PH Stock Analysis — Parker Hannifin
Sector: Industrials
AI Verdict
Parker Hannifin trades at 26.2x next year’s earnings while analysts expect 27.1% EPS growth—this is a premium price for an industrial, but the company’s entrenched OEM relationships and engineering moat make the growth target more credible than most.
Competitive Moat
Parker Hannifin dominates motion and control technologies for industrial and aerospace applications, with deep integration into OEM supply chains and high switching costs for customers relying on its engineered components. Its defensibility comes from decades of application-specific know-how and entrenched relationships in mission-critical systems.
Summary
RSI of 29.6 signals PH is deeply oversold despite a 44.88% one-year return and forward EPS growth expected at 27.1%.
Where It Stands
Parker Hannifin has delivered a 44.88% one-year return, trades at 26.2x forward earnings versus a 20x sector median, and its RSI of 29.6 points to an oversold setup.
Key Metrics
- RSI: 29.6 — Oversold
- Trailing P/E: 33.3x
- Forward P/E: 26.2x
- PEG Ratio: 1.41
- Earnings Growth: +0.3%
- Revenue Growth: +0.0%
- Market Cap: $113.8B
- Dividend Yield: 0.01%
- 1-Year Return: 44.88%
- 52-Week High: $1034.96
- 52-Week Low: $608.31
Analyst Consensus
27 Buy · 8 Hold · 0 Sell (35 analysts)
Bull Case
With analysts projecting 27.1% forward EPS growth and the stock trading at 26.2x forward earnings, you’re paying a fair multiple for a rare growth rate in industrials.
Bear Case
If the P/E reverts to the 20x sector median, the stock would see a roughly 24% valuation drop from current levels.
Catalyst to Watch
Watch for quarterly earnings surprises or large contract wins, as any miss on the 27.1% EPS growth expectation could trigger further multiple compression.