Emerson Electric (NYSE:EMR) Stock Price Expected to Rise, Royal Bank Of Canada Analyst Says

Key Points

• Royal Bank of Canada raised Emerson Electric’s price target from $188 to $196 and maintained an “outperform” rating, implying about 19% upside from the price cited in the report.
• Analyst sentiment is broadly positive: Emerson has a “Moderate Buy” consensus rating, though the average target of $174.71 is below RBC’s new target.
• Emerson beat quarterly earnings and revenue estimates, but its shares fell $5.67 on Thursday; reports pointed to a cautious fiscal 2027 outlook and valuation concerns.

Emerson Electric (NYSE:EMR - Get Free Report) had its target price hoisted by analysts at Royal Bank Of Canada from $188.00 to $196.00 in a note issued to investors on Thursday, Benzinga reports. The brokerage presently has an "outperform" rating on the industrial products company's stock. Royal Bank Of Canada's target price points to a potential upside of 18.96% from the stock's current price.

Other equities research analysts have also issued reports about the company. BMO Capital Markets raised Emerson Electric from a "hold" rating to a "strong-buy" rating in a research report on Sunday. KeyCorp lifted their price objective on shares of Emerson Electric from $170.00 to $200.00 and gave the stock an "overweight" rating in a report on Thursday. Evercore reduced their target price on shares of Emerson Electric from $190.00 to $185.00 and set an "outperform" rating for the company in a research note on Monday, August 31st. Stephens increased their target price on shares of Emerson Electric from $155.00 to $160.00 in a report on Thursday, August 6th. Finally, HSBC boosted their price target on shares of Emerson Electric from $170.00 to $180.00 in a report on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Emerson Electric has an average rating of "Moderate Buy" and an average target price of $174.71.

Emerson Electric Price Performance

Shares of Emerson Electric stock traded down $5.67 during trading on Thursday, reaching $164.77. 3,360,101 shares of the company's stock were exchanged, compared to its average volume of 2,974,122. The company has a debt-to-equity ratio of 0.37, a quick ratio of 0.66 and a current ratio of 0.90. Emerson Electric has a 1-year low of $122.64 and a 1-year high of $172.00. The company has a market cap of $92.29 billion, a P/E ratio of 35.85, a PEG ratio of 2.35 and a beta of 1.23. The firm's 50-day moving average price is $157.73 and its 200 day moving average price is $147.46.

Emerson Electric (NYSE:EMR - Get Free Report) last posted its earnings results on Wednesday, November 4th. The industrial products company reported $1.86 earnings per share for the quarter, topping analysts' consensus estimates of $1.85 by $0.01. Emerson Electric had a net margin of 13.83% and a return on equity of 17.58%. The firm had revenue of $5.20 billion for the quarter, compared to analysts' expectations of $5.11 billion. During the same quarter in the previous year, the firm posted $1.62 earnings per share. The company's revenue was up .0% on a year-over-year basis. As a group, research analysts anticipate that Emerson Electric will post 6.56 earnings per share for the current year.

Insider Transactions at Emerson Electric

In other Emerson Electric news, CEO Surendralal Karsanbhai sold 9,650 shares of the stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $161.91, for a total transaction of $1,562,431.50. Following the sale, the chief executive officer owned 271,743 shares in the company, valued at $43,997,909.13. This represents a 3.43% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.23% of the stock is owned by insiders.

Hedge Funds Weigh In On Emerson Electric

Hedge funds have recently made changes to their positions in the stock. William Mack & Associates Inc. purchased a new stake in Emerson Electric during the third quarter valued at approximately $25,000. Allied Private Wealth LLC purchased a new position in Emerson Electric in the second quarter worth $27,000. Financial Management Professionals Inc. grew its holdings in Emerson Electric by 100.0% in the third quarter. Financial Management Professionals Inc. now owns 172 shares of the industrial products company's stock worth $27,000 after purchasing an additional 86 shares during the last quarter. Next Level Wealth Planning LLC acquired a new position in shares of Emerson Electric during the third quarter worth $27,000. Finally, Orion Capital Management LLC purchased a new stake in shares of Emerson Electric during the 2nd quarter valued at $29,000. 74.30% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about Emerson Electric

Here are the key news stories impacting Emerson Electric this week:

• Positive Sentiment: Fiscal Q4 adjusted EPS was $1.86 versus the $1.85 consensus, while revenue of $5.20 billion topped estimates of $5.11 billion. Orders rose 14%, and Emerson forecast about 5% sales growth in fiscal 2027. Emerson Q4 results and outlook
• Positive Sentiment: Emerson raised its quarterly dividend 7.2%, to $0.595 per share, extending its long record of annual dividend increases. Dividend and FY27 outlook
• Positive Sentiment: Analysts lifted price targets: BNP Paribas Exane and Jefferies to $200, KeyCorp to $200, Bernstein to $196, and Wells Fargo to $180; the firms maintained positive ratings. Jefferies price target update Bernstein price target update
• Neutral Sentiment: A Seeking Alpha analysis cited LNG investment and reshoring as potential growth tailwinds, while noting that the stock’s valuation is rich. Analysis of Emerson’s growth tailwinds and valuation
• Negative Sentiment: The earnings beat and stronger orders were offset by reports describing the fiscal 2027 outlook as cautious. That guidance, alongside valuation concerns, may help explain why investors reacted negatively despite the solid results. Earnings beat and cautious outlook

Emerson Electric Company Profile

Emerson Electric Co NYSE: EMR is a global technology and engineering company that provides automation, control, and industrial technology solutions. Its offerings include measurement and analytical instruments, control systems, valves, regulators, software, and related services used to improve the safety, efficiency, and reliability of industrial operations.

The company serves customers across industries such as energy, chemicals, life sciences, food and beverage, manufacturing, and commercial and residential applications.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.