Parker Hannifin Corp Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Parker Hannifin Corp (NYSE:PH) will unveil its latest earnings on Friday, January 20, 2012. Parker Hannifin manufactures motion and control technologies and systems, including electromechanical controls, fluid power systems, and related components.

Parker Hannifin Corp Earnings Preview Cheat Sheet.

Wall St. Earnings Expectations: The average estimate of analysts is for profit of $1.63 per share, a rise of 17.3% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from $1.59. Between one and three months ago, the average estimate moved up. It has been unchanged at $1.63 during the last month. For the year, analysts are projecting net income of $7.47 per share, a rise of 17.3% from last year.

Last quarter, the company came in at profit of $1.91 per share against a mean estimate of net income of $1.70 per share, beating estimates after missing them in the previous quarter. In the fourth quarter of the last fiscal year, it missed forecasts by one cent.

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Wall St. Revenue Expectations: On average, analysts predict $3.09 billion in revenue this quarter, a rise of 7.7% from the year ago quarter. Analysts are forecasting total revenue of $13.16 billion for the year, a rise of 6.6% from last year’s revenue of $12.35 billion.

Analyst Ratings: seven out of 12 analysts surveyed (58.3%) have a buy rating on Parker Hannifin.. This is below the mean analyst rating of six competitors, which average 69.2% buy ratings. Over the past 90 days, the average rating for the stock has moved up from hold to moderate buy.

A Look Back: In the first quarter, profit rose 20.2% to $297 million ($1.91 a share) from $247.2 million ($1.51 a share) the year earlier, exceeding analyst expectations. Revenue rose 14.3% to $3.23 billion from $2.83 billion.

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 20.6%, with the biggest boost coming in the third quarter of the last fiscal year when revenue rose 23.9% from the year earlier quarter.

The company has seen net income rise in three straight quarters. Net income rose 31.5% in the fourth quarter of the last fiscal year and 81.7% in the third quarter of the last fiscal year.

Competitors to Watch: Actuant Corporation (NYSE:ATU), Crane Co. (NYSE:CR), Sun Hydraulics Corporation (NASDAQ:SNHY), Omega Flex, Inc. (NASDAQ:OFLX), IMI plc (IMI), and Eaton Corporation (NYSE:ETN).

Stock Price Performance: During December 14, 2011 to January 13, 2012, the stock price had risen $6.49 (8.5%) from $75.95 to $82.44. The stock price saw one of its best stretches over the last year between March 15, 2011 and April 4, 2011 when shares rose for 15-straight days, rising 12.2% (+$10.34) over that span. It saw one of its worst periods between December 9, 2011 and December 19, 2011 when shares fell for seven-straight days, falling 8.8% (-$7.15) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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