BlackRock Inc. Invests $6.13 Billion in Rockwell Automation, Inc. $ROK

Key Points

• BlackRock acquired 12.38 million Rockwell Automation shares valued at approximately $6.13 billion, giving it an 11.15% stake. Institutional investors and hedge funds collectively own 75.75% of the company.
• Rockwell reported quarterly EPS of $3.49, exceeding expectations of $3.38, while revenue rose 7.9% year over year to $2.31 billion. The company guided to fiscal 2026 EPS of $13.00–$13.30.
• Rockwell declared a quarterly dividend of $1.38 and authorized a $1 billion share buyback covering up to 2% of outstanding shares. Analysts maintain a consensus “Hold” rating with an average target price of $468.67.

BlackRock Inc. acquired a new position in Rockwell Automation, Inc. (NYSE:ROK - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The fund acquired 12,380,576 shares of the industrial products company's stock, valued at approximately $6,129,376,000. BlackRock Inc. owned about 11.15% of Rockwell Automation at the end of the most recent reporting period.

Other hedge funds have also modified their holdings of the company. Norges Bank purchased a new position in Rockwell Automation during the 4th quarter valued at about $615,596,000. Northwestern Mutual Wealth Management Co. increased its stake in Rockwell Automation by 5,925.6% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 906,192 shares of the industrial products company's stock valued at $352,572,000 after buying an additional 891,153 shares during the period. Bank of New York Mellon Corp purchased a new stake in Rockwell Automation in the 2nd quarter worth approximately $300,589,000. Deutsche Bank AG acquired a new stake in shares of Rockwell Automation during the 2nd quarter valued at $210,342,000. Finally, Eurizon Capital SGR S.p.A. acquired a new stake in shares of Rockwell Automation during the 4th quarter valued at $156,017,000. 75.75% of the stock is currently owned by institutional investors and hedge funds.

Rockwell Automation Price Performance

Shares of Rockwell Automation stock opened at $445.69 on Tuesday. The firm's 50-day moving average price is $463.60 and its two-hundred day moving average price is $426.67. Rockwell Automation, Inc. has a 1-year low of $332.71 and a 1-year high of $497.36. The stock has a market capitalization of $49.49 billion, a price-to-earnings ratio of 41.77, a P/E/G ratio of 2.62 and a beta of 1.54. The company has a current ratio of 1.08, a quick ratio of 0.74 and a debt-to-equity ratio of 0.74.

Rockwell Automation (NYSE:ROK - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $3.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.38 by $0.11. Rockwell Automation had a return on equity of 39.83% and a net margin of 13.39%.The firm had revenue of $2.31 billion during the quarter, compared to the consensus estimate of $2.24 billion. During the same quarter in the previous year, the company posted $2.82 EPS. The business'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 predict that Rockwell Automation, Inc. will post 13.22 earnings per share for the current fiscal year.

Rockwell Automation Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 17th will be given a $1.38 dividend. This represents a $5.52 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date is Monday, August 17th. Rockwell Automation's dividend payout ratio (DPR) is presently 51.73%.

Rockwell Automation declared that its board has initiated a stock buyback program on Tuesday, June 9th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the industrial products company to purchase up to 2% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's management believes its shares are undervalued.

Analyst Ratings Changes

Several equities analysts recently weighed in on ROK shares. Rothschild & Co Redburn raised their price objective on shares of Rockwell Automation from $365.00 to $378.00 in a research report on Wednesday, May 6th. Mizuho set a $445.00 target price on shares of Rockwell Automation in a research report on Wednesday, May 6th. Wall Street Zen lowered shares of Rockwell Automation from a "buy" rating to a "hold" rating in a research note on Saturday, May 2nd. KeyCorp raised their price target on shares of Rockwell Automation from $470.00 to $510.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Finally, Zacks Research lowered shares of Rockwell Automation from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 30th. Nine research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $468.67.

Insider Transactions at Rockwell Automation

In other news, SVP Matthew W. Fordenwalt sold 377 shares of the firm's stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $460.51, for a total value of $173,612.27. Following the transaction, the senior vice president owned 4,437 shares of the company's stock, valued at approximately $2,043,282.87. This trade represents a 7.83% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP John M. Miller sold 1,054 shares of the business's stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $426.02, for a total transaction of $449,025.08. Following the sale, the vice president directly owned 5,615 shares of the company's stock, valued at approximately $2,392,102.30. This trade represents a 15.80% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 1,649 shares of company stock worth $722,119. Corporate insiders own 0.76% of the company's stock.

About Rockwell Automation

Rockwell Automation is a global industrial automation and digital transformation company headquartered in Milwaukee, Wisconsin. The firm designs, manufactures and supports control systems, industrial control hardware and software, and related services that help manufacturers and industrial operators automate processes, improve productivity and enable data-driven decision making. Rockwell traces its heritage to the Allen-Bradley and Rockwell automation businesses and positions itself as a provider of integrated automation solutions across discrete and process industries.

The company's product portfolio includes programmable logic controllers (PLCs), human-machine interfaces (HMIs), variable frequency drives, sensors, safety components and other industrial control hardware, often marketed under the Allen-Bradley brand.

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