Parker-Hannifin (PH) Competitors

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

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 0.9%. Illinois Tool Works pays out 51.9% of its earnings in the form of a dividend. Parker-Hannifin pays out 29.4% 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 more volatility and risk, ITW or PH?

Illinois Tool Works has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500. Comparatively, Parker-Hannifin has a beta of 1.43, meaning that its stock price is 43% more volatile than the S&P 500.

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. 1.3% of Illinois Tool Works 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.

Is ITW or PH more profitable?

Illinois Tool Works has a net margin of 21.66% compared to Parker-Hannifin's net margin of 14.47%. Illinois Tool Works' return on equity of 97.06% beat Parker-Hannifin's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Illinois Tool Works	21.66%	97.06%	19.22%
Parker-Hannifin	14.47%	27.95%	11.33%

Do analysts rate ITW or PH?

Illinois Tool Works presently has a consensus target price of $257.30, indicating a potential downside of 3.41%. Parker-Hannifin has a consensus target price of $688.07, indicating a potential downside of 0.34%. Given Parker-Hannifin's stronger consensus rating and higher probable 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	4 Sell rating(s)	4 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.00
Parker-Hannifin	0 Sell rating(s)	3 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.81

Does the MarketBeat Community prefer ITW or PH?

Parker-Hannifin received 108 more outperform votes than Illinois Tool Works when rated by MarketBeat users. Likewise, 63.65% of users gave Parker-Hannifin an outperform vote while only 56.85% of users gave Illinois Tool Works an outperform vote.

Company	Underperform	Outperform
Illinois Tool Works	Outperform Votes 610 56.85%	Underperform Votes 463 43.15%
Parker-Hannifin	Outperform Votes 718 63.65%	Underperform Votes 410 36.35%

Does the media refer more to ITW or PH?

In the previous week, Parker-Hannifin had 5 more articles in the media than Illinois Tool Works. MarketBeat recorded 34 mentions for Parker-Hannifin and 29 mentions for Illinois Tool Works. Parker-Hannifin's average media sentiment score of 1.13 beat Illinois Tool Works' score of 0.98 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	18 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Parker-Hannifin	28 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has higher 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	$15.95B	4.93	$2.96B	$11.56	23.04
Parker-Hannifin	$19.93B	4.46	$2.84B	$22.14	31.18

Summary

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