At a glance
Parker-Hannifin Corporation is worth $117.01B, about 33 times its fiscal 2026 earnings. Revenue grew 8.3% to $21.50B in fiscal 2026, with 17.0% kept as profit; over 5 years it has grown 8.4% a year. It pays a 0.82% dividend yield, raised every year for at least 9 years, and returned $7.97B to shareholders in dividends and buybacks over FY2022–FY2026. The stock returned +21.1% over the past year with dividends reinvested and +26.8% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 54.7% in the 2020 crash (S&P 500: 33.7%) and 27.3% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 5 months and 8 months after the lows.
The business in plain English
Parker-Hannifin, incorporated in Ohio in 1938 and based in Cleveland, makes parts and systems that move and control machines and aircraft. It sells hundreds of thousands of part numbers, from hydraulic pumps, valves and hoses to seals, filters and sensors. No single product made up more than 1% of sales in the fiscal year ended June 30, 2026. Customers include original equipment manufacturers (OEMs, the companies that build the machines) and distributors that sell replacement parts.
Net sales were $21.5 billion that year, split between two segments. Diversified Industrial brought in 67%. It sells through its own sales staff and independent distributors to customers in factory equipment, off-highway vehicles, transportation, energy, and heating and refrigeration. Aerospace Systems brought in 33%. It makes flight controls, fuel systems, brakes, hydraulics and engine parts for commercial and military aircraft, and sells them directly to aircraft and engine makers and to end users. When Parker wins a place on a new aircraft program, it also gets the repair and replacement-part business for that program.
North America made up about 67% of sales; Europe, the Middle East and Africa 19%; Asia Pacific 13%; and Latin America 1%. Backlog, meaning firm orders not yet delivered, reached $12.8 billion at June 30, 2026, up from $11.0 billion a year earlier, with about 70% due within 12 months.
Price history
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PH +21.1% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By business segment
| Diversified Industrial | $14.44B | 67.2% |
| Aerospace Systems | $7.06B | 32.8% |
By geography
| North America | $14.39B | 66.9% |
| EMEA | $4.18B | 19.4% |
| Asia Pacific | $2.71B | 12.6% |
| Latin America | $224.0M | 1% |
Latest results
- In Q4 FY2026 (ended Jun 30, 2026), revenue was $5.75B, up 9.8% from a year earlier, and net income was $1.09B (+18.2%).
- For fiscal 2026, revenue was $21.50B (+8.3% year over year; +8.4% a year from FY2021 to FY2026) with a 17% net margin.
Financial health check
| Revenue growth a year (FY2021–FY2026) | +8.4% good |
|---|---|
| Operating margin | 23.6% good |
| Free cash flow margin | 18.2% good |
| Return on equity (FY2026) | 23.7% good |
| Return on assets (FY2026) | 11.8% good |
| Net cash (cash minus debt) | $-7.97B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $14.35B | $1.75B | $2.37B |
| FY2022 | $15.86B | $1.32B | $2.21B |
| FY2023 | $19.07B | $2.08B | $2.60B |
| FY2024 | $19.93B | $2.84B | $2.98B |
| FY2025 | $19.85B | $3.53B | $3.34B |
| FY2026 | $21.50B | $3.65B | $3.90B |
Valuation snapshot
| Market value | $117.01B |
|---|---|
| P/E ratio | 32.6 |
| Dividend yield | 0.82% |
Rank among 1514 US companies
Market value at each year end
Parker-Hannifin’s market value went from $18.68B at the end of 2016 to $117.01B on Nov 2, 2026, about 6.3 times as much; since the end of 2025 it is up 5%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $117.01B | +5.5% |
| 2025 | $110.94B | +35.5% |
| 2024 | $81.90B | +38.4% |
| 2023 | $59.19B | +58.4% |
| 2022 | $37.37B | -8.6% |
| 2021 | $40.87B | +16.2% |
| 2020 | $35.16B | +33.1% |
| 2019 | $26.42B | +36.9% |
| 2018 | $19.29B | -27.4% |
| 2017 | $26.59B | +42.4% |
| 2016 | $18.68B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| PH price data to Nov 2, 2026 | +6.3% | +21.1% | +33.2% | +26.8% | +24.6% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +6.3% |
| 2025 | +39.5% |
| 2024 | +39.6% |
| 2023 | +60.8% |
| 2022 | -6.9% |
| 2021 | +18.3% |
| 2020 | +34.7% |
| 2019 | +40.8% |
| 2018 | -24.0% |
| 2017 | +44.9% |
| 2016 | +47.5% |
| 2015 | -23.1% |
| 2014 | +2.0% |
| 2013 | +53.9% |
| 2012 | +13.8% |
| 2011 | -10.1% |
| 2010 | +62.8% |
| 2009 | +29.4% |
| 2008 | -42.6% |
| 2007 | +48.6% |
| 2006 | +18.0% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 61.8% over that stretch · deepest drop along the way 66.9%, back to its old high 20.5 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 53.9% over that stretch · deepest drop along the way 54.7%, back to its old high 5.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 18.8% over that stretch · deepest drop along the way 27.3%, back to its old high 7.5 months after the low |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 0 open-market purchases and 2 sales ($780K).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 26, 2026 | Berend Bracht VP & Pres.- Motion Sys. Grp. | sell | $626K |
| Sep 8, 2026 | Laura K Thompson Director | sell | $153K |
Who owns it
Large shareholders (13G filings)
| STATE STREET CORPORATION | 7.6% | Dec 31, 2024 |
| Vanguard Capital Management | 7.47% | Mar 31, 2026 |
ETFs with the most weight in PH
| RSHO Tema American Reshoring ETF | 4.33% |
| SAMM Strategas Macro Momentum ETF | 3.77% |
| BWTG Brendan Wood TopGun ETF | 3.75% |
| PPA Invesco Aerospace & Defense ETF | 3.57% |
| PRN Invesco Dorsey Wright Industrials Momentum ETF | 3.5% |
| BCUS Bancreek U.S. Large Cap ETF | 3.14% |
| PAVE Global X US Infrastructure Development ETF | 3.01% |
| MADE iShares U.S. Manufacturing ETF | 2.83% |
What could go wrong
- Aerospace depends on air travel and defense budgets. Aerospace Systems supplied 33% of fiscal 2026 sales. Weaker air travel or shifts in US government spending priorities could cut orders, and government work comes with stricter compliance rules.
