Discounted Cash Flow

Parker-hannifin Corp.

PH · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $11.4b $806.8m $-181.6m 7.1% $5.96
2017 $12.0b (5.9%) $983.4m (21.9%) $836.8m (560.7%) 8.2% (15.1%) $7.37 (23.7%)
2018 $14.3b (18.9%) $1.1b (7.9%) $1.5b (81.6%) 7.4% (-9.3%) $7.98 (8.3%)
2019 $14.3b (0.1%) $1.5b (42.6%) $1.5b (1.9%) 10.6% (42.4%) $11.63 (45.7%)
2020 $13.7b (-4.4%) $1.2b (-20.2%) $1.9b (21.2%) 8.8% (-16.6%) $9.39 (-19.3%)
2021 $14.3b (4.8%) $1.7b (44.7%) $2.5b (35.4%) 12.2% (38.2%) $13.54 (44.2%)
2022 $15.9b (10.6%) $1.3b (-24.7%) $2.4b (-5.0%) 8.3% (-31.8%) $10.24 (-24.4%)
2023 $19.1b (20.2%) $2.1b (58.3%) $2.9b (21.9%) 10.9% (31.7%) $16.23 (58.5%)
2024 $19.9b (4.5%) $2.8b (36.5%) $3.4b (14.4%) 14.3% (30.6%) $22.13 (36.4%)
2025 $19.9b (-0.4%) $3.5b (24.1%) $3.3b (-0.8%) 17.8% (24.6%) $27.52 (24.4%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model