Zacks Research Issues Optimistic Forecast for ROK Earnings

Key Points

• Zacks Research turned more bullish on Rockwell Automation’s earnings outlook, raising its Q3 2026 EPS estimate to $3.29 from $3.01 and lifting forecasts for several later quarters and fiscal years, including FY2027 to $14.00 and FY2028 to $16.12.
• Rockwell recently delivered a strong quarterly beat, reporting EPS of $3.30 versus the $2.88 consensus and revenue of $2.24 billion versus expectations of $2.16 billion, while also posting 11.9% year-over-year revenue growth.
• Wall Street sentiment remains constructive but mixed, with a consensus rating of “Moderate Buy” and a target price of $449.16; several firms raised price targets after earnings, though insider sales and the stock’s premium valuation may keep some caution in place.

Rockwell Automation, Inc. (NYSE:ROK - Free Report) - Research analysts at Zacks Research raised their Q3 2026 EPS estimates for Rockwell Automation in a note issued to investors on Tuesday, May 19th. Zacks Research analyst Team now forecasts that the industrial products company will post earnings of $3.29 per share for the quarter, up from their prior forecast of $3.01. The consensus estimate for Rockwell Automation's current full-year earnings is $13.01 per share. Zacks Research also issued estimates for Rockwell Automation's Q4 2026 earnings at $3.60 EPS, Q1 2027 earnings at $3.03 EPS, Q2 2027 earnings at $3.39 EPS, Q3 2027 earnings at $3.67 EPS, FY2027 earnings at $14.00 EPS, Q1 2028 earnings at $3.65 EPS, Q2 2028 earnings at $3.79 EPS and FY2028 earnings at $16.12 EPS.

Rockwell Automation (NYSE:ROK - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The industrial products company reported $3.30 earnings per share for the quarter, beating analysts' consensus estimates of $2.88 by $0.42. The business had revenue of $2.24 billion during the quarter, compared to analyst estimates of $2.16 billion. Rockwell Automation had a net margin of 12.36% and a return on equity of 37.54%. The company's revenue was up 11.9% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.45 earnings per share. Rockwell Automation has set its FY 2026 guidance at 12.500-13.100 EPS.

A number of other equities analysts have also weighed in on ROK. Barclays boosted their price objective on shares of Rockwell Automation from $400.00 to $480.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. JPMorgan Chase & Co. boosted their price objective on shares of Rockwell Automation from $404.00 to $417.00 and gave the company a "neutral" rating in a research report on Wednesday, May 6th. Robert W. Baird cut their price objective on shares of Rockwell Automation from $435.00 to $410.00 and set an "outperform" rating for the company in a research report on Monday, March 30th. Morgan Stanley restated an "overweight" rating and issued a $525.00 target price on shares of Rockwell Automation in a report on Wednesday, May 6th. Finally, Evercore boosted their target price on shares of Rockwell Automation from $440.00 to $480.00 in a report on Wednesday, May 6th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $449.16.

Rockwell Automation Stock Performance

NYSE:ROK opened at $422.79 on Wednesday. The firm has a 50 day simple moving average of $395.15 and a 200-day simple moving average of $397.09. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.09 and a quick ratio of 0.76. The firm has a market cap of $47.04 billion, a PE ratio of 43.95, a P/E/G ratio of 2.79 and a beta of 1.56. Rockwell Automation has a 1-year low of $298.70 and a 1-year high of $463.48.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. MV Capital Management Inc. acquired a new stake in Rockwell Automation in the fourth quarter valued at $28,000. Manchester Capital Management LLC raised its holdings in Rockwell Automation by 97.5% in the fourth quarter. Manchester Capital Management LLC now owns 79 shares of the industrial products company's stock valued at $31,000 after acquiring an additional 39 shares in the last quarter. Cassaday & Co Wealth Management LLC acquired a new stake in Rockwell Automation in the first quarter valued at $31,000. First Horizon Corp acquired a new stake in shares of Rockwell Automation during the fourth quarter worth $32,000. Finally, BOK Financial Private Wealth Inc. acquired a new stake in shares of Rockwell Automation during the fourth quarter worth $33,000. 75.75% of the stock is owned by institutional investors and hedge funds.

Insider Activity at Rockwell Automation

In other Rockwell Automation news, SVP Matthew W. Fordenwalt sold 600 shares of the business's stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $449.58, for a total transaction of $269,748.00. Following the completion of the sale, the senior vice president directly owned 4,437 shares in the company, valued at $1,994,786.46. The trade was a 11.91% decrease in their ownership of the stock. The transaction was disclosed in a filing 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, SVP Cyril Perducat sold 198 shares of the business's stock in a transaction on Friday, April 10th. The stock was sold at an average price of $395.00, for a total transaction of $78,210.00. Following the transaction, the senior vice president directly owned 6,241 shares in the company, valued at approximately $2,465,195. The trade was a 3.08% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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 sold 59,087 shares of company stock valued at $24,296,483 over the last quarter. Company insiders own 0.76% of the company's stock.

Rockwell Automation Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Monday, May 18th will be paid a dividend of $1.38 per share. This represents a $5.52 annualized dividend and a yield of 1.3%. The ex-dividend date is Monday, May 18th. Rockwell Automation's payout ratio is currently 57.38%.

Key Headlines Impacting Rockwell Automation

Here are the key news stories impacting Rockwell Automation this week:

• Positive Sentiment: Zacks Research lifted earnings forecasts across multiple future periods for Rockwell Automation, including FY2027 EPS to $14.00 from $13.39 and FY2028 EPS to $16.12 from $15.42, signaling confidence in the company’s longer-term profit growth. Rockwell Automation earnings estimate updates
• Positive Sentiment: The analyst also raised near-term estimates for Q3 2026, Q4 2026, Q1 2027, Q2 2027, Q3 2027, Q1 2028, and Q2 2028, reinforcing expectations that Rockwell Automation’s earnings trajectory is improving. Rockwell Automation earnings estimate updates
• Positive Sentiment: Rockwell Automation’s new “State of Smart Manufacturing” report showed 90% of manufacturers now say digital transformation is essential, supporting the company’s core automation and industrial software story. State of Smart Manufacturing report
• Neutral Sentiment: Rockwell Automation remains a premium-valued industrial stock, so while higher estimates are supportive, investors may still watch whether the company can keep delivering earnings growth fast enough to justify the valuation.

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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