Parker-Hannifin Corp

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. The company operates through two segments: Diversified Industrial and Aerospace Systems.

About the company

Country: United StatesPrice: $955.68Market Cap: $120.5B

Investment snapshot

29%positive consensus

Scored 1d ago

Positive

BUY / PASS

Neutral / negative

6 / 6

NEUTRAL / FAIL

Median fair value

$311.67

-67.4% vs price

Models with upside

0 / 17

Positive margin of safety

Strongest signal

5 of 8 pass — Lynch, Ackman and Sleep object

Key risk

No clean pass — all 13 investors flag at least one valuation criterion

Framework analysis

Verdict	Meaning
BUY	Positive purchase signal: the framework's buy requirements are met.
PASS	The company clears the framework's checklist or screen, but the framework does not produce a buy signal. For valuation frameworks this often means margin of safety is missing, insufficient, or unavailable; some screen-only frameworks have no intrinsic-value BUY state.
NEUTRAL	Neither a positive nor negative conclusion. It does not mean to hold an existing position.
FAIL	The company does not clear the framework's requirements.
Ranked	Ranked strategies do not use PASS: selected cohort is BUY, outside the cohort is FAIL, and unranked is NEUTRAL.

Current investor scores use trailing 12-month flows and the latest balance sheet where supported. Multi-year and EPS tests retain annual history; each framework shows its financial basis below. Intrinsic values use annual financials.

Metric	Graham Defensive Value	Buffett Quality Compounder	Lynch GARP	Greenblatt Magic Formula	Piotroski F-Score	Dreman Contrarian Value	Munger Quality Focus	Pabrai Dhandho Framework	Akre Three-Legged Stool	Marks Risk-Aware Value	Ackman Activist Value	Templeton Global Bargain Hunter	Sleep Scale Economies Shared	Asness Systematic Factors	Neff Low-P/E Total Return	Schloss Asset-Value Discipline	O'Shaughnessy Systematic Factor Composite
Verdict	PASS	PASS	FAIL	BUY · Rank #575 (Top 18.6%)	PASS	PASS	FAIL	FAIL	NEUTRAL	FAIL	NEUTRAL	NEUTRAL	NEUTRAL	FAIL	NEUTRAL	NEUTRAL	FAIL
Score
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Intrinsic Value (annual)					N/A								N/A	N/A	N/A	N/A	N/A
Margin of Safety	-272.3%	-42.0%	-131.4%	-260.2%	N/A	-151.2%	-131.2%	-237.5%	-18.7%	-320.8%	-206.6%	-211.7%	N/A	N/A	N/A	N/A	N/A
Financial Basis	TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Annual history · FY 2025 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · TTM ended 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · Balance sheet at 2026-09-30 · TTM ended 2026-09-30 vs 2025-09-30 · TTM ended 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	TTM ended 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 Latest source filing: 2025-08-22 Score computed: 2026-11-14	Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Market data at 2026-11-01 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Qualitative assessment · Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Qualitative assessment · Annual history · FY 2025 Latest source filing: 2025-08-22 Score computed: 2026-11-14	Annual history · FY 2025 · Qualitative assessment · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · Qualitative assessment Latest source filing: 2025-08-22 Score computed: 2026-11-14	Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Market data at 2026-11-01 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · Price history 2025-01-01–2026-11-01 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · Qualitative assessment Latest source filing: 2025-08-22 Score computed: 2026-11-14	TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Price history 2025-01-01–2026-11-01 · Annual history · FY 2025 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · TTM ended 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	Annual history · FY 2025 · Balance sheet at 2026-09-30 Latest source filing: 2026-11-05 Score computed: 2026-11-14	TTM ended 2026-09-30 · Annual history · FY 2025 · Price history 2025-01-01–2026-11-01 Latest source filing: 2026-11-05 Score computed: 2026-11-14

