Research · Sep 3, 2026
[PH] Parker-Hannifin Thesis 2026: Aerospace Strength Drives Margin to Record High
Parker-Hannifin FY25 (Jun 30, 2025 FYE) at $19.85B revenue (-0.4%). Aerospace $6.2B (+13% organic), 190bp margin expansion; aftermarket 51% of Aero. FY25 record adjusted op margin 26.1% (vs ~25% FY24); adjusted EBITDA margin 26.4%. Net income $3.53B (+24%); Diluted EPS $27.12 (+24%). OCF $3.78B (record); FCF $3.34B. Buyback $1.76B (5x prior years); Div $861M. Total debt $9.64B (down $1.3B). Curtis Instruments closed Q1 FY26; Filtration Group announced Nov 2025 (closing 6-12 months). Q2 FY26: $5.2B sales (+6.6% organic), 27.1% margin, $1.6B OCF, Aerospace backlog $8B. 9 analysts: 7 Buy / 2 Hold; consensus $1,070, range $980-$1,168. Evercore +$219 (largest raise to $1,168 high); WF -$70 (lone cut to $980 low).