In the latest market close, Emerson Electric (EMR) reached $99.57, with a +0.91% movement compared to the previous day. This move outpaced the S&P 500's daily gain of 0.13%. Meanwhile, the Dow experienced a drop of 1.33%, and the technology-dominated Nasdaq saw a decrease of 0.13%.
Shares of the maker of process controls systems, valves and analytical instruments witnessed a loss of 12.21% over the previous month, trailing the performance of the Industrial Products sector with its loss of 10.03% and the S&P 500's loss of 6.3%.
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 May 7, 2025. The company's upcoming EPS is projected at $1.42, signifying a 4.41% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $4.38 billion, reflecting a 0.1% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $5.93 per share and a revenue of $17.79 billion, representing changes of +8.01% and +1.73%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Emerson Electric. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.62% decrease. As of now, Emerson Electric holds a Zacks Rank of #3 (Hold).
In terms of valuation, Emerson Electric is currently trading at a Forward P/E ratio of 16.63. Its industry sports an average Forward P/E of 17.86, so one might conclude that Emerson Electric is trading at a discount comparatively.
We can also see that EMR currently has a PEG ratio of 1.96. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Manufacturing - Electronics industry currently had an average PEG ratio of 1.62 as of yesterday's close.
The Manufacturing - Electronics industry is part of the Industrial Products sector. At present, this industry carries a Zacks Industry Rank of 35, placing it within the top 15% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Emerson Electric Co. (EMR) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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