Where It Passes

Growth63% pass✓ 8✗ 5▾
5 of 8 pass — Lynch, Ackman and Sleep object
EPS Growth (3-yr avg, 10-yr window)489.8%
✓Graham>= 33% growth
Basic earnings-growth PEG (dividends excluded)2.31
✗Lynch< 1.0 (ideally < 0.5)
3-5 Year EPS CAGR15.2%
✓Lynch15-30% (Fast Grower); > 0% to pass
Inventory Growth vs Revenue GrowthInv: 18.1% vs Rev: 11.9%
✗LynchInventory growth < Revenue growth
EPS Growth Direction$3.13 (2008) -> $27.12 (2025)
✓DremanPositive over recent years
EPS CAGR13.5% CAGR over 17 years
✓Dreman> 5% annualized
Positive Net Income Frequency18/18 years positive
✓MarksPositive net income in >= 7 of last 10 years
3yr Median Revenue Growth0.0%
✗Ackman>= 5%
Positive EPS Growth Frequency3/5 years with positive EPS growth
✓AckmanPositive EPS growth in >= 3 of last 5 years
5-Year EPS CAGR15.2% CAGR over 5 years
✓Templeton> 0% (5-year EPS CAGR)
Revenue growth vs. gross and operating margin trendgross margin 35.8% -> 36.9%, operating margin 20.4% -> 21.9%
✗SleepRevenue rising; gross margin flat or falling; operating margin holding
5-year Revenue CAGR6.7%
✗SleepCAGR > 7%
3-5 Year Diluted EPS CAGR15.2% over 5 years
✓Neff7%-20% annualized

