Royal Bank of Canada Reduces Holdings in Emerson Electric Co. $EMR

Key Points

• Royal Bank of Canada reduced its stake in Emerson Electric Co. by 31.2%, selling over 1 million shares, bringing its total holdings to approximately 2.27 million shares, valued at nearly $250 million.
• Several analysts have improved their ratings and price targets for Emerson Electric, with JPMorgan Chase raising the price objective from $113 to $133 and other firms like TD Cowen upgrading the rating to "strong-buy."
• The company declared a quarterly dividend of $0.5275, resulting in an annualized dividend yield of 1.6%, with a dividend payout ratio of around 45.38%.

Royal Bank of Canada reduced its stake in shares of Emerson Electric Co. (NYSE:EMR - Free Report) by 31.2% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 2,277,772 shares of the industrial products company's stock after selling 1,032,226 shares during the quarter. Royal Bank of Canada owned 0.40% of Emerson Electric worth $249,736,000 as of its most recent filing with the Securities and Exchange Commission.

Several other large investors have also modified their holdings of EMR. Brighton Jones LLC grew its position in shares of Emerson Electric by 74.1% in the fourth quarter. Brighton Jones LLC now owns 11,392 shares of the industrial products company's stock valued at $1,412,000 after purchasing an additional 4,850 shares during the last quarter. Aptus Capital Advisors LLC grew its position in shares of Emerson Electric by 83.2% in the fourth quarter. Aptus Capital Advisors LLC now owns 16,112 shares of the industrial products company's stock valued at $1,997,000 after purchasing an additional 7,319 shares during the last quarter. Ancora Advisors LLC grew its position in shares of Emerson Electric by 24.2% in the fourth quarter. Ancora Advisors LLC now owns 2,391 shares of the industrial products company's stock valued at $296,000 after purchasing an additional 466 shares during the last quarter. Ameriprise Financial Inc. boosted its position in Emerson Electric by 0.6% during the fourth quarter. Ameriprise Financial Inc. now owns 997,659 shares of the industrial products company's stock worth $123,637,000 after acquiring an additional 5,822 shares during the last quarter. Finally, BLI Banque de Luxembourg Investments purchased a new stake in Emerson Electric in the 4th quarter worth approximately $1,305,000. 74.30% of the stock is currently owned by institutional investors and hedge funds.

Emerson Electric Trading Down 0.4%

NYSE:EMR traded down $0.56 during trading hours on Friday, reaching $132.54. 3,207,884 shares of the company were exchanged, compared to its average volume of 2,654,395. The stock has a 50 day simple moving average of $137.59 and a 200 day simple moving average of $122.41. Emerson Electric Co. has a 52-week low of $90.06 and a 52-week high of $150.27. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.85 and a quick ratio of 0.63. The firm has a market cap of $74.59 billion, a price-to-earnings ratio of 28.50, a PEG ratio of 2.59 and a beta of 1.30.

Emerson Electric (NYSE:EMR - Get Free Report) last issued its earnings results on Wednesday, August 6th. The industrial products company reported $1.52 EPS for the quarter, beating analysts' consensus estimates of $1.51 by $0.01. Emerson Electric had a net margin of 14.92% and a return on equity of 14.34%. The business had revenue of $4.55 billion for the quarter, compared to the consensus estimate of $4.60 billion. During the same quarter last year, the firm posted $1.43 EPS. The business's revenue for the quarter was up 3.9% compared to the same quarter last year. As a group, analysts predict that Emerson Electric Co. will post 5.96 EPS for the current year.

Emerson Electric Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 10th. Stockholders of record on Friday, August 15th will be paid a $0.5275 dividend. This represents a $2.11 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, August 15th. Emerson Electric's dividend payout ratio (DPR) is currently 45.38%.

Analysts Set New Price Targets

EMR has been the topic of a number of recent analyst reports. Bank of America increased their price target on Emerson Electric from $130.00 to $155.00 and gave the stock a "buy" rating in a research note on Wednesday, July 2nd. Wall Street Zen upgraded Emerson Electric from a "hold" rating to a "buy" rating in a report on Friday, May 9th. Barclays upgraded Emerson Electric from an "underweight" rating to an "equal weight" rating and raised their price objective for the stock from $125.00 to $127.00 in a report on Thursday, August 7th. TD Cowen upgraded Emerson Electric to a "strong-buy" rating in a report on Tuesday, July 8th. Finally, Wells Fargo & Company increased their price target on shares of Emerson Electric from $135.00 to $150.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 1st. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $142.39.

Emerson Electric Company Profile

Emerson Electric Co, a technology and software company, provides various solutions for customers in industrial, commercial, and consumer markets in the Americas, Asia, the Middle East, Africa, and Europe. It operates in six segments: Final Control, Control Systems & Software, Measurement & Analytical, AspenTech, Discrete Automation, and Safety & Productivity.