Should Quality Investors Include NYSE:PH in Their Portfolio?

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if PARKER HANNIFIN CORP (NYSE:PH) is suited for quality investing. Investors should of course do their own research, but we spotted PARKER HANNIFIN CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Key Considerations for Quality Investors.

• The 5-year revenue growth of PARKER HANNIFIN CORP has been remarkable, with 5.92% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
• The ROIC excluding cash and goodwill of PARKER HANNIFIN CORP stands at 101.0%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• With a Debt/Free Cash Flow Ratio of 4.13, PARKER HANNIFIN CORP exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• PARKER HANNIFIN CORP exhibits impressive Profit Quality (5-year) with a 136.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• The 5-year EBIT growth of PARKER HANNIFIN CORP has been remarkable, with 9.48% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• PARKER HANNIFIN CORP has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental analysis of NYSE:PH

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

Overall PH gets a fundamental rating of 6 out of 10. We evaluated PH against 133 industry peers in the Machinery industry. While PH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. PH has a correct valuation and a medium growth rate.

For an up to date full fundamental analysis you can check the fundamental report of PH

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.