Where It Falls Short

Valuation0% pass✓ 1✗ 27▾
No clean pass — all 13 investors flag at least one valuation criterion
Price / 3-yr avg EPS37.7x
✗Graham<= 15x
Price-to-Book Ratio8.8x
✗Graham<= 1.5x
P/E x P/B333.50
✗Graham<= 22.5
Basic earnings-growth PEG (dividends excluded)2.31
✗Lynch< 1.0 (ideally < 0.5)
EBIT / Enterprise Value3.9%
✗Greenblatt> 10%
Earnings Yield + ROC AssessmentEY=3.9%, ROC=241.2%
✗GreenblattBoth EY > 10% and ROC > 25%
Price / EPS35.2x
✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)
Price / (CFO / Shares)32.1x
✗Dreman< 8x
Price / Book Value per Share8.8x
✗Dreman< 1.2x✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)
Valuation ReasonablenessP/E=35.2x, OE Yield=2.9%
✗MungerP/E < 25 or Owner Earnings Yield > 5%
P/E or FCF YieldP/E=35.2x, FCF Yield=2.8%
✗PabraiP/E < 15 or FCF Yield > 10%
P/B or P/E vs. Historical AverageP/E=35.2x, P/B=8.8x
✗MarksP/E < 15 or P/B < 2.0
Discount to Intrinsic Value-151.2% (IV=$380.40 vs Price=$955.68)
✗Marks>= 20% below intrinsic value
Price / FCF per Share36.2x
✗Ackman<= 25
Price vs. Trailing Low158% of trailing low ($605.06)
✗Templeton<= 120% of trailing low (certified split-adjusted live window)
Net income / market capitalization+3.09%; #2342/6340 (top 36.9%)
✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
Positive book equity / market capitalization+0.1325; #4570/6449 (top 70.9%)
✗AsnessTop 30% of eligible cross-section
Price / Diluted EPS35.2x
✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)
(EPS CAGR % + Dividend Yield %) / P/E0.45
✗Neff> 0.7 (Neff's published traditional edge)
Price / Tangible Book Value per Share8.85x
✗SchlossP/TBV <= 1.00x (app cutoff)
Book Value per Share Change+66.1%
✓SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)
Revenue / market capitalization+0.1859; #3844/5247 (top 73.3%)
✗OshaughnessyTop 10% of eligible cross-section
(Operating cash flow - capex) / market capitalization+3.20%; #2004/4519 (top 44.3%)
✗OshaughnessyTop 10% of eligible cross-section
Trailing six-month price return through the evaluation date+5.09%; #2152/6202 (top 34.7%)
✗OshaughnessyTop 10% of eligible cross-section
Valuation models0% pass✗ 11▾
PH overvalued: all 11 models price fair value below $955.68 (median $311.67)
Graham fair value$256.72
✗Graham-272.3% margin vs $955.68
Buffett fair value$673.25
✗Buffett-42.0% margin vs $955.68
Lynch fair value$413.01
✗Lynch-131.4% margin vs $955.68
Greenblatt fair value$265.30
✗Greenblatt-260.2% margin vs $955.68
Dreman fair value$380.40
✗Dreman-151.2% margin vs $955.68
Munger fair value$413.33
✗Munger-131.2% margin vs $955.68
Pabrai fair value$283.15
✗Pabrai-237.5% margin vs $955.68
Akre fair value$805.00
✗Akre-18.7% margin vs $955.68
Marks fair value$227.12
✗Marks-320.8% margin vs $955.68
Ackman fair value$311.67
✗Ackman-206.6% margin vs $955.68
Templeton fair value$306.63
✗Templeton-211.7% margin vs $955.68
Debt & Leverage33% pass✓ 5✗ 10▾
8 of 12 flag PH's debt & leverage — Graham, Buffett, Lynch +5 more
Total Debt / Shareholders' Equity0.92
✗Dreman< 0.8✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00x
LT Debt vs Net Current AssetsLT Debt $14.6B vs NCA $-518.0M
✗GrahamLT Debt <= Net Current Assets
Debt/Equity & Interest CoverageD/E: 0.92, IC: 11.9x
✗BuffettD/E < 0.5 AND Interest Coverage > 5x
Total Debt / Equity0.92
✗Lynch< 0.33
Cash - Long-term Debt$-13.9B
✗LynchPositive preferred
LT Debt / Total Assets Change25.43% -> 25.43%
✓PiotroskiDecreased YoY
Current Assets / Current Liabilities0.94
✗Dreman> 1.5✗SchlossCurrent ratio >= 1.50x (app cutoff)
Debt Levels0.92
✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3
Interest Coverage & Debt/EBITDAIC=11.3x, D/EBITDA=1.6x
✓MarksInterest Coverage > 3x; Debt/EBITDA < 4x
Total Debt / Shareholders Equity0.92
✓Ackman<= 1.0
Negative debt-to-equity (higher means less debt)-0.9168; #3122/4210 (top 74.2%)
✗AsnessTop 30% of eligible cross-section
Profitability44% pass✓ 20✗ 15▾
9 of 16 flag PH's profitability — Buffett, Lynch, Greenblatt +6 more
Positive EPS (10 years)18/18 years positive
✓GrahamPositive EPS every year for 10 years
EPS Growth (3-yr avg, 10-yr window)489.8%
✓Graham>= 33% growth
Net Income Positive (10+ years)18/18 years positive
✓BuffettPositive every year for 10+ years
ROE (up to 5-year arithmetic mean)22.0%
✓Buffett> 15% arithmetic mean (app rule)
Operating Margin (10-yr trend)21.9% (latest)
✓BuffettStable or rising over 10 years
Free Cash Flow Proxy$3.5B
