EMERSON ELECTRIC CO (EMR) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:EMR • US2910111044

150.94 USD
-6.38 (-4.06%)
At close: Feb 5, 2026
151.02 USD
+0.08 (+0.05%)
After Hours: 2/5/2026, 8:22:07 PM
Fundamental Rating

6

Taking everything into account, EMR scores 6 out of 10 in our fundamental rating. EMR was compared to 91 industry peers in the Electrical Equipment industry. EMR scores excellent on profitability, but there are some minor concerns on its financial health. EMR has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • EMR had positive earnings in the past year.
  • EMR had a positive operating cash flow in the past year.
  • Each year in the past 5 years EMR has been profitable.
  • EMR had a positive operating cash flow in each of the past 5 years.
EMR Yearly Net Income VS EBIT VS OCF VS FCFEMR Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

1.2 Ratios

  • The Return On Assets of EMR (5.46%) is better than 78.02% of its industry peers.
  • With an excellent Return On Equity value of 11.30%, EMR belongs to the best of the industry, outperforming 81.32% of the companies in the same industry.
  • The Return On Invested Capital of EMR (8.77%) is better than 82.42% of its industry peers.
  • EMR had an Average Return On Invested Capital over the past 3 years of 6.24%. This is below the industry average of 9.86%.
  • The 3 year average ROIC (6.24%) for EMR is below the current ROIC(8.77%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 5.46%
ROE 11.3%
ROIC 8.77%
ROA(3y)13.61%
ROA(5y)11.84%
ROE(3y)28.1%
ROE(5y)27.75%
ROIC(3y)6.24%
ROIC(5y)7.7%
EMR Yearly ROA, ROE, ROICEMR Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

1.3 Margins

  • Looking at the Profit Margin, with a value of 12.72%, EMR belongs to the top of the industry, outperforming 86.81% of the companies in the same industry.
  • In the last couple of years the Profit Margin of EMR has grown nicely.
  • With an excellent Operating Margin value of 20.12%, EMR belongs to the best of the industry, outperforming 96.70% of the companies in the same industry.
  • In the last couple of years the Operating Margin of EMR has grown nicely.
  • The Gross Margin of EMR (52.83%) is better than 97.80% of its industry peers.
  • In the last couple of years the Gross Margin of EMR has grown nicely.
Industry RankSector Rank
OM 20.12%
PM (TTM) 12.72%
GM 52.83%
OM growth 3Y4.07%
OM growth 5Y3.94%
PM growth 3Y-18.38%
PM growth 5Y1.69%
GM growth 3Y4.97%
GM growth 5Y4.82%
EMR Yearly Profit, Operating, Gross MarginsEMR Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EMR is creating some value.
  • EMR has less shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, EMR has less shares outstanding
  • The debt/assets ratio for EMR is higher compared to a year ago.
EMR Yearly Shares OutstandingEMR Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M
EMR Yearly Total Debt VS Total AssetsEMR Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.2 Solvency

  • EMR has an Altman-Z score of 4.48. This indicates that EMR is financially healthy and has little risk of bankruptcy at the moment.
  • EMR has a Altman-Z score of 4.48. This is in the better half of the industry: EMR outperforms 72.53% of its industry peers.
  • EMR has a debt to FCF ratio of 4.92. This is a neutral value as EMR would need 4.92 years to pay back of all of its debts.
  • The Debt to FCF ratio of EMR (4.92) is better than 74.73% of its industry peers.
  • A Debt/Equity ratio of 0.41 indicates that EMR is not too dependend on debt financing.
  • EMR has a Debt to Equity ratio of 0.41. This is comparable to the rest of the industry: EMR outperforms 54.95% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.41
Debt/FCF 4.92
Altman-Z 4.48
ROIC/WACC1.08
WACC8.13%
EMR Yearly LT Debt VS Equity VS FCFEMR Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.3 Liquidity

