Parker-Hannifin (PH) Competitors

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

Does the MarketBeat Community believe in ITW or PH?

Parker-Hannifin received 119 more outperform votes than Illinois Tool Works when rated by MarketBeat users. Likewise, 63.87% of users gave Parker-Hannifin an outperform vote while only 56.08% of users gave Illinois Tool Works an outperform vote.

Company	Underperform	Outperform
Illinois Tool Works	Outperform Votes 613 56.08%	Underperform Votes 480 43.92%
Parker-Hannifin	Outperform Votes 732 63.87%	Underperform Votes 414 36.13%

Which has more volatility & risk, ITW or PH?

Illinois Tool Works has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Parker-Hannifin has a beta of 1.5, meaning that its stock price is 50% more volatile than the S&P 500.

Is ITW or PH more profitable?

Illinois Tool Works has a net margin of 21.94% compared to Parker-Hannifin's net margin of 15.87%. Illinois Tool Works' return on equity of 95.39% beat Parker-Hannifin's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Illinois Tool Works	21.94%	95.39%	19.49%
Parker-Hannifin	15.87%	27.34%	11.64%

Does the media refer more to ITW or PH?

In the previous week, Parker-Hannifin had 2 more articles in the media than Illinois Tool Works. MarketBeat recorded 30 mentions for Parker-Hannifin and 28 mentions for Illinois Tool Works. Parker-Hannifin's average media sentiment score of 1.59 beat Illinois Tool Works' score of 1.33 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	23 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Parker-Hannifin	27 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Do institutionals and insiders have more ownership in ITW or PH?

79.8% of Illinois Tool Works shares are held by institutional investors. Comparatively, 82.4% of Parker-Hannifin shares are held by institutional investors. 1.3% of Illinois Tool Works shares are held by insiders. Comparatively, 0.4% of Parker-Hannifin shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

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 2.3%. Parker-Hannifin pays an annual dividend of $6.52 per share and has a dividend yield of 1.0%. Illinois Tool Works pays out 51.2% of its earnings in the form of a dividend. Parker-Hannifin pays out 27.0% 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 increased its dividend for 55 consecutive years and Parker-Hannifin has increased its dividend for 69 consecutive years.

Which has higher valuation and 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	4.72	$3.49B	$11.72	21.83
Parker-Hannifin	$19.91B	4.12	$2.84B	$24.16	26.36

Do analysts rate ITW or PH?

Illinois Tool Works currently has a consensus price target of $268.30, indicating a potential upside of 4.86%. Parker-Hannifin has a consensus price target of $736.65, indicating a potential upside of 15.68%. Given Parker-Hannifin's stronger consensus rating and higher possible upside, analysts plainly 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	2 Sell rating(s)	6 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.18
Parker-Hannifin	0 Sell rating(s)	2 Hold rating(s)	15 Buy rating(s)	0 Strong Buy rating(s)	2.88

Summary

Parker-Hannifin beats Illinois Tool Works on 14 of the 22 factors compared between the two stocks.