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In the latest trading session, Emerson Electric (EMR) closed at $110.45, marking a -0.13% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.02% for the day. At the same time, the Dow added 0.38%, and the tech-heavy Nasdaq gained 0.04%.
Prior to today’s trading, shares of the maker of process controls systems, valves and analytical instruments had gained 6.66% over the past month. This has outpaced the Industrial Products sector’s gain of 5.84% and the S&P 500’s gain of 3.77% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Emerson Electric in its upcoming earnings disclosure. The company’s earnings report is set to go public on November 5, 2024. On that day, Emerson Electric is projected to report earnings of $1.47 per share, which would represent year-over-year growth of 13.95%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.58 billion, up 11.88% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Emerson Electric. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company’s business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there’s been a 0.87% fall in the Zacks Consensus EPS estimate. Emerson Electric is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Emerson Electric’s current valuation metrics, including its Forward P/E ratio of 18.65. This valuation marks a discount compared to its industry’s average Forward P/E of 23.73.
We can additionally observe that EMR currently boasts a PEG ratio of 1.7. 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. As of the close of trade yesterday, the Manufacturing – Electronics industry held an average PEG ratio of 2.09.
The Manufacturing – Electronics industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 161, 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.
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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