Parker Hannifin Operating Margin vs. Net Income

PH Stock  USD 1,022  9.79  0.97%   
Considering Parker Hannifin's profitability and operating efficiency indicators, Parker Hannifin may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in March. Profitability indicators assess Parker Hannifin's ability to earn profits and add value for shareholders.
For Parker Hannifin profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Parker Hannifin to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Parker Hannifin utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Parker Hannifin's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Parker Hannifin over time as well as its relative position and ranking within its peers.

Parker Hannifin's Revenue Breakdown by Earning Segment

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For more detail on how to invest in Parker Stock please use our How to Invest in Parker Hannifin guide.The next projected EPS of Parker Hannifin is estimated to be 7.731825 with future projections ranging from a low of 7.6 to a high of 7.8375. Parker Hannifin's most recent 12-month trailing earnings per share (EPS TTM) is at 27.44. Please be aware that the consensus of earnings estimates for Parker Hannifin is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
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Parker Hannifin is projected to generate 7.731825 in earnings per share on the 30th of June 2026. Parker Hannifin earnings estimates show analyst consensus about projected Parker Hannifin EPS (Earning Per Share). It derives the highest and the lowest estimates based on Parker Hannifin's historical volatility. Many public companies, such as Parker Hannifin, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Parker Hannifin Revenue Breakdown by Earning Segment

By analyzing Parker Hannifin's earnings estimates, investors can diagnose different trends across Parker Hannifin's analyst sentiment over time as well as compare current estimates against different timeframes.
Is there potential for Industrial Machinery & Supplies & Components market expansion? Will Parker introduce new products? Factors like these will boost the valuation of Parker Hannifin. Anticipated expansion of Parker directly elevates investor willingness to pay premium valuations. Understanding fair value requires weighing current performance against future potential. All the valuation information about Parker Hannifin listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.09)
Dividend Share
7.03
Earnings Share
27.44
Revenue Per Share
160.92
Quarterly Revenue Growth
0.091
The market value of Parker Hannifin is measured differently than its book value, which is the value of Parker that is recorded on the company's balance sheet. Investors also form their own opinion of Parker Hannifin's value that differs from its market value or its book value, called intrinsic value, which is Parker Hannifin's true underlying value. Analysts utilize numerous techniques to assess fundamental value, seeking to purchase shares when trading prices fall beneath estimated intrinsic worth. Because Parker Hannifin's market value can be influenced by many factors that don't directly affect Parker Hannifin's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
It's important to distinguish between Parker Hannifin's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding Parker Hannifin should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. Meanwhile, Parker Hannifin's quoted price indicates the marketplace figure where supply meets demand through bilateral consent.

Parker Hannifin Net Income vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Parker Hannifin's current stock value. Our valuation model uses many indicators to compare Parker Hannifin value to that of its competitors to determine the firm's financial worth.
Parker Hannifin is rated below average in operating margin category among its peers. It is regarded second in net income category among its peers making up about  16,261,510,129  of Net Income per Operating Margin. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Parker Hannifin's earnings, one of the primary drivers of an investment's value.

Parker Hannifin's Earnings Breakdown by Geography

Parker Net Income vs. Operating Margin

Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Parker Hannifin

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.22 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Parker Hannifin

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
3.53 B
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.

Parker Net Income Comparison

Parker Hannifin is currently under evaluation in net income category among its peers.

Parker Hannifin Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Parker Hannifin, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Parker Hannifin will eventually generate negative long term returns. The profitability progress is the general direction of Parker Hannifin's change in net profit over the period of time. It can combine multiple indicators of Parker Hannifin, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Parker-Hannifin Corporation manufactures and sells motion and control technologies and systems for various mobile, industrial, and aerospace markets worldwide. The company was founded in 1917 and is headquartered in Cleveland, Ohio. Parker-Hannifin Corp operates under Specialty Industrial Machinery classification in the United States and is traded on New York Stock Exchange. It employs 55090 people.

Parker Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Parker Hannifin. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Parker Hannifin position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Parker Hannifin's important profitability drivers and their relationship over time.

Parker Hannifin Earnings Estimation Breakdown

The calculation of Parker Hannifin's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Parker Hannifin is estimated to be 7.731825 with the future projection ranging from a low of 7.6 to a high of 7.8375. Please be aware that this consensus of annual earnings estimates for Parker Hannifin is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
7.60
Lowest
Expected EPS
7.731825
7.84
Highest

Parker Hannifin Earnings Projection Consensus

Suppose the current estimates of Parker Hannifin's value are higher than the current market price of the Parker Hannifin stock. In this case, investors may conclude that Parker Hannifin is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Parker Hannifin's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 30th of June 2026Current EPS (TTM)
2689.15%
0.0
7.731825
27.44

Parker Hannifin Earnings History

Earnings estimate consensus by Parker Hannifin analysts from Wall Street is used by the market to judge Parker Hannifin's stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we suggest analyzing not only Parker Hannifin's upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.

