WallStSmart

Parker-Hannifin Corporation (PH)vsZTO Express (Cayman) Inc (ZTO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ZTO Express (Cayman) Inc generates 140% more annual revenue ($49.10B vs $20.46B). ZTO leads profitability with a 18.5% profit margin vs 17.3%. ZTO appears more attractively valued with a PEG of 1.29. ZTO earns a higher WallStSmart Score of 69/100 (B-).

PH

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 3.7Quality: 5.8
Piotroski: 5/9Altman Z: 2.78

ZTO

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.0Value: 8.0Quality: 7.0
Piotroski: 4/9Altman Z: 2.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PH.

ZTOUndervalued (+81.2%)

Margin of Safety

+81.2%

Fair Value

$132.23

Current Price

$25.37

$106.86 discount

UndervaluedFair: $132.23Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PH3 strengths · Avg: 8.7/10
Market CapQuality
$119.59B9/10

Large-cap with strong market position

Return on EquityProfitability
25.8%9/10

Every $100 of equity generates 26 in profit

Operating MarginProfitability
21.7%8/10

Strong operational efficiency at 21.7%

ZTO5 strengths · Avg: 8.6/10
Free Cash FlowQuality
$11.97B10/10

Generating 12.0B in free cash flow

Debt/EquityHealth
0.199/10

Conservative balance sheet, low leverage

P/E RatioValuation
15.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.3%8/10

Strong operational efficiency at 22.3%

Areas to Watch

PH4 concerns · Avg: 3.0/10
P/E RatioValuation
34.6x4/10

Premium valuation, high expectations priced in

Price/BookValuation
8.4x4/10

Trading at 8.4x book value

PEG RatioValuation
3.912/10

Expensive relative to growth rate

EPS GrowthGrowth
-9.0%2/10

Earnings declined 9.0%

ZTO0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : PH

The strongest argument for PH centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.3% and operating margin at 21.7%.

Bull Case : ZTO

The strongest argument for ZTO centers on Free Cash Flow, Debt/Equity, P/E Ratio. Profitability is solid with margins at 18.5% and operating margin at 22.3%. Revenue growth of 12.3% demonstrates continued momentum.

Bear Case : PH

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

Bear Case : ZTO

No major red flags identified for ZTO, but monitor valuation.

Key Dynamics to Monitor

PH carries more volatility with a beta of 1.25 — expect wider price swings.

ZTO is growing revenue faster at 12.3% — sustainability is the question.

ZTO generates stronger free cash flow (12.0B), providing more financial flexibility.

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ZTO scores higher overall (69/100 vs 54/100), backed by strong 18.5% margins and 12.3% revenue growth. Both earn "Strong 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.

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.

ZTO Express (Cayman) Inc

INDUSTRIALS · INTEGRATED FREIGHT & LOGISTICS · China

ZTO Express (Cayman) Inc. provides express delivery and other value-added logistics services in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.

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