Parker-Hannifin Corporation (PH)

Over the past six months, Parker-Hannifin's share price has gained 24.8%, outperforming the S&P 500 by 18.5%. As of June 25, 2025, the share price was $673.51, representing a 34.00% increase from $502.63 on June 26, 2024. Key events include the Q3 Fiscal 2025 earnings report, where revenue declined but adjusted EPS exceeded estimates due to strong aftermarket sales in the Aerospace Systems segment. Parker increased its quarterly cash dividend by 10% to $1.80 per share. Parker announced the retirement of Filtration Group President Rob Malone and elected Matt Jacobson as his successor. The Q2 Fiscal 2025 earnings report showed mixed performance, with strength in aerospace but challenges in industrials.

Parker-Hannifin's sales can be volatile due to its service of cyclical end markets, but competitive advantages allow for more stable earnings. The company is moving towards longer-cycle trends and industrial aftermarket sales, including a focus on electric vehicles. Approximately 54% of industrial sales come from higher-margin aftermarket business, generating recurring revenues and mitigating seasonality. The diversified portfolio also helps balance demand fluctuations.

Parker-Hannifin Corporation is a global leader in motion and control technologies and systems, providing engineered solutions for mobile, industrial, and aerospace markets. Founded in 1917 and headquartered in Cleveland, Ohio, the company operates within the Industrials sector. Its business is divided into Diversified Industrial and Aerospace Systems segments, offering a wide range of motion-control and fluid systems and components. The company has a diversified portfolio, with no single product accounting for more than one percent of total net sales and no single customer accounting for more than four percent.

Parker-Hannifin has a strong global presence with manufacturing facilities in 52 countries and sales in over 90 countries across six continents. This network includes approximately 10,500 global employees and 17,100 independent distributors. Approximately 40% of its diversified industrial business occurs outside the United States.

Parker-Hannifin maintains a strong brand reputation due to its history, precision-engineered solutions, and consistent financial performance, including 61 years of dividend growth. Its reputation has been positively influenced by strong financial performance, strategic acquisitions, commitment to sustainability, and consistent earnings surprises. Potential challenges include dependence on cyclical markets, supply chain challenges, and geopolitical and economic uncertainties.

Parker-Hannifin is primarily owned by institutional shareholders (87.18%), with 2.85% owned by insiders and 9.97% by retail investors. As of June 25, 2025, there are 2542 institutional owners holding 130,073,151 shares. Major institutional owners include Vanguard Group Inc., BlackRock, Inc., and State Street Corp. The largest individual shareholder is Donald E. Washkewicz, owning 1.21% of the company. Insider selling has been observed in the past three months.