We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Emerson Electric (EMR) Rises But Trails Market: What Investors Should Know
Read MoreHide Full Article
Emerson Electric (EMR - Free Report) closed the latest trading day at $90.74, indicating a +0.64% change from the previous session's end. This change lagged the S&P 500's 0.73% gain on the day. Elsewhere, the Dow gained 0.62%, while the tech-heavy Nasdaq added 0.93%.
Heading into today, shares of the maker of process controls systems, valves and analytical instruments had lost 8.09% over the past month, lagging the Industrial Products sector's loss of 5.07% and the S&P 500's loss of 2.29% in that time.
The investment community will be paying close attention to the earnings performance of Emerson Electric in its upcoming release. The company is slated to reveal its earnings on November 7, 2023. The company is forecasted to report an EPS of $1.30, showcasing a 15.03% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $4.2 billion, reflecting a 21.56% fall from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Emerson Electric. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.48% increase. Emerson Electric is currently a Zacks Rank #2 (Buy).
From a valuation perspective, Emerson Electric is currently exchanging hands at a Forward P/E ratio of 18.13. This denotes a discount relative to the industry's average Forward P/E of 19.03.
Investors should also note that EMR has a PEG ratio of 1.52 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Manufacturing - Electronics industry held an average PEG ratio of 1.94.
The Manufacturing - Electronics industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 177, positioning it in the bottom 30% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Emerson Electric (EMR) Rises But Trails Market: What Investors Should Know
Emerson Electric (EMR - Free Report) closed the latest trading day at $90.74, indicating a +0.64% change from the previous session's end. This change lagged the S&P 500's 0.73% gain on the day. Elsewhere, the Dow gained 0.62%, while the tech-heavy Nasdaq added 0.93%.
Heading into today, shares of the maker of process controls systems, valves and analytical instruments had lost 8.09% over the past month, lagging the Industrial Products sector's loss of 5.07% and the S&P 500's loss of 2.29% in that time.
The investment community will be paying close attention to the earnings performance of Emerson Electric in its upcoming release. The company is slated to reveal its earnings on November 7, 2023. The company is forecasted to report an EPS of $1.30, showcasing a 15.03% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $4.2 billion, reflecting a 21.56% fall from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Emerson Electric. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.48% increase. Emerson Electric is currently a Zacks Rank #2 (Buy).
From a valuation perspective, Emerson Electric is currently exchanging hands at a Forward P/E ratio of 18.13. This denotes a discount relative to the industry's average Forward P/E of 19.03.
Investors should also note that EMR has a PEG ratio of 1.52 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Manufacturing - Electronics industry held an average PEG ratio of 1.94.
The Manufacturing - Electronics industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 177, positioning it in the bottom 30% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.