Here's Why It is Appropriate to Invest in Parker-Hannifin Stock

Parker-Hannifin Corporation PH is benefiting from strength in the Aerospace Systems segment. Benefits from acquired assets are likely to drive its performance in the quarters ahead.PH currently carries a Zacks Rank #2 (Buy). In the past year, the company has gained 20.0% compared with the industry’s 5.5% growth.Image Source: Zacks Investment ResearchLet’s delve into the factors that make this company a smart investment choice at the moment.Business Strength: PH’s Aerospace Systems segment is gaining from strong momentum in the commercial and military end markets across both OEM and aftermarket channels. In the quarters ahead, the segment is poised to gain from strong demand for its products and aftermarket support services in the general aviation market, driven by growth in air transport activities. Strength in its defense end market, owing to stable U.S. and international defense spending volumes, is likely to be beneficial as well.Expansion Efforts: Acquisitions have been the company's preferred mode of business expansion to date. In September 2025, Parker-Hannifin completed the acquisition of Curtis Instruments. The inclusion of Curtis’ advanced control solutions enables the company to enhance its industrial electrification portfolio and expand its reach in in-plant material handling and off-highway markets. This acquisition will also strengthen Parker-Hannifin’s electric motor and motion control capabilities, allowing it to provide more comprehensive electric and hybrid solutions to its customers.Gains from Win Strategy: In the quarters ahead, PH is likely to gain from its Win Strategy (version 3.0), which focuses on innovation, strategic positioning, distribution growth and incentive plan changes to drive organic growth. The Win strategy is a business system that defines goals and initiatives, enabling the company’s long-term and sustainable growth. It supports Parker-Hannifin’s margin performance. In the fourth quarter of fiscal 2025 (ended June 2025), the operating margin increased 170 basis points year over year to 23.9%.Rewards to Shareholders: The company’s commitment to rewarding shareholders through dividends and share buybacks is encouraging. In fiscal 2025, Parker-Hannifin rewarded its shareholders with dividends of $861 million, up 10.1%. The company repurchased shares worth $851 million in the same period. In April 2025, the company hiked its dividend by 10% to $1.80 per share.Other Stocks to ConsiderSome other top-ranked companies are discussed below.Crane Company CR currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.CR delivered a trailing four-quarter average earnings surprise of 7.5%. In the past 60 days, the Zacks Consensus Estimate for Crane’s 2025 earnings has increased 0.9%.Flowserve Corporation FLS presently carries a Zacks Rank of 2. FLS delivered a trailing four-quarter average earnings surprise of 5.5%.In the past 60 days, the consensus estimate for Flowserve’s 2025 earnings has increased by 0.9%.Nordson Corporation NDSN presently carries a Zacks Rank of 2. NDSN delivered a trailing four-quarter average earnings surprise of 3.2%.In the past 60 days, the consensus estimate for Nordson’s fiscal 2025 earnings has increased 1%.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Parker-Hannifin Corporation (PH): Free Stock Analysis Report Flowserve Corporation (FLS): Free Stock Analysis Report Nordson Corporation (NDSN): Free Stock Analysis Report Crane Company (CR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks