Emerson Electric (EMR) closed at $150.72 in the latest trading session, marking a +1.55% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.13%. Meanwhile, the Dow experienced a rise of 0.11%, and the technology-dominated Nasdaq saw a decrease of 0.72%.
Heading into today, shares of the maker of process controls systems, valves and analytical instruments had gained 11.83% over the past month, outpacing the Industrial Products sector's gain of 6.7% and the S&P 500's gain of 0.78%.
The investment community will be closely monitoring the performance of Emerson Electric in its forthcoming earnings report. The company is scheduled to release its earnings on February 3, 2026. On that day, Emerson Electric is projected to report earnings of $1.41 per share, which would represent year-over-year growth of 2.17%. Meanwhile, our latest consensus estimate is calling for revenue of $4.35 billion, up 4.22% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.48 per share and a revenue of $18.86 billion, indicating changes of +8% and +4.71%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Emerson Electric. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.64% higher. Emerson Electric is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Emerson Electric is holding a Forward P/E ratio of 22.9. This signifies a discount in comparison to the average Forward P/E of 24.49 for its industry.
One should further note that EMR currently holds a PEG ratio of 2.4. 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 had an average PEG ratio of 1.95 as trading concluded yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 155, positioning it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow EMR in the coming trading sessions, be sure to utilize Zacks.com.
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Emerson Electric Co. (EMR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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