NYSE
PH
Last Price
US $978.12
KEY FIGURES
MKT CAP
$122.2B
EPS
TTM
$27.58
PEG
TTM
8.38x
P/E
TTM
35.25x
P/S
TTM
6.15x
YIELD
0.76%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
24.69%
Return on equity
ROIC: 13.27%
Valuation History
35.3X
Price to Earnings
EV/EBITDA: 23.3X
Cash flow
Profit margin
7.71%
(FY vs FY)
EBITDA Y/Y
18.12%
(FY vs FY)
Cash flow Y/Y
12.69%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $978.12
-59.39%
Default assumptions
EBITDA Multiple
Fair Value
Market $978.12
-76.68%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Parker-Hannifin Corporation cash flow to debt ratio of 39.17% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
Parker-Hannifin Corporation's free cash flow has increased 11.96% from $2.98G last year to $3.34G, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Parker-Hannifin Corporation's debt to equity ratio is 0.66, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Parker-Hannifin Corporation's debt has decreased relative to shareholder equity from 0.91 last year to 0.66 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
Parker-Hannifin Corporation has a net debt to EBITDA ratio of 1.69x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Parker-Hannifin Corporation's interest coverage ratio of 10.81 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Parker-Hannifin Corporation's profit margin has increased (16.19%) in the last year from 14.27% to 16.58%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Parker-Hannifin Corporation's short-term assets of $6.95G exceed its short-term liabilities of $5.82G
Increasing performance - ROA.
Parker-Hannifin Corporation's return on assets of 11.34% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Parker-Hannifin Corporation's return on equity of 24.69%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Parker-Hannifin Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Parker-Hannifin Corporation had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Parker-Hannifin Corporation has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Parker-Hannifin Corporation has a free cash flow yield of 2.73%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Parker-Hannifin Corporation's yearly earnings has increased 24.15% since last year from $2.84G to $3.53G, signaling increasing performance
Decreasing performance - Healthy revenue growth.
Parker-Hannifin Corporation's yearly revenue has decreased -0.40% since last year from $19.93G to $19.85G, signaling decreasing performance
Increasing performance - ROIC.
ROIC 13.27% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
Parker-Hannifin Corporation's 3-year revenue CAGR of 7.76% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Parker-Hannifin Corporation had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Parker-Hannifin Corporation had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Parker-Hannifin Corporation is overvalued relative to its fair value price of 397.18 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Parker-Hannifin Corporation has an earnings yield of 2.85%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Parker-Hannifin Corporation is overvalued relative to its fair value price of 228.09 based on EBITDA multiple model
Overvalued - EV/EBITDA.
Parker-Hannifin Corporation has an EV/EBITDA ratio of 23.32x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Overvalued - PEG ratio value.
Parker-Hannifin Corporation has a PEG-ratio over 1 which is considered overvalued
Overvalued - P/B ratio.
Parker-Hannifin Corporation has a price-to-book ratio of 8.37x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
Parker-Hannifin Corporation has a price-to-sales ratio of 5.82x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue