Form 4: Parker-Hannifin CEO Sells Shares After SAR Exercise

Parker-Hannifin CEO Jennifer A. Parmentier reported the exercise of Stock Appreciation Rights and subsequent sale of common stock.

Summary

• Jennifer A. Parmentier, Chief Executive Officer and Director of Parker-Hannifin Corp, exercised 10,220 Stock Appreciation Rights (SARs) at an exercise price of $209.56 per share on February 11, 2026.
• Concurrently, 5,514 shares of common stock were disposed of at $1,003 per share, primarily for tax withholding purposes related to the SAR exercise.
• An additional 4,706 shares of common stock were sold in multiple open market transactions at weighted average prices ranging from $992.33 to $1,002.86 per share.
• Following these transactions, Ms. Parmentier directly holds 47,378 shares of common stock.
• Indirect holdings include 404 shares held by children and 1,046.34 shares in the Parker Retirement Savings Plan.
• The reported common stock ownership balance was adjusted to no longer include 210.21 shares of phantom stock from the Savings Restoration Plan, which are cash-settled and now considered reportable in Table II.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this as a neutral to slightly negative event due to the significant insider selling, although it is largely a result of exercising Stock Appreciation Rights and covering associated taxes, which is a routine compensation event.

Positives

• The exercise of Stock Appreciation Rights at a strike price of $209.56, significantly below the market sale prices (ranging from $992.33 to $1,003), indicates a substantial gain for the reporting person on the exercised derivatives.

Negatives

• Jennifer A. Parmentier, the Chief Executive Officer and a Director, sold a total of 10,220 shares of common stock (5,514 for tax withholding and 4,706 in open market sales) on February 11, 2026.
• The open market sales occurred at weighted average prices ranging from $992.33 to $1,002.86 per share.

Future Outlook

NA

Industry Context

StockSavvy.ai notes that insider selling, particularly by a CEO, can sometimes be interpreted by the market as a signal, though in this case, it appears to be a pre-planned exercise and sell-to-cover transaction related to executive compensation, which is a common occurrence across industries.

Stakeholder Impact

• Shareholders: May interpret the insider selling as a negative signal, potentially impacting short-term sentiment, despite it being a compensation-related event.

Key Dates

Recommendation

While the significant insider selling by the CEO could be perceived negatively, it appears to be primarily driven by the exercise of Stock Appreciation Rights and subsequent tax obligations, rather than a lack of confidence in the company's future. Such transactions are common for executives managing their compensation and liquidity. Therefore, a 'hold' recommendation is appropriate, suggesting investors maintain their current positions while monitoring future developments.

Keywords

Parker-Hannifin, PH, Insider Trading, Form 4, Jennifer A Parmentier, CEO, Stock Appreciation Rights, SARs, Stock Sale, Executive Compensation