10 Analysts Assess Parker Hannifin: What You Need To Know

Throughout the last three months, 10 analysts have evaluated Parker Hannifin PH, offering a diverse set of opinions from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Parker Hannifin and provided 12-month price targets. The average target is $707.0, accompanied by a high estimate of $824.00 and a low estimate of $564.00. This current average has decreased by 4.89% from the previous average price target of $743.33.

Understanding Analyst Ratings: A Comprehensive Breakdown

An in-depth analysis of recent analyst actions unveils how financial experts perceive Parker Hannifin. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they ‘Maintain’, ‘Raise’, or ‘Lower’ their stance, it signifies their response to recent developments related to Parker Hannifin. This offers insight into analysts’ perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from ‘Outperform’ to ‘Underperform’. These ratings offer insights into expectations for the relative performance of Parker Hannifin compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Parker Hannifin’s stock. This analysis reveals shifts in analysts’ expectations over time.

To gain a panoramic view of Parker Hannifin’s market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Parker Hannifin analyst ratings.

Delving into Parker Hannifin’s Background

Parker Hannifin started out in 1917 as Parker Appliance, selling pneumatic brakes. Through the acquisition of branded components, the firm has expanded into aerospace engines, agricultural and construction machinery, freight and passenger vehicles, and industrial automation equipment. Within these larger systems, Parker sells a wide array of small, critical pieces such as hydraulic, electromechanical, climate control, and filtration components. Many of its products are designed to work together, resulting in a high rate of cross-selling.

Financial Milestones: Parker Hannifin’s Journey

Market Capitalization Highlights: Above the industry average, the company’s market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Parker Hannifin’s revenue growth over a period of 3M has faced challenges. As of 31 December, 2024, the company experienced a revenue decline of approximately -1.63%. This indicates a decrease in the company’s top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Parker Hannifin’s financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 20.0%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Parker Hannifin’s ROE surpasses industry standards, highlighting the company’s exceptional financial performance. With an impressive 7.29% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Parker Hannifin’s ROA stands out, surpassing industry averages. With an impressive ROA of 3.28%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a high debt-to-equity ratio of 0.69, Parker Hannifin faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company’s revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.