Manitowoc (NYSE:MTW) & Parker-Hannifin (NYSE:PH) Financial Survey

Parker-Hannifin (NYSE:PH) and Manitowoc (NYSE:MTW) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations for Parker-Hannifin and Manitowoc, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Parker-Hannifin	0	3	17	0	2.85
Manitowoc	2	1	0	0	1.33

Parker-Hannifin presently has a consensus price target of $1,100.00, indicating a potential upside of 15.74%. Manitowoc has a consensus price target of $14.00, indicating a potential downside of 30.76%. Given Parker-Hannifin’s stronger consensus rating and higher probable upside, analysts plainly believe Parker-Hannifin is more favorable than Manitowoc.

Risk & Volatility

Parker-Hannifin has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Manitowoc has a beta of 1.77, meaning that its stock price is 77% more volatile than the S&P 500.

Earnings & Valuation

This table compares Parker-Hannifin and Manitowoc”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Parker-Hannifin	$21.50 billion	5.57	$3.65 billion	$28.49	33.36
Manitowoc	$2.24 billion	0.33	$7.20 million	$0.55	36.76

Parker-Hannifin has higher revenue and earnings than Manitowoc. Parker-Hannifin is trading at a lower price-to-earnings ratio than Manitowoc, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Parker-Hannifin and Manitowoc’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Parker-Hannifin	16.97%	28.48%	13.49%
Manitowoc	0.87%	3.86%	1.43%

Insider & Institutional Ownership

82.4% of Parker-Hannifin shares are owned by institutional investors. Comparatively, 78.7% of Manitowoc shares are owned by institutional investors. 0.3% of Parker-Hannifin shares are owned by insiders. Comparatively, 4.0% of Manitowoc shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Parker-Hannifin beats Manitowoc on 11 of the 14 factors compared between the two stocks.

About Parker-Hannifin

Parker-Hannifin Corporation manufactures and sells motion and control technologies and systems for various mobile, industrial, and aerospace markets worldwide. The company operates through two segments: Diversified Industrial and Aerospace Systems. The Diversified Industrial segment offers sealing, shielding, thermal products and systems, adhesives, coatings, and noise vibration and harshness solutions; filters, systems, and diagnostics solutions to ensure purity and remove contaminants from fuel, air, oil, water, and other liquids and gases; connectors used in fluid and gas handling; and hydraulic, pneumatic, and electromechanical components and systems for builders and users of mobile and industrial machinery and equipment. This segment sells its products to original equipment manufacturers (OEMs) and distributors who serve the replacement markets in manufacturing, packaging, processing, transportation, construction, refrigeration and air conditioning, agricultural, and military machinery and equipment industries. The Aerospace Systems segment offers products for use in commercial and military airframe and engine programs, such as control actuation systems and components, engine build-up ducting, engine exhaust nozzles and assemblies, engine systems and components, fluid conveyance systems and components, fuel systems and components, fuel tank inerting systems, hydraulic systems and components, lubrication components, avionics, sensors, pneumatic control components, thermal management products, fire detection and suppression systems and components, and wheels and brakes, as well as fluid metering, delivery, and atomization devices. This segment markets its products directly to OEMs and end users. The company markets its products through direct-sales employees, independent distributors, and sales representatives. Parker-Hannifin Corporation was founded in 1917 and is headquartered in Cleveland, Ohio.

About Manitowoc

The Manitowoc Company, Inc. provides engineered lifting solutions in the Americas, Europe, Africa, the Middle East, the Asia Pacific, and internationally. It designs, manufactures, and distributes crawler-mounted lattice-boom cranes under the Manitowoc brand; a line of top-slewing and self-erecting tower cranes under the Potain brand; mobile hydraulic cranes under the Grove, Shuttlelift, and National Crane brands; and hydraulic boom trucks under the National Crane brand. The company also provides aftermarket services, such as sale of parts and accessories, field service work, routine maintenance services, technical support, erection and decommissioning services, crane and component remanufacturing, training, and telematics services. Its crane products are used in various applications, including energy production/distribution and utilities; petrochemical and industrial; infrastructure, such as road, bridge, and airport construction; and commercial and residential construction. The company serves a range of customers, including dealers, rental companies, contractors, and government entities in the petrochemical, industrial, commercial construction, power and utilities, infrastructure, and residential construction end markets. The Manitowoc Company, Inc. was founded in 1902 and is headquartered in Milwaukee, Wisconsin.