Emerson Electric Co. (NYSE:EMR) is included among the 13 Most Undervalued Dividend Stocks to Buy According to Wall Street Analysts.
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Emerson Electric Co. (NYSE:EMR) is a technology and software firm that delivers automation solutions, engineering services, and software to various industries, including process and hybrid sectors.
On October 16, RBC Capital increased its price target on Emerson Electric Co. (NYSE:EMR) to $155 from $154 and maintained an Outperform rating. The adjustment came as part of a broader research note ahead of Q3 earnings in the industrial sector.
According to the analyst, several long-term drivers such as electrification, reshoring, and growth in datacenter and AI infrastructure, along with an expected easing cycle from the Federal Reserve, are likely to support steady mid-cycle growth and solid earnings visibility. While tariffs pose some uncertainty, they remain a manageable challenge. The report also noted that datacenters continue to be the sector’s strongest area, followed by municipal water, whereas residential construction, HVAC, and chemicals are among the weaker markets.
Emerson Electric Co. (NYSE:EMR) is also recognized for its strong dividend track record, maintaining one of the longest dividend growth streaks in its industry, spanning 67 years. The company offers a quarterly dividend of $0.5275 per share and has a dividend yield of 1.55%, as of October 29.
While we acknowledge the potential of EMR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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