✗BuffettPositive and growing
Earnings Variance (10-yr CoV)0.65
✗BuffettCoV < 0.3
Retained Earnings Effectiveness
✗Buffett$1 retained -> > $1 market value created
Basic earnings-growth PEG (dividends excluded)2.31
✗Lynch< 1.0 (ideally < 0.5)
3-5 Year EPS CAGR15.2%
✓Lynch15-30% (Fast Grower); > 0% to pass
ROE23.3%
✓Lynch> 15%
EBIT / Enterprise Value3.9%
✗Greenblatt> 10%
Earnings Yield + ROC AssessmentEY=3.9%, ROC=241.2%
✗GreenblattBoth EY > 10% and ROC > 25%
Net Income / Total Assets11.98%
✓PiotroskiROA > 0
ROA Change YoY11.98% -> 11.98% (delta: +0.00%)
✗PiotroskiCurrent ROA > Prior ROA
(CFO / Total Assets) vs ROACFO/Assets=12.80%, ROA=11.98%
✓PiotroskiCFO/Assets > ROA
Gross Margin Change YoY36.9% -> 36.9%
✗PiotroskiImproved YoY
Pre-Tax Income / Revenue20.8%
✓Dreman>= 8%
Net Income / Shareholders' Equity23.3%
✓Dreman> 12%
Margin of SafetyP/E=35.2x, P/B=8.8x
✗PabraiP/B < 1.5 or P/E < 15
Return on Equity25.1% (3-yr avg)
✓AkreROE > 20% (3-year avg)
Discount to Intrinsic Value-151.2% (IV=$380.40 vs Price=$955.68)
✗Marks>= 20% below intrinsic value
Positive Net Income Frequency18/18 years positive
✓MarksPositive net income in >= 7 of last 10 years
Operating Income / Revenue23.6%
✓Ackman>= 15%
Net Income / Shareholders Equity23.3%
✓Ackman>= 15%
5-Year EPS CAGR15.2% CAGR over 5 years
✓Templeton> 0% (5-year EPS CAGR)
Operating Margin Trend20.4% (2023) -> 21.9% (2025)
✓TempletonNon-negative operating-margin trend over 3 years
Revenue growth vs. gross and operating margin trendgross margin 35.8% -> 36.9%, operating margin 20.4% -> 21.9%
✗SleepRevenue rising; gross margin flat or falling; operating margin holding
Net income / market capitalization+3.09%; #2342/6340 (top 36.9%)
✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
Gross profit / total assets+24.80%; #1740/3702 (top 47.0%)
✗AsnessTop 30% of eligible cross-section
Net income / positive book equity+23.33%; #661/5226 (top 12.6%)
✓AsnessTop 30% of eligible cross-section
Negative 5-year standard deviation of ROA-0.0275; #1790/5884 (top 30.4%)
✗AsnessTop 30% of eligible cross-section
3-5 Year Diluted EPS CAGR15.2% over 5 years
✓Neff7%-20% annualized
Positive Diluted-EPS Years10/10 years positive
✓Schloss>= 70% positive over 5-10 observed years (app rule)
Verdicts45% pass✓ 5✗ 6▾
Split decision: 6 FAIL · 6 NEUTRAL · 4 PASS
Overall verdict
✓GrahamPASS (4/9)✓BuffettPASS (5/9)✗LynchFAIL (3/7)✓GreenblattRank #575✓PiotroskiPASS (F-Score 4)✓DremanPASS (5/11)✗MungerFAIL (1/4)✗PabraiFAIL (1/3)•AkreNEUTRAL (4/6)✗MarksFAIL (3/5)•AckmanNEUTRAL (6/9)•TempletonNEUTRAL (5/8)•SleepNEUTRAL (4/6)✗AsnessFAIL (Rank #1258/2370 (Top 53.1%))•NeffNEUTRAL (4/6)•SchlossNEUTRAL (4/7)✗OshaughnessyFAIL (Rank #816/963 (Top 84.7%))
Cash Flow50% pass✓ 6✗ 6▾
5 of 10 pass — Buffett, Dreman, Pabrai +2 more object
Free Cash Flow Proxy$3.5B
✗BuffettPositive and growing
FCF Positive and Growing$3.9B
✓LynchPositive and growing
Operating Cash Flow$3.8B
✓PiotroskiCFO > 0
(CFO / Total Assets) vs ROACFO/Assets=12.80%, ROA=11.98%
✓PiotroskiCFO/Assets > ROA
Price / (CFO / Shares)32.1x
✗Dreman< 8x
P/E or FCF YieldP/E=35.2x, FCF Yield=2.8%
✗PabraiP/E < 15 or FCF Yield > 10%
FCF Positive18/18 years FCF positive
✓MarksPositive FCF in majority of recent years
(OCF - CapEx) / Market Cap3.2%
✗Ackman>= 4%
Price / FCF per Share36.2x
✗Ackman<= 25
Positive Operating Cash Flow frequency18/18 years positive
✓SleepPositive OCF in >= 70% of available years
Operating Cash Flow - Capital Expenditures$3.9B
✓Neff> $0 (app proxy for a strong fundamental case)
(Operating cash flow - capex) / market capitalization+3.20%; #2004/4519 (top 44.3%)
✗OshaughnessyTop 10% of eligible cross-section
Efficiency50% pass✓ 6✗ 5▾
4 of 8 pass — Graham, Piotroski, Dreman +1 more object
Current Ratio0.94
✗Graham>= 2.0
ROIC (3-5 yr avg)15.0%
✓Buffett> 10%
ROIC - WACC+5.0%
✓BuffettPositive (WACC = 10%)
EBIT / (NWC + Net Fixed Assets)241.2%
✓Greenblatt> 25%
Current Ratio Change YoY1.19 -> 1.19
✗PiotroskiIncreased YoY
Revenue / Total Assets Change YoY0.67x -> 0.67x
✗PiotroskiImproved YoY
Current Assets / Current Liabilities0.94
✗Dreman> 1.5
Return on Invested Capital13.7%
✗Munger> 15%
ROIC (high and growing)FY2023: ROIC=15.7%; FY2024: ROIC=16.2%; FY2025: ROIC=16.2%
✓AkreLatest 3 consecutive FYs: ROIC > 15% in each
Reinvestment Rate x ROIC10.1% (RR=74% x ROIC=13.7%)
✓AkreReinvestment Rate * ROIC > 10%
ROIC (5-year)5/5 years above 12% (latest 16.2%)
✓SleepROIC > 12% in a majority of years

