to analyze (a sentence) in terms of grammatical constituents, identifying the parts of speech, syntactic relations, etc.
to describe (a word in a sentence) grammatically, identifying the part of speech, inflectional form, syntactic function, etc.
to analyze (something, as a speech or behavior) to discover its implications or uncover a deeper meaning: Political columnists were in their glory, parsing the president's speech on the economy in minute detail.
Computers. to analyze (a string of characters) in order to associate groups of characters with the syntactic units of the underlying grammar.
to be able to be parsed; lend itself to parsing: Sorry, but your concluding paragraph simply doesn't parse.