Parker Hannifin Quarterly Gross Profit

1.93 Billion

Hype
Prediction
LowEstimatedHigh
920.011,0251,026
Details
Intrinsic
Valuation
LowRealHigh
920.011,0851,086
Details
Naive
Forecast
LowNextHigh
1,0411,0431,044
Details
23 Analysts
Consensus
LowTargetHigh
926.221,0181,130
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Parker Hannifin. Your research has to be compared to or analyzed against Parker Hannifin's peers to derive any actionable benefits. When done correctly, Parker Hannifin's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Parker Hannifin. Note that many institutional investors and large investment bankers can move markets due to the volume of Parker assets they manage. They also follow analysts to some degree and often drive overall investor sentiments towards Parker Hannifin. With so many stockholders watching consensus numbers, the difference between actual and projected earnings is one of the most critical factors driving Parker Hannifin's stock price in the short term.

Parker Hannifin Earnings per Share Projection vs Actual

Actual Earning per Share of Parker Hannifin refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Parker Hannifin predict the company's earnings will be in the future. The higher the earnings per share of Parker Hannifin, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.

Parker Hannifin Estimated Months Earnings per Share

For an investor who is primarily interested in generating an income out of investing in entities such as Parker Hannifin, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Parker Hannifin should always be considered in relation to other companies to make a more educated investment decision.

