Rockwell Automation (NYSE:ROK) Given New $485.00 Price Target at The Goldman Sachs Group

Key Points

• Goldman Sachs lowered Rockwell Automation’s price target to $485 from $510 while maintaining a “neutral” rating, implying roughly 12.4% upside from the prior close.
• Analyst sentiment remains mixed: nine analysts rate the stock a Buy and thirteen rate it a Hold, resulting in a consensus “Hold” rating and an average price target of $469.82.
• Rockwell reported quarterly EPS of $3.49, beating estimates of $3.38, while revenue rose 7.9% year over year to $2.31 billion; its board also authorized a $1 billion share-repurchase plan.

Rockwell Automation (NYSE:ROK - Get Free Report) had its price objective cut by stock analysts at The Goldman Sachs Group from $510.00 to $485.00 in a report issued on Wednesday. The brokerage currently has a "neutral" rating on the industrial products company's stock. The Goldman Sachs Group's target price would suggest a potential upside of 12.43% from the company's previous close.

Other equities analysts also recently issued reports about the company. Morgan Stanley increased their target price on Rockwell Automation from $525.00 to $545.00 and gave the company an "overweight" rating in a research report on Wednesday, September 2nd. Weiss Ratings reiterated a "buy (b-)" rating on shares of Rockwell Automation in a report on Monday, September 14th. Zacks Research downgraded shares of Rockwell Automation from a "strong-buy" rating to a "hold" rating in a research report on Thursday, July 30th. Citigroup decreased their price target on shares of Rockwell Automation from $555.00 to $536.00 and set a "buy" rating for the company in a research report on Wednesday, August 5th. Finally, Argus raised their price target on shares of Rockwell Automation from $465.00 to $530.00 and gave the company a "buy" rating in a research note on Wednesday, June 24th. Nine research analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the company. Based on data from MarketBeat.com, Rockwell Automation presently has a consensus rating of "Hold" and an average price target of $469.82.

Rockwell Automation Stock Performance

Shares of Rockwell Automation stock opened at $431.37 on Wednesday. The company's 50 day moving average price is $438.44 and its two-hundred day moving average price is $432.49. The firm has a market capitalization of $47.90 billion, a P/E ratio of 40.43, a P/E/G ratio of 2.51 and a beta of 1.52. Rockwell Automation has a fifty-two week low of $332.71 and a fifty-two week high of $497.36. The company has a debt-to-equity ratio of 0.74, a current ratio of 1.08 and a quick ratio of 0.74.

Rockwell Automation (NYSE:ROK - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The industrial products company reported $3.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.38 by $0.11. Rockwell Automation had a net margin of 13.39% and a return on equity of 39.83%. The company had revenue of $2.31 billion during the quarter, compared to the consensus estimate of $2.24 billion. During the same period in the prior year, the business earned $2.82 earnings per share. The company's revenue for the quarter was up 7.9% compared to the same quarter last year. Rockwell Automation has set its FY 2026 guidance at 13.000-13.300 EPS. On average, equities analysts forecast that Rockwell Automation will post 13.24 earnings per share for the current fiscal year.

Rockwell Automation announced that its Board of Directors has approved a share repurchase plan on Tuesday, June 9th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the industrial products company to repurchase up to 2% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board of directors believes its stock is undervalued.

Insider Transactions at Rockwell Automation

In other Rockwell Automation news, SVP Matheus Bulho sold 467 shares of the firm's stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $426.96, for a total value of $199,390.32. Following the completion of the sale, the senior vice president owned 1,267 shares of the company's stock, valued at approximately $540,958.32. This trade represents a 26.93% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Isaac Woods sold 154 shares of the stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $432.62, for a total value of $66,623.48. Following the completion of the transaction, the vice president owned 1,858 shares in the company, valued at approximately $803,807.96. This represents a 7.65% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 2,711 shares of company stock worth $1,164,880 in the last three months. Insiders own 0.76% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the stock. Castle Rock Wealth Management LLC grew its position in shares of Rockwell Automation by 2.2% during the 2nd quarter. Castle Rock Wealth Management LLC now owns 1,038 shares of the industrial products company's stock valued at $501,000 after acquiring an additional 22 shares during the period. Richards Merrill & Peterson Inc. raised its holdings in shares of Rockwell Automation by 1.9% in the 1st quarter. Richards Merrill & Peterson Inc. now owns 1,358 shares of the industrial products company's stock worth $487,000 after purchasing an additional 25 shares during the period. Cidel Asset Management Inc. lifted its stake in Rockwell Automation by 4.6% in the first quarter. Cidel Asset Management Inc. now owns 574 shares of the industrial products company's stock valued at $206,000 after purchasing an additional 25 shares during the last quarter. Apella Capital LLC grew its holdings in Rockwell Automation by 0.9% during the second quarter. Apella Capital LLC now owns 3,261 shares of the industrial products company's stock valued at $1,529,000 after purchasing an additional 28 shares during the period. Finally, Finivi Inc. increased its position in Rockwell Automation by 1.0% in the second quarter. Finivi Inc. now owns 2,935 shares of the industrial products company's stock worth $1,453,000 after buying an additional 30 shares during the last quarter. Institutional investors own 75.75% of the company's stock.

Rockwell Automation Company Profile

Rockwell Automation, Inc is a global provider of industrial automation and digital transformation technologies. The company helps manufacturers and other industrial organizations improve productivity, quality, safety, and operational efficiency by connecting industrial equipment, control systems, software, and data.

Its offerings include programmable logic controllers, industrial computers, motor control and drives, sensors, safety systems, human-machine interfaces, and other control and electrical products.

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