PH AI Stock Analysis – Buy, Hold, or Avoid?

Parker-Hannifin Corporation (PH)

Fundamentals

Essentia
Essentia
Fundamental Analysis
BULLISH

Parker-Hannifin continues to demonstrate robust financial health with high single-digit revenue and double-digit earnings growth, supported by expanding margins and consistent operational execution. The company's outperformance versus analyst estimates across multiple quarters suggests strong management discipline and superior end-market exposure. Valuation appears stretched relative to historical norms, but fundamental momentum remains solid, making Parker-Hannifin an industry leader in the industrial machinery sector.

Financial Highlights

Q1 2025Q2 2025Q3 2025Q4 2025Q1 2026$0$1.5B$3.0B$4.5B$6.0BRevenue & Net Income ($)15.75%16.8%17.85%18.9%19.95%Net Margin (%)
  • Revenue
  • Net Income
  • Net Margin (%)

Revenue

$5.49B

10.60% YoY

Q1 2026

Net Income

$904.00M

-5.92% YoY

Q1 2026

Net Margin

16.48%

Q1 2026

Growth Metrics

Revenue Growth YoY

10.60%

Latest Quarter: Q1 2026

Net Income Growth YoY

-5.92%

Latest Quarter: Q1 2026

Revenue Per Share Growth YoY

12.83%

Latest Quarter: Q1 2026

EPS Growth YoY

-4.28%

Latest Quarter: Q1 2026

Book Value Per Share Growth YoY

11.29%

Latest Quarter: Q1 2026

 Q1 2026Q4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024
Revenue5.5B5.2B5.1B5.2B5.0B4.7B4.9B5.2B
Revenue Growth YoY+10.60%+9.10%+3.67%+1.08%-2.25%-1.63%+1.17%+1.78%
Net Income904.0M845.0M808.0M923.2M960.9M948.5M698.4M785.0M
Net Income Growth YoY-5.92%-10.92%+15.69%+17.61%+32.25%+39.11%+7.31%+10.72%
EPS$7.16$6.69$6.39$7.25$7.48$7.37$5.43$6.10
EPS Growth YoY-4.28%-9.23%+17.68%+18.85%+32.39%+38.79%+7.10%+10.51%

Profitability Metrics

No profitability metrics available

Technical Analysis

Candela
Candela
Technical Analysis
BULLISH

Parker-Hannifin (PH) is currently in a strong uptrend with price above key moving averages and a confirmed golden cross, signaling bullish momentum. Technical indicators like RSI and ADX confirm strength but show neutral momentum with potential consolidation. Chart patterns suggest bullish setups with support around $872-$891 and resistance near $906-$920.

Earnings

Essentia
Essentia
Fundamental Analysis
BULLISH

Parker-Hannifin continues to demonstrate robust financial health with high single-digit revenue and double-digit earnings growth, supported by expanding margins and consistent operational execution. The company's outperformance versus analyst estimates across multiple quarters suggests strong management discipline and superior end-market exposure. Valuation appears stretched relative to historical norms, but fundamental momentum remains solid, making Parker-Hannifin an industry leader in the industrial machinery sector.

Valuation

Valorem
Valorem
Valuation Analysis
FAIRLY VALUED

Parker-Hannifin is trading at a premium valuation relative to its sector peers, supported by solid profitability and steady revenue growth. Analyst consensus signals moderate upside potential over the next 12 months, reflecting confidence in its stable business fundamentals and strong market position in industrial machinery.

Valuation Metrics

Price to Earnings

34.47

TTM

Price to Sales

5.69

TTM

Price to Book

8.19

TTM

Enterprise Value to EBITDA

22.84

TTM

Enterprise Value to Revenue

6.13

TTM

 Q1 2026Q4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024
Price to Earnings31.2632.8529.6624.0920.3221.5729.0920.53
Price to Sales20.5921.4418.8616.9515.7817.2716.5812.42
Price to Book7.737.756.966.495.846.246.315.34
Enterprise Value to EBITDA84.0285.7977.0370.0366.4160.6674.8456.14
Enterprise Value to Revenue22.2523.2620.8018.6917.5819.0918.5814.46

Sentiment & Analyst Ratings

Pulse
Pulse
Sentiment Analysis
MIXED

Parker-Hannifin (PH) exhibits generally positive market sentiment supported by strong earnings beats, robust revenue growth, and a series of analyst upgrades. Despite divergent valuation views, the consensus leans toward an upside with a median price target above current levels, fueled by solid operational performance and upbeat forward guidance. Social media sentiment appears muted but stable without significant retail enthusiasm or pessimism.

Analyst Recommendations

No analyst recommendations available.

Risk Assessment

Sentinel
Sentinel
Risk Assessment
MODERATE

Parker-Hannifin (PH) demonstrates solid financial health with steady liquidity and manageable leverage, supported by strong organic sales growth and expanding margins in key segments like aerospace and automation. While the company benefits from robust cash flow and favorable acquisition prospects, some valuation concerns and integration risks pose moderate caution for investors. Overall, the fundamentals and market positioning project a stable risk profile with potential upside driven by strategic growth initiatives.

Liquidity & Solvency

Frequently Asked Questions about PH

AI Answers: Common Questions About PH

Get AI-powered answers to the questions investors ask most about Parker-Hannifin Corporation

PH is a good buy for long-term investors seeking quality and growth, with a P/E of 35.15 reflecting justified optimism due to double-digit earnings growth and expanding margins. However, the current price ($953.27) is near resistance, so waiting for a pullback toward support ($872-$891) could improve risk/reward.

There is no strong reason to sell PH now unless you are highly valuation-sensitive or expect a sector downturn. Fundamentals and technicals remain strong, and the uptrend is intact. Consider trimming if overweight or if price exceeds $1,035 without further earnings acceleration.

The biggest risks are the elevated valuation (P/E 35.15, P/S and EV/EBITDA above sector), moderate liquidity (current ratio 1.13, quick ratio 0.66), and potential for cyclical demand slowdown or acquisition integration issues. Insider selling and sector volatility also warrant monitoring.

Analyst price targets range from $1,020 to $1,050, with technical resistance at $1,035 (52-week high). Support is at $872-$891, so upside is around 8-10% from current levels, with downside risk to the $870s if sentiment turns.

PH is fairly valued at a premium, with a P/E of 35.15 and high P/S and EV/EBITDA multiples versus sector peers. This is justified by superior margins (gross >37%, net ~18%), ROE near 25%, and strong cash flow, but limits near-term multiple expansion unless earnings growth accelerates.

PH is fundamentally strong, with consistent revenue and EPS growth (6% and 24% YoY, respectively), expanding margins, and robust ROE/ROA. The balance sheet is solid, with manageable debt (debt/equity 0.66) and strong cash generation, though liquidity ratios are only adequate.

Technical analysis is bullish: price is above all major SMAs, a golden cross is active, and RSI is 67.15 (not overbought). Support is at $872-$891, resistance at $906-$920, and the 52-week high at $1,035 is the next major upside target.

Key catalysts include upcoming earnings reports (given recent beats), further analyst upgrades, new aerospace or automation contracts, and macro trends in infrastructure and industrial automation. Watch for integration updates on recent acquisitions and any changes in sector sentiment.

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