In the latest trading session, Emerson Electric (EMR) closed at $105.81, marking a +0.67% move from the previous day. The stock's change was more than the S&P 500's daily gain of 0.63%. At the same time, the Dow added 0.21%, and the tech-heavy Nasdaq gained 1.52%.
The maker of process controls systems, valves and analytical instruments's shares have seen a decrease of 5.76% over the last month, not keeping up with the Industrial Products sector's loss of 1.32% and the S&P 500's loss of 0.7%.
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 May 7, 2025. It is anticipated that the company will report an EPS of $1.42, marking a 4.41% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.38 billion, up 0.1% from the year-ago period.
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.
Any recent changes to analyst estimates for Emerson Electric should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. The Zacks Consensus EPS estimate has moved 0.64% lower within the past month. Emerson Electric currently has a Zacks Rank of #3 (Hold).
From a valuation perspective, Emerson Electric is currently exchanging hands at a Forward P/E ratio of 17.71. This signifies a discount in comparison to the average Forward P/E of 18.71 for its industry.
Meanwhile, EMR's PEG ratio is currently 2.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Manufacturing - Electronics industry was having an average PEG ratio of 1.72.
The Manufacturing - Electronics industry is part of the Industrial Products sector. At present, this industry carries a Zacks Industry Rank of 84, placing it within the top 35% of over 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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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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