According to Zacks, “We believe that Emerson will gain from acquisitions as well as rewarding shareholders handsomely through dividends and share buybacks. Results in fiscal 2019 are likely to benefit from steady growth in North America heating and cooling, global professional tools, and Latin American end markets. In second-quarter fiscal 2019, the company's earnings and sales increased 10.5% and 7.6% year over year. While earnings met estimates, sales lagged the same. For fiscal 2019, the company lowered the sales growth projection from 7-10% to 7-8.5%, with underlying sales now expected to grow 4-5.5% versus the earlier 4-7%. Earnings are predicted to be $3.60-$3.70, down from the previously stated $3.60-$3.75 per share. Also, headwinds in currency translation might be detrimental. Adverse impact of 2% on sales is also predicted for fiscal 2019. In the past month, Emerson's shares have underperformed the industry and also look comparatively overvalued.”
Several other equities analysts also recently commented on the company. Citigroup upgraded Emerson Electric from a neutral rating to a buy rating and raised their target price for the stock from $67.00 to $81.00 in a research report on Monday, April 8th. Morgan Stanley set a $77.00 target price on Emerson Electric and gave the stock a buy rating in a research report on Friday, February 8th. Credit Suisse Group raised their target price on Emerson Electric from $70.00 to $75.00 and gave the stock an outperform rating in a research report on Wednesday, February 6th. Finally, Cowen restated a buy rating and set a $81.00 target price on shares of Emerson Electric in a research report on Tuesday, February 5th. Nine equities research analysts have rated the stock with a hold rating and eleven have given a buy rating to the company. The stock presently has an average rating of Buy and a consensus price target of $76.41.
Shares of Emerson Electric stock traded down $0.66 during midday trading on Tuesday, hitting $65.00. 28,716 shares of the company were exchanged, compared to its average volume of 2,882,296. The company has a debt-to-equity ratio of 0.44, a current ratio of 1.07 and a quick ratio of 0.76. The company has a market capitalization of $40.29 billion, a PE ratio of 19.29, a price-to-earnings-growth ratio of 2.09 and a beta of 1.23. Emerson Electric has a 52 week low of $55.38 and a 52 week high of $79.70.
Emerson Electric (NYSE:EMR) last posted its earnings results on Tuesday, May 7th. The industrial products company reported $0.84 EPS for the quarter, hitting the Thomson Reuters’ consensus estimate of $0.84. The business had revenue of $4.57 billion during the quarter, compared to the consensus estimate of $4.64 billion. Emerson Electric had a return on equity of 24.63% and a net margin of 12.81%. Emerson Electric’s revenue was up 7.6% on a year-over-year basis. During the same quarter last year, the company earned $0.76 EPS. Equities analysts anticipate that Emerson Electric will post 3.65 earnings per share for the current fiscal year.
The firm also recently disclosed a quarterly dividend, which will be paid on Monday, June 10th. Shareholders of record on Friday, May 17th will be given a $0.49 dividend. The ex-dividend date of this dividend is Thursday, May 16th. This represents a $1.96 annualized dividend and a yield of 3.02%. Emerson Electric’s payout ratio is 57.99%.
A number of institutional investors and hedge funds have recently modified their holdings of EMR. Golden State Wealth Management LLC bought a new stake in shares of Emerson Electric during the first quarter worth $27,000. Glassman Wealth Services raised its position in shares of Emerson Electric by 240.7% during the first quarter. Glassman Wealth Services now owns 402 shares of the industrial products company’s stock worth $28,000 after acquiring an additional 284 shares during the last quarter. Massey Quick Simon & CO. LLC bought a new stake in shares of Emerson Electric during the fourth quarter worth $30,000. Norway Savings Bank raised its position in shares of Emerson Electric by 60.1% during the fourth quarter. Norway Savings Bank now owns 533 shares of the industrial products company’s stock worth $32,000 after acquiring an additional 200 shares during the last quarter. Finally, Harel Insurance Investments & Financial Services Ltd. bought a new stake in shares of Emerson Electric during the first quarter worth $34,000. Hedge funds and other institutional investors own 73.06% of the company’s stock.
Emerson Electric Company Profile
Emerson Electric Co, a technology and engineering company, provides various solutions to industrial, commercial, and consumer markets worldwide. The company's Automation Solutions segment offers products and integrated solutions, including measurement and analytical instrumentation; valves, actuators, and regulators; industrial solutions; and process control systems and solutions.
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