS growth (current year est.): 13.3%
• Revenue growth (next year est.): 6.0%
• EPS growth (next year est.): 9.8%

The price-to-earnings ratio measures how much investors pay per dollar of earnings:

• Trailing P/E (last 12 months): 34.9x
• Forward P/E (next 12 months est.): 28.1x
• FairValueLabs Fair P/E: 29.6x

Parker-Hannifin Corporation has a beta of 1.25, meaning it is somewhat more volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.

Parker-Hannifin Corporation's balance sheet shows:

• Total Cash: $427.0M
• Total Debt: $9.87B
• Net Cash Position: $-9.44B

A positive net cash position means the company holds more cash than debt, reducing financial risk.

Parker-Hannifin Corporation generated $2.47B in trailing twelve-month free cash flow (from $3.74B in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.

Yes, Parker-Hannifin Corporation pays a regular dividend. Here are the key metrics:

• Dividend Yield: 0.7%
• Payout Ratio: 25.7%
• Consecutive Years Paid: 42
• 5-Year Dividend Growth: -14.6%
• FairValueLabs Safety Grade: A

Parker-Hannifin Corporation's Altman Z-Score is 6.83, placing it in the safe zone (above 3.0) — bankruptcy risk is low. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.

Parker-Hannifin Corporation scores 3.7/5 stars (Solid moat · eroding) in our moat analysis:

• ROIC Stability: 4/5
• Gross Margin Trend: 4/5
• Switching Costs: 3/5

A score above 3.5 suggests meaningful pricing power and a defensible market position.

Parker-Hannifin Corporation's return on equity is 25.8%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.

PH shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:

1. Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
2. Search for ticker symbol PH
3. Place a market or limit order for your desired number of shares

This is not investment advice. Always do your own research before buying any stock.

FairValueLabs classifies Parker-Hannifin Corporation as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.

The current CEO of Parker-Hannifin Corporation is Ms. Jennifer A. Parmentier.

Earnings per share measures the company's profit allocated to each outstanding share:

• Trailing EPS (last 12 months): $27.39
• Forward EPS (next 12 months est.): $34.03
• Analyst consensus EPS (this year): $30.97
• Analyst consensus EPS (next year): $34.03