The latest trading session saw Emerson Electric (EMR) ending at $105.28, denoting a +0.22% adjustment from its last day's close. The stock's performance was behind the S&P 500's daily gain of 0.74%. Meanwhile, the Dow gained 0.05%, and the Nasdaq, a tech-heavy index, added 1.26%.
Shares of the maker of process controls systems, valves and analytical instruments have depreciated by 6.27% over the course of the past month, outperforming the Industrial Products sector's loss of 6.87% and lagging the S&P 500's loss of 4.77%.
Market participants will be closely following the financial results of Emerson Electric in its upcoming release. The company plans to announce its earnings on May 7, 2025. The company is expected to report EPS of $1.42, up 4.41% from the prior-year quarter. 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 full year, the Zacks Consensus Estimates project earnings of $5.93 per share and a revenue of $17.79 billion, demonstrating changes of +8.01% and +1.73%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Emerson Electric. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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 moved 0.62% lower. Right now, Emerson Electric possesses a Zacks Rank of #3 (Hold).
In terms of valuation, Emerson Electric is presently being traded at a Forward P/E ratio of 17.7. This represents a discount compared to its industry's average Forward P/E of 19.95.
Meanwhile, EMR's PEG ratio is currently 2.08. 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. By the end of yesterday's trading, the Manufacturing - Electronics industry had an average PEG ratio of 1.71.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry, currently bearing a Zacks Industry Rank of 56, finds itself in the top 23% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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