Business & financials

Financial snapshot: annual FY 2025. Current investor scores may use newer quarterly data.

Company Profile

Industry: Fabricated Metals

Size: Large Cap($120.5B)

Revenue: $19.9B+0.0% YoY

Net Income: $3.5B+0.0% YoY

Financial Snapshot

Operating Margin21.9%

Return on Equity25.8%

Debt / Equity0.55

Current Ratio1.19

EPS (Diluted)$27.12+0.0% 1y

Shares Retired−0.0% / 1.5% 2y

Similar Companies

No peer companies found in this industry.

Shareholder Return

Fiscal 2025

Issued 0.0% of shares last year, 1.5% over two.

Buybacks: —
Dividends: $861.0M

What drove EPS

A buyback raises earnings per share without the company earning more. This splits each year's change into the two.

FY22

59.0% = 58.3% + 0.4%

FY23

36.2% = 36.5% + −0.3%

FY24

24.2% = 24.2% + −0.0%

FY25

0.0% = 0.0% + 0.0%

Earnings Fewer shares More shares

Share count is the denominator the filer used for diluted EPS, recovered as net income ÷ EPS — not the balance-sheet count, which is a point-in-time figure and would put the timing difference into this split. Years with a loss are omitted: a smaller share count makes a loss per share larger, so the decomposition inverts.

Company Financials

Latest TTM and quarters alongside annual years

TTM sums four consecutive quarters and uses the latest quarter-end balances. Quarter columns show three-month results; annual columns show full-year totals. Growth compares the same period a year earlier. EPS is not added for TTM; full-year ratios are blank for quarters.

The latest annual period end is unavailable. Showing the latest fiscal cycle’s quarters; quarter and annual columns may overlap. Quarterly shows the full quarter history.

Metric	TTM · 2026-09-30 2025-10-01 – 2026-09-30 Sources · derived quarter values 10-Q · 2026-01-30 10-Q · 2026-05-01 10-K · 2026-08-21 10-Q · 2026-11-05 Derived from cumulative filings: operating cash flow, capex, dividends paid, buybacks, revenue, net income, operating income, ebit, pre tax income, interest expense.	Q1 FY 2027 2026-07-01 – 2026-09-30 Sources 10-Q · 2026-11-05	FY 2025 Sources 10-K · 2025-08-22	FY 2024 Sources 10-K · 2025-08-22	FY 2023 Sources 10-K · 2024-08-22	FY 2022 Sources 10-K · 2023-08-24	FY 2021 Sources 10-K · 2022-08-24
Market Cap	$120.5Bcurrent	--	$118.3Best.	$88.5Best.	$58.4Best.	$40.3Best.	$37.7Best.
Revenue	$22.4B↑12%	$6.0B↑18%	$19.9B	$19.9B	$19.9B↑5%	$19.1B↑20%	$15.9B
Operating Income	$5.3B↑18%	$1.4B↑19%	$4.3B	$4.3B↑7%	$4.1B↑20%	$3.4B↑14%	$3.0B
Net Income	$3.7B↑2%	$884.0M↑9%	$3.5B	$3.5B↑24%	$2.8B↑37%	$2.1B↑58%	$1.3B
EPS (Diluted)	--	$6.92↑10%	$27.12	$27.12↑24%	$21.84↑36%	$16.04↑59%	$10.09
Gross Margin	—	—	36.9%	36.9%↑3%	35.8%↑6%	33.7%↑1%	33.5%
Operating Margin	23.6%↑6%	23.5%↑1%	21.9%	21.9%↑7%	20.4%↑14%	17.9%↓5%	18.8%
ROE	23.3%↓12%	—	25.8%	25.8%↑10%	23.6%↑17%	20.2%↑36%	14.9%
Total Debt	$14.6B↑42%	$14.6B↑42%	$7.5B	$7.5B↓11%	$8.4B↓22%	$10.8B↑7%	$10.1B
Shareholders' Equity	$16.0B↑16%	$16.0B↑16%	$13.7B	$13.7B↑13%	$12.1B↑17%	$10.3B↑17%	$8.8B
Current Ratio	0.94↓11%	0.94↓11%	1.19	1.19↑28%	0.93↑5%	0.88↓57%	2.06
Debt / Equity	0.92↑22%	0.92↑22%	0.55	0.55↓21%	0.70↓33%	1.04↓8%	1.14
Operating Cash Flow	$4.3B↑14%	$752.0M↓4%	$3.8B	$3.8B↑12%	$3.4B↑14%	$3.0B↑22%	$2.4B
Free Cash Flow	$3.9B↑14%	$643.0M↓7%	$3.3B	$3.3B↑12%	$3.0B↑15%	$2.6B↑18%	$2.2B