Parker HannifinXSWX:PH -0.97%92 Return-on-Tangible-Asset is 30.25% as of Mar. 2026, which is 103% above its 10-year median of 14.92. GuruFocus rates XSWX:PH with a GF Score™ of 92/100 and a GF Value™ of CHF545.89. The stock has 6 warning signs investors should review. Among 3,074 Industrial Products companies, Parker Hannifin ranks better than 99.22% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Parker Hannifin's annualizedNet Income for the quarter that ended in Mar. 2026 was CHF3,616 Mil. Parker Hannifin's average total tangible assets for the quarter that ended in Mar. 2026 was CHF11,955 Mil. Therefore, Parker Hannifin's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 30.25%.
The historical rank and industry rank for Parker Hannifin's Return-on-Tangible-Asset or its related term are showing as below:
XSWX:PH'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 9.76 Med: 14.92 Max: 31.53
Current: 29.9
During the past 13 years, Parker Hannifin's highest Return-on-Tangible-Asset was 31.53%. The lowest was 9.76%. And the median was 14.92%.
XSWX:PH's Return-on-Tangible-Asset is ranked better than 99.22% of 3074
companies
in the Industrial Products industry
Industry Median: 3.235
vs XSWX:PH: 29.90
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Parker Hannifin Return-on-Tangible-Asset Related Terms
Parker Hannifin Return-on-Tangible-Asset Historical Data
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The historical data trend for Parker Hannifin's Return-on-Tangible-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Specialty Industrial Machinery subindustry, Parker Hannifin's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Parker Hannifin Return-on-Tangible-Asset vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Parker Hannifin's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Parker Hannifin's Return-on-Tangible-Asset falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 30.25% mean?
Parker Hannifin (XSWX:PH) has a Return-on-Tangible-Asset of 30.25% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Parker Hannifin and its competitors. This is 103% above median its historical median of 14.92. Over the past decade, Parker Hannifin's Return-on-Tangible-Asset has ranged from 9.76 to 31.53. According to the industry distribution chart, Parker Hannifin ranks #24 out of 3074 companies in the Industrial Products industry, placing it in the top 0.8%.
Is Parker Hannifin's Return-on-Tangible-Asset too high?
Parker Hannifin's current Return-on-Tangible-Asset of 30.25% is 103% above median its 10-year median of 14.92. Over the past 10 years, this metric has ranged from a low of 9.76 to a high of 31.53. The Industrial Products industry median Return-on-Tangible-Asset is 3.24. Parker Hannifin's value of 30.25% is 835.1% above this industry median. Based on the distribution chart, Parker Hannifin ranks #24 out of 3074 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Parker Hannifin has a GF Score™ of 92/100, reflecting its overall financial health beyond just this single metric.
How does Parker Hannifin's Return-on-Tangible-Asset compare to ?
According to the Industrial Products industry distribution chart, Parker Hannifin ranks #24 out of 3074 companies for Return-on-Tangible-Asset. This places Parker Hannifin in the top 1% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.24. Parker Hannifin's value of 30.25% is 835.1% above this benchmark. Historically, Parker Hannifin's own Return-on-Tangible-Asset has ranged from 9.76 to 31.53 over the past decade. While the company's 10-year median is 14.92 vs. the industry median of 3.24, Parker Hannifin has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for an Industrial Products company?
The median Return-on-Tangible-Asset among Industrial Products companies is 3.24, based on 3,074 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Parker Hannifin's current Return-on-Tangible-Asset of 30.25% is 835.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Parker Hannifin and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Asset is 3.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Parker Hannifin's current Return-on-Tangible-Asset is 30.25%, which is 103% above median its own 10-year median of 14.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Parker Hannifin stock overvalued right now?
Parker Hannifin (XSWX:PH) has a current Return-on-Tangible-Asset of 30.25%. The stock's GF Value™ is CHF545.89, compared to a current price of CHF773.70 — trading 41.7% above its estimated fair value. The current Return-on-Tangible-Asset is 30.25%, which is 103% above median its 10-year median of 14.92 and 835.1% above the Industrial Products industry median of 3.24. Parker Hannifin's overall GF Score™ is 92/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Parker Hannifin (XSWX:PH), the current Return-on-Tangible-Asset is 30.25% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Parker Hannifin (XSWX:PH) Overvalued in 2026?
Based on GuruFocus' analysis, Parker Hannifin stock appears to be overvalued.
The current stock price of CHF773.70 is trading 41.7% above its estimated GF Value™ of CHF545.89.
Key valuation signals for XSWX:PH:
Return-on-Tangible-Asset: 30.25% (103% above median its 10-year median of 14.92)
GF Value™: CHF545.89 vs. price of CHF773.70 (41.7% above fair value)
Industry Position: 835.1% above the Industrial Products median (#24 of 3074)
No single metric tells the full story. See the XSWX:PH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Parker Hannifin started out in 1917 as Parker Appliance, selling pneumatic brakes. Through the acquisition of branded components, the firm has expanded into aerospace engines, agricultural and construction machinery, freight and passenger vehicles, and industrial automation equipment. Within these larger systems, Parker sells a wide array of small, critical pieces such as hydraulic, electromechanical, climate control, and filtration components. Many of its products are designed to work together, resulting in a high rate of cross-selling.
92GF Score
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Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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