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Why Emerson Electric (EMR) Dipped More Than Broader Market Today
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In the latest close session, Emerson Electric (EMR - Free Report) was down 1.36% at $155.10. This change lagged the S&P 500's 0.25% loss on the day. Meanwhile, the Dow lost 0.86%, and the Nasdaq, a tech-heavy index, added 0.24%.
The maker of process controls systems, valves and analytical instruments's stock has climbed by 6.51% in the past month, exceeding the Industrial Products sector's gain of 0.23% and the S&P 500's loss of 0.42%.
The upcoming earnings release of Emerson Electric will be of great interest to investors. The company's upcoming EPS is projected at $1.84, signifying a 13.58% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $5.1 billion, showing a 5.1% escalation compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.55 per share and a revenue of $18.89 billion, representing changes of +9.17% and +4.85%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Emerson Electric. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Emerson Electric is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Emerson Electric's current valuation metrics, including its Forward P/E ratio of 24. This denotes a discount relative to the industry average Forward P/E of 24.62.
We can also see that EMR currently has a PEG ratio of 2.36. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Manufacturing - Electronics industry was having an average PEG ratio of 1.65.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 65, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
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Why Emerson Electric (EMR) Dipped More Than Broader Market Today
In the latest close session, Emerson Electric (EMR - Free Report) was down 1.36% at $155.10. This change lagged the S&P 500's 0.25% loss on the day. Meanwhile, the Dow lost 0.86%, and the Nasdaq, a tech-heavy index, added 0.24%.
The maker of process controls systems, valves and analytical instruments's stock has climbed by 6.51% in the past month, exceeding the Industrial Products sector's gain of 0.23% and the S&P 500's loss of 0.42%.
The upcoming earnings release of Emerson Electric will be of great interest to investors. The company's upcoming EPS is projected at $1.84, signifying a 13.58% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $5.1 billion, showing a 5.1% escalation compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.55 per share and a revenue of $18.89 billion, representing changes of +9.17% and +4.85%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Emerson Electric. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Emerson Electric is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Emerson Electric's current valuation metrics, including its Forward P/E ratio of 24. This denotes a discount relative to the industry average Forward P/E of 24.62.
We can also see that EMR currently has a PEG ratio of 2.36. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Manufacturing - Electronics industry was having an average PEG ratio of 1.65.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 65, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.