Xylem (XYL) Competitors

Xylem (NYSE:XYL) and Parker-Hannifin (NYSE:PH) are both large-cap business services companies, but which is the better stock? We will compare the two companies based on the strength of their risk, institutional ownership, analyst recommendations, media sentiment, earnings, dividends, valuation, community ranking and profitability.

Does the media prefer XYL or PH?

In the previous week, Parker-Hannifin had 2 more articles in the media than Xylem. MarketBeat recorded 31 mentions for Parker-Hannifin and 29 mentions for Xylem. Parker-Hannifin's average media sentiment score of 1.45 beat Xylem's score of 1.35 indicating that Parker-Hannifin is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Xylem	20 Very Positive mention(s)	0 Positive mention(s)	6 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Parker-Hannifin	25 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts rate XYL or PH?

Xylem presently has a consensus target price of $146.88, indicating a potential upside of 15.70%. Parker-Hannifin has a consensus target price of $718.44, indicating a potential upside of 5.62%. Given Xylem's higher probable upside, equities research analysts clearly believe Xylem is more favorable than Parker-Hannifin.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xylem	0 Sell rating(s)	3 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.70
Parker-Hannifin	0 Sell rating(s)	3 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.81

Which has more risk and volatility, XYL or PH?

Xylem has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500. Comparatively, Parker-Hannifin has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.

Is XYL or PH more profitable?

Parker-Hannifin has a net margin of 15.87% compared to Xylem's net margin of 10.40%. Parker-Hannifin's return on equity of 27.34% beat Xylem's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Xylem	10.40%	9.96%	6.48%
Parker-Hannifin	15.87%	27.34%	11.64%

Is XYL or PH a better dividend stock?

Xylem pays an annual dividend of $1.60 per share and has a dividend yield of 1.3%. Parker-Hannifin pays an annual dividend of $7.20 per share and has a dividend yield of 1.1%. Xylem pays out 43.0% 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. Xylem has increased its dividend for 2 consecutive years and Parker-Hannifin has increased its dividend for 70 consecutive years.

Which has preferable earnings and valuation, XYL or PH?

Parker-Hannifin has higher revenue and earnings than Xylem. Parker-Hannifin is trading at a lower price-to-earnings ratio than Xylem, 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
Xylem	$8.60B	3.59	$890M	$3.72	34.12
Parker-Hannifin	$19.79B	4.39	$2.84B	$25.97	26.19

Do insiders and institutionals believe in XYL or PH?

88.0% of Xylem shares are owned by institutional investors. Comparatively, 82.4% of Parker-Hannifin shares are owned by institutional investors. 0.3% of Xylem shares are owned by company insiders. Comparatively, 0.4% of Parker-Hannifin shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Does the MarketBeat Community prefer XYL or PH?

Parker-Hannifin received 203 more outperform votes than Xylem when rated by MarketBeat users. Likewise, 63.79% of users gave Parker-Hannifin an outperform vote while only 63.39% of users gave Xylem an outperform vote.

Company	Underperform	Outperform
Xylem	Outperform Votes 535 63.39%	Underperform Votes 309 36.61%
Parker-Hannifin	Outperform Votes 738 63.79%	Underperform Votes 419 36.21%

Summary

Parker-Hannifin beats Xylem on 17 of the 21 factors compared between the two stocks.