CLEVELAND - Parker Hannifin Corporation (NYSE:PH), a company specializing in motion and control technologies, announced today that its Board of Directors has approved a regular quarterly cash dividend. Shareholders of record by August 28, 2024, will receive a dividend of $1.63 per share on September 13, 2024.
This distribution marks the company's 297th consecutive quarterly dividend. Parker Hannifin has a notable history of dividend payments, having increased its annual dividends per share for 68 consecutive fiscal years. This record places the company among the top five longest-running dividend-increase records in the S&P 500 Index.
The company, a Fortune 250 enterprise, has been operational for over a century. It has a reputation for fostering engineering innovations that aim to contribute positively to the future.
This financial update is based on a press release statement from Parker Hannifin Corporation.
In other recent news, Parker-Hannifin Corporation (NYSE:PH) reported a successful fiscal year 2024, marked by significant growth in its Aerospace segment and overall financial performance. The company announced record fourth-quarter sales of $5.2 billion, a notable 18% growth in earnings per share, and a record-free cash flow of $3 billion. In addition, the Aerospace segment sales surpassed $5 billion, reflecting double-digit growth across all market segments.
Parker-Hannifin also provided an optimistic outlook for fiscal years 2025 and 2029, forecasting organic sales growth between 2% to 5%, with Aerospace expected to grow at 8.5%. The company also highlighted its focus on portfolio optimization, evident by the divestment of the North American composites business.
While the outlook for Europe remains weak, the company experienced positive order rates in Asia, driving significant improvement in international business. The company's aftermarket business, known for high margins, also continues to perform strongly. These are among the recent developments at Parker-Hannifin Corporation.
InvestingPro Insights
Parker Hannifin Corporation (NYSE:PH) continues to demonstrate its commitment to shareholder returns, not only through its impressive streak of dividend payments but also through its financial performance. With a market capitalization of $75.82 billion, the company stands as a significant player in the Machinery industry. This is further supported by the company's strong fundamentals, as evidenced by its latest financial metrics.
InvestingPro data highlights a P/E ratio of 26.67, which, when adjusted for the last twelve months as of Q4 2024, slightly decreases to 26.22. This indicates that the company is trading at a low P/E ratio relative to its near-term earnings growth, a point that is underscored by a PEG ratio of 0.72 for the same period. A PEG ratio below 1 often suggests that a company's stock is undervalued relative to its earnings growth, making it a potentially attractive buy for value investors.
The company's robust financial health is further reflected in its revenue growth. Parker Hannifin's revenue for the last twelve months as of Q4 2024 stands at approximately $19.93 billion, with a growth rate of 4.53%. This steady growth is a testament to the company's ability to expand its business and maintain profitability, which is also suggested by an InvestingPro Tip indicating that analysts predict the company will be profitable this year.
For investors looking for additional insights and metrics, InvestingPro offers a comprehensive list of tips, including details on the company's moderate level of debt and its high return over the last decade. In fact, there are 11 additional InvestingPro Tips available for Parker Hannifin Corporation that can provide investors with a more nuanced understanding of the company's financial health and potential investment value. These tips can be accessed by visiting the company's page on InvestingPro (https://www.investing.com/pro/PH).
Overall, Parker Hannifin's recent dividend announcement is backed by a solid financial foundation and a positive outlook from market analysts, making it a noteworthy consideration for investors interested in the Machinery sector.
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