How Is Parker-Hannifin’s Stock Performance Compared to Other Manufacturing Stocks?

With a market cap of $96.7 billion, Parker-Hannifin Corporation (PH) is a leading manufacturer and seller of motion and control technologies and systems for various mobile, industrial, and aerospace markets worldwide. Based in Cleveland, Ohio, the company operates through two segments: Diversified Industrial and Aerospace Systems. 

Companies worth $10 billion or more are generally described as “large-cap stocks”, and Parker-Hannifin fits this criterion perfectly. 

Shares of Parker-Hannifin have dipped 2.1% from its 52-week high of $773.30 touched recently on Aug. 28. PH stock has gained 13.8% over the past three months, lagging behind the iShares U.S. Manufacturing ETF’s (MADE) 10.7% increase over the same time frame.

Over the past 52 weeks, shares of PH have soared 31.2%, notably outperforming MADE’s 20% rally. Moreover, on a YTD basis, Parker-Hannifin stock has gained 19%, surpassing MADE’s 15.1% return.

The stock has risen above its 50-day and 200-day moving averages since early May, reinforcing a bullish trend.

Shares of PH rose 4.1% following the release of its impressive Q4 results on Aug. 7. Its net sales climbed 1.1% year-over-year to $5.2 billion, exceeding the consensus estimates by 2.7%. Meanwhile, its adjusted net income surged 12.2% year-over-year to $992 million, and adjusted EPS of $7.69 surpassed the consensus estimates by 8.6%. 

In contrast, rival Eaton Corporation plc (ETN) has lagged behind the PH stock. Shares of Eaton have increased 20.6% over the past 52 weeks and are up 4.9% on a YTD basis.

Due to the stock’s outperformance over the past year, analysts are highly bullish on PH. The stock has a consensus rating of “Strong Buy” from the 23 analysts covering the stock and, as of writing, is trading below the mean price target of $756.96.