Parker-Hannifin (PH) Competitors

Illinois Tool Works (NYSE:ITW) and Parker-Hannifin (NYSE:PH) are both large-cap industrials companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, profitability, dividends, media sentiment and analyst recommendations.

Do analysts rate ITW or PH?

Illinois Tool Works presently has a consensus price target of $252.58, suggesting a potential downside of 0.61%. Parker-Hannifin has a consensus price target of $719.41, suggesting a potential upside of 1.93%. Given Parker-Hannifin's stronger consensus rating and higher possible upside, analysts clearly believe Parker-Hannifin is more favorable than Illinois Tool Works.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Illinois Tool Works	3 Sell rating(s)	7 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.08
Parker-Hannifin	0 Sell rating(s)	4 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.76

Do insiders and institutionals hold more shares of ITW or PH?

79.8% of Illinois Tool Works shares are owned by institutional investors. Comparatively, 82.4% of Parker-Hannifin shares are owned by institutional investors. 0.9% of Illinois Tool Works shares are owned by insiders. Comparatively, 0.4% of Parker-Hannifin shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Which has better valuation & earnings, ITW or PH?

Illinois Tool Works has higher earnings, but lower revenue than Parker-Hannifin. Illinois Tool Works is trading at a lower price-to-earnings ratio than Parker-Hannifin, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Illinois Tool Works	$15.90B	4.68	$3.49B	$11.37	22.35
Parker-Hannifin	$19.93B	4.53	$2.84B	$25.97	27.18

Is ITW or PH more profitable?

Illinois Tool Works has a net margin of 21.37% compared to Parker-Hannifin's net margin of 17.14%. Illinois Tool Works' return on equity of 92.77% beat Parker-Hannifin's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Illinois Tool Works	21.37%	92.77%	19.34%
Parker-Hannifin	17.14%	26.80%	11.89%

Is ITW or PH a better dividend stock?

Illinois Tool Works pays an annual dividend of $6.00 per share and has a dividend yield of 2.4%. Parker-Hannifin pays an annual dividend of $7.20 per share and has a dividend yield of 1.0%. Illinois Tool Works pays out 52.8% of its earnings in the form of a dividend. Parker-Hannifin pays out 27.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Illinois Tool Works has raised its dividend for 55 consecutive years and Parker-Hannifin has raised its dividend for 70 consecutive years.

Does the media favor ITW or PH?

In the previous week, Parker-Hannifin had 14 more articles in the media than Illinois Tool Works. MarketBeat recorded 38 mentions for Parker-Hannifin and 24 mentions for Illinois Tool Works. Parker-Hannifin's average media sentiment score of 1.20 beat Illinois Tool Works' score of 1.16 indicating that Parker-Hannifin is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Illinois Tool Works	14 Very Positive mention(s)	3 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Parker-Hannifin	28 Very Positive mention(s)	4 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more risk and volatility, ITW or PH?

Illinois Tool Works has a beta of 1.09, suggesting that its stock price is 9% more volatile than the S&P 500. Comparatively, Parker-Hannifin has a beta of 1.34, suggesting that its stock price is 34% more volatile than the S&P 500.

Summary

Parker-Hannifin beats Illinois Tool Works on 12 of the 20 factors compared between the two stocks.