WallStSmart

Gates Industrial Corporation plc (GTES)vsParker-Hannifin Corporation (PH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Parker-Hannifin Corporation generates 513% more annual revenue ($21.50B vs $3.50B). PH leads profitability with a 17.0% profit margin vs 10.4%. GTES trades at a lower P/E of 18.2x. GTES earns a higher WallStSmart Score of 64/100 (C+).

GTES

Buy

64

out of 100

Grade: C+

Growth: 6.0Profit: 6.0Value: 5.3Quality: 7.5
Piotroski: 6/9Altman Z: 1.96

PH

Buy

60

out of 100

Grade: C

Growth: 6.0Profit: 8.0Value: 3.7Quality: 6.5
Piotroski: 6/9Altman Z: 2.62

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GTES2 strengths · Avg: 9.0/10
EPS GrowthGrowth
205.8%10/10

Earnings expanding 205.8% YoY

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

PH4 strengths · Avg: 8.5/10
Market CapQuality
$119.77B9/10

Large-cap with strong market position

Return on EquityProfitability
23.7%9/10

Every $100 of equity generates 24 in profit

Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

Free Cash FlowQuality
$1.56B8/10

Generating 1.6B in free cash flow

Areas to Watch

GTES2 concerns · Avg: 3.5/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

PH2 concerns · Avg: 3.0/10
P/E RatioValuation
32.8x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
3.132/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GTES

The strongest argument for GTES centers on EPS Growth, Price/Book.

Bull Case : PH

The strongest argument for PH centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.0% and operating margin at 23.5%.

Bear Case : GTES

The primary concerns for GTES are Altman Z-Score, Return on Equity.

Bear Case : PH

The primary concerns for PH are P/E Ratio, PEG Ratio.

Key Dynamics to Monitor

GTES profiles as a value stock while PH is a mature play — different risk/reward profiles.

GTES carries more volatility with a beta of 1.26 — expect wider price swings.

PH is growing revenue faster at 9.8% — sustainability is the question.

PH generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

GTES scores higher overall (64/100 vs 60/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Gates Industrial Corporation plc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.

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Parker-Hannifin Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Parker-Hannifin Corporation, originally Parker Appliance Company, usually referred to as just Parker, is an American corporation specializing in motion and control technologies. Its corporate headquarters are in Mayfield Heights, Ohio, in Greater Cleveland.

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