Parker Quarterly Analyst Estimates and Surprise Metrics

Earnings surprises can significantly impact Parker Hannifin's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
null
nullnullnullnull
2026-01-29
2025-12-317.167.650.49
2025-11-06
2025-09-306.627.220.6
2025-08-07
2025-06-307.087.690.61
2025-05-01
2025-03-316.726.940.22
2025-01-30
2024-12-316.236.530.3
2024-10-31
2024-09-306.146.20.06
2024-08-08
2024-06-306.226.770.55
2024-05-02
2024-03-316.156.510.36
2024-02-01
2023-12-315.266.150.8916 
2023-11-02
2023-09-305.315.960.6512 
2023-08-03
2023-06-305.486.080.610 
2023-05-04
2023-03-315.015.930.9218 
2023-02-02
2022-12-314.464.760.3
2022-11-03
2022-09-304.174.740.5713 
2022-08-04
2022-06-304.675.160.4910 
2022-05-05
2022-03-314.654.830.18
2022-02-03
2021-12-313.914.460.5514 
2021-11-04
2021-09-303.684.260.5815 
2021-08-05
2021-06-304.334.380.05
2021-04-29
2021-03-313.784.110.33
2021-02-04
2020-12-312.63.440.8432 
2020-11-05
2020-09-302.343.070.7331 
2020-08-06
2020-06-301.512.551.0468 
2020-04-30
2020-03-312.272.920.6528 
2020-01-30
2019-12-312.272.540.2711 
2019-10-31
2019-09-302.652.760.11
2019-08-01
2019-06-303.113.310.2
2019-05-02
2019-03-313.023.170.15
2019-01-31
2018-12-312.422.510.09
2018-11-01
2018-09-302.532.840.3112 
2018-08-02
2018-06-302.913.220.3110 
2018-04-26
2018-03-312.622.80.18
2018-02-01
2017-12-312.072.150.08
2017-11-02
2017-09-302.032.120.09
2017-08-03
2017-06-302.312.450.14
2017-04-27
2017-03-311.862.110.2513 
2017-02-02
2016-12-311.391.910.5237 
2016-10-21
2016-09-301.571.610.04
2016-08-04
2016-06-301.761.90.14
2016-04-26
2016-03-311.441.510.07
2016-01-26
2015-12-311.181.520.3428 
2015-10-22
2015-09-301.461.520.06
2015-08-04
2015-06-301.861.43-0.4323 
2015-04-28
2015-03-311.992.060.07
2015-01-27
2014-12-311.551.840.2918 
2014-10-28
2014-09-301.671.850.1810 
2014-08-06
2014-06-302.071.98-0.09
2014-04-29
2014-03-311.621.6-0.02
2014-01-22
2013-12-311.231.240.01
2013-10-18
2013-09-301.471.610.14
2013-08-06
2013-06-301.971.78-0.19
2013-04-25
2013-03-311.671.680.01
2013-01-18
2012-12-311.111.190.08
2012-10-19
2012-09-301.731.57-0.16
2012-08-02
2012-06-301.911.960.05
2012-04-24
2012-03-311.712.010.317 
2012-01-20
2011-12-311.621.56-0.06
2011-10-18
2011-09-301.691.910.2213 
2011-08-02
2011-06-301.81.79-0.01
2011-04-27
2011-03-311.551.680.13
2011-01-20
2010-12-311.31.390.09
2010-10-19
2010-09-301.071.510.4441 
2010-08-03
2010-06-301.081.350.2725 
2010-04-20
2010-03-310.770.940.1722 
2010-01-19
2009-12-310.350.640.2982 
2009-10-20
2009-09-300.170.450.28164 
2009-07-30
2009-06-300.220.310.0940 
2009-04-16
2009-03-310.460.33-0.1328 
2009-01-20
2008-12-310.830.960.1315 
2008-10-16
2008-09-301.391.50.11
2008-07-31
2008-06-301.51.550.05
2008-04-22
2008-03-311.341.490.1511 
2008-01-17
2007-12-311.191.230.04
2007-10-18
2007-09-301.241.330.09
2007-08-01
2007-06-301.181.230.05
2007-04-24
2007-03-311.091.190.1
2007-01-17
2006-12-310.941.090.1515 
2006-10-18
2006-09-300.991.170.1818 
2006-08-01
2006-06-3011.030.03
2006-04-18
2006-03-310.930.970.04
2006-01-18
2005-12-310.750.770.02
2005-10-18
2005-09-300.820.79-0.03
2005-07-28
2005-06-300.790.890.112 
2005-04-18
2005-03-310.730.790.06
2005-01-18
2004-12-310.690.63-0.06
2004-10-19
2004-09-300.550.740.1934 
2004-07-29
2004-06-300.610.70.0914 
2004-04-19
2004-03-310.590.60.01
2004-01-20
2003-12-310.30.310.01
2003-10-15
2003-09-300.270.320.0518 
2003-07-29
2003-06-300.310.29-0.02
2003-04-15
2003-03-310.320.31-0.01
2003-01-16
2002-12-310.260.25-0.01
2002-10-15
2002-09-300.270.350.0829 
2002-07-30
2002-06-300.330.23-0.130 
2002-04-16
2002-03-310.240.310.0729 
2002-01-16
2001-12-310.220.220.0
2001-10-16
2001-09-300.340.350.01
2001-07-30
2001-06-300.360.380.02
2001-04-17
2001-03-310.480.530.0510 
2001-01-16
2000-12-310.490.45-0.04
2000-10-17
2000-09-300.510.560.05
2000-07-01
2000-06-300.660.660.0
2000-04-18
2000-03-310.590.650.0610 
2000-01-18
1999-12-310.460.45-0.01
1999-10-18
1999-09-300.40.450.0512 
1999-07-29
1999-06-300.520.560.04
1999-04-16
1999-03-310.440.470.03
1999-01-19
1998-12-310.370.390.02
1998-10-15
1998-09-300.450.470.02
1998-07-30
1998-06-300.540.560.02
1998-04-16
1998-03-310.530.530.0
1998-01-20
1997-12-310.440.42-0.02
1997-10-16
1997-09-300.40.470.0717 
1997-07-31
1997-06-300.50.550.0510 
1997-04-16
1997-03-310.430.470.04
1997-01-16
1996-12-310.30.310.01
1996-10-16
1996-09-300.30.310.01
1996-08-01
1996-06-300.410.39-0.02
1996-04-17
1996-03-310.40.410.01

Use Parker Hannifin in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Parker Hannifin position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Parker Hannifin will appreciate offsetting losses from the drop in the long position's value.

Parker Hannifin Pair Trading

Parker Hannifin Pair Trading Analysis

The ability to find closely correlated positions to Parker Hannifin could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Parker Hannifin when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Parker Hannifin - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Parker Hannifin to buy it.
The correlation of Parker Hannifin is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Parker Hannifin moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Parker Hannifin moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Parker Hannifin can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Parker Hannifin position

In addition to having Parker Hannifin in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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For more detail on how to invest in Parker Stock please use our How to Invest in Parker Hannifin guide.
You can also try the Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
To fully project Parker Hannifin's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Parker Hannifin at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Parker Hannifin's income statement, its balance sheet, and the statement of cash flows.
Potential Parker Hannifin investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Parker Hannifin investors may work on each financial statement separately, they are all related. The changes in Parker Hannifin's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Parker Hannifin's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.