- Acquisitions bring debt and integration risk. Parker grows partly through acquisitions, and combining businesses can go wrong. Debt was $8.5 billion against $501 million in cash at June 30, 2026, and an August 2026 filing reported a completed acquisition and new debt.
- Tariffs and trade tensions, especially with China. About 36% of fiscal 2026 sales came from outside the US. Parker flags US-China relations, a possible renegotiation of the US-Mexico-Canada trade agreement and currency swings as risks to sales and profits.
- Industrial demand moves with the economy. About two-thirds of sales come from industrial customers, who may buy less in a downturn. Parker names manufacturing activity, interest rates, inflation and credit availability as factors that can hurt orders and profit margins.
- Raw material swings can squeeze margins. Parker and its parts suppliers rely on raw materials whose prices and availability swing. If costs rise faster than Parker can raise prices, profit margins shrink, and raising prices can cost market share.
- Liability claims if critical parts fail. Parker makes aircraft brakes, flight controls and fuel systems, plus high-pressure fittings. If a product fails, the company could face damage claims, and lawsuits could drain cash and hurt results.
Recent events
- Other company announcement
- Acquisition or sale of assets completed; New debt or financial obligation
- Quarterly results released
- Quarterly results released
- Executive or board change
- Quarterly results released
- Major agreement signed; New debt or financial obligation
- Major agreement signed
- Quarterly results released
For income and retirement investors
Parker-Hannifin has raised its regular dividend at least nine years in a row through fiscal 2026 (ended June 30), and the streak may be longer. Dividends per share rose from $3.67 in fiscal 2021 to $7.40, about 15% a year. The fiscal 2026 payout used about 26% of earnings and 24% of free cash flow (cash left after investing in plants and equipment). The yield was low: 0.83% as of October 28, 2026. From fiscal 2022 through 2026, buybacks of $4.1 billion topped the $3.9 billion paid in dividends, though the share count fell only 1.9%.
The stock has fallen hard in downturns: 66.9% in the 2008 financial crisis, 54.7% in the 2020 COVID crash and 27.3% in the 2022 bear market. It regained its prior peak about 20, 5 and 7.5 months after those lows. Retirees who must sell in a slump could lock in losses. A single stock carries more risk than a diversified fund.
Questions investors ask
How does Parker-Hannifin make money?
Parker-Hannifin sells engineered parts and systems that move and control machines and aircraft, such as pumps, valves, hoses, seals, filters and sensors, plus replacement parts and repairs. In the fiscal year ended June 30, 2026, net sales were $21.5 billion and net income was $3.6 billion. The Diversified Industrial segment produced 67% of sales, selling to equipment makers and distributors. Aerospace Systems produced 33%, supplying flight controls, fuel systems and brakes for commercial and military aircraft.
Does Parker-Hannifin raise its dividend every year?
Yes. Parker-Hannifin has raised its regular dividend at least nine years in a row through fiscal 2026, and the streak may run longer. Dividends per share rose from $3.67 in fiscal 2021 to $7.40 in fiscal 2026, about 15% a year. The payout used about 26% of fiscal 2026 earnings. The yield, though, was only 0.83% as of October 28, 2026, so the stock pays modest income at the start.
Who are Parker-Hannifin's competitors?
They vary by business. In industrial parts, Parker-Hannifin's main rivals include Bosch Rexroth, Danfoss, Donaldson, Emerson/ASCO, Festo, Gates, SMC, Swagelok and Trelleborg. In aerospace, they include Honeywell Aerospace, Eaton, Moog, RTX, Safran and Woodward. No single competitor matches Parker's full product range. The company says it competes on quality, innovation, aftermarket support and price, and believes it is one of the market leaders in most of its major markets.
How much debt does Parker-Hannifin have?
Parker-Hannifin had $8.5 billion of total debt and $501 million of cash and investments at June 30, 2026, leaving net debt (debt minus cash) of about $8.0 billion. Free cash flow, the cash left after investing in the business, was $3.9 billion in fiscal 2026. In August 2026, the company reported completing an acquisition and taking on new debt, so borrowing may be higher than the June figure. Its annual report warns that its debt and lender restrictions could limit its flexibility.
How has Parker-Hannifin stock performed over time?
Well over the long run, with deep drops along the way. As of October 28, 2026, the share price had gained about 26% a year over five years and 24% a year over 10 years, or 768% in total over the decade. Over one year, it rose 19.9%. But the stock fell 66.9% in the 2008 financial crisis, 54.7% in the 2020 COVID crash and 27.3% in the 2022 bear market. Past returns do not predict future results.