  • EMR has a Current Ratio of 0.88. This is a bad value and indicates that EMR is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.88, EMR is doing worse than 76.92% of the companies in the same industry.
  • A Quick Ratio of 0.65 indicates that EMR may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.65, EMR is doing worse than 75.82% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.88
Quick Ratio 0.65
EMR Yearly Current Assets VS Current LiabilitesEMR Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has been growing slightly by 7.61% over the past year.
  • EMR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.64% yearly.
  • EMR shows a small growth in Revenue. In the last year, the Revenue has grown by 3.00%.
  • EMR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.43% yearly.
EPS 1Y (TTM)7.61%
EPS 3Y4.55%
EPS 5Y11.64%
EPS Q2Q%5.8%
Revenue 1Y (TTM)3%
Revenue growth 3Y9.28%
Revenue growth 5Y1.43%
Sales Q2Q%4.1%

3.2 Future

  • EMR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.59% yearly.
  • Based on estimates for the next years, EMR will show a small growth in Revenue. The Revenue will grow by 5.02% on average per year.
EPS Next Y9.23%
EPS Next 2Y9.55%
EPS Next 3Y9.49%
EPS Next 5Y9.59%
Revenue Next Year4.9%
Revenue Next 2Y5.03%
Revenue Next 3Y5.05%
Revenue Next 5Y5.02%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
EMR Yearly Revenue VS EstimatesEMR Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 5B 10B 15B 20B 25B
EMR Yearly EPS VS EstimatesEMR Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2 4 6 8

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 24.83, the valuation of EMR can be described as rather expensive.
  • Compared to the rest of the industry, the Price/Earnings ratio of EMR indicates a rather cheap valuation: EMR is cheaper than 82.42% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.67, EMR is valued at the same level.
  • With a Price/Forward Earnings ratio of 20.96, EMR is valued on the expensive side.
  • EMR's Price/Forward Earnings ratio is rather cheap when compared to the industry. EMR is cheaper than 81.32% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of EMR to the average of the S&P500 Index (27.20), we can say EMR is valued slightly cheaper.
Industry RankSector Rank
PE 24.83
Fwd PE 20.96
EMR Price Earnings VS Forward Price EarningsEMR Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, EMR is valued cheaply inside the industry as 80.22% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, EMR is valued a bit cheaper than 75.82% of the companies in the same industry.
Industry RankSector Rank
P/FCF 31.8
EV/EBITDA 19.44
EMR Per share dataEMR EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The excellent profitability rating of EMR may justify a higher PE ratio.
PEG (NY)2.69
PEG (5Y)2.13
EPS Next 2Y9.55%
EPS Next 3Y9.49%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • EMR has a Yearly Dividend Yield of 1.46%.
  • EMR's Dividend Yield is rather good when compared to the industry average which is at 0.25. EMR pays more dividend than 95.60% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, EMR has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 1.46%

5.2 History

  • The dividend of EMR has a limited annual growth rate of 1.02%.
  • EMR has paid a dividend for at least 10 years, which is a reliable track record.
  • The dividend of EMR decreased recently.
Dividend Growth(5Y)1.02%
Div Incr Years1
Div Non Decr Years1
EMR Yearly Dividends per shareEMR Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

  • EMR pays out 52.01% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of EMR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP52.01%
EPS Next 2Y9.55%
EPS Next 3Y9.49%
EMR Yearly Income VS Free CF VS DividendEMR Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B
EMR Dividend Payout.EMR Dividend Payout, showing the Payout Ratio.EMR Dividend Payout.PayoutRetained Earnings

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EMERSON ELECTRIC CO

NYSE:EMR (2/5/2026, 8:22:07 PM)

After market: 151.02 +0.08 (+0.05%)

150.94

-6.38 (-4.06%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)02-03
Earnings (Next)05-05
Inst Owners84.17%
Inst Owner Change-2.66%
Ins Owners0.24%
Ins Owner Change1.62%
Market Cap84.80B
Revenue(TTM)18.02B
Net Income(TTM)2.29B
Analysts77.14
Price Target158.07 (4.72%)
Short Float %2.71%
Short Ratio5.71
Dividend
Industry RankSector Rank
Dividend Yield 1.46%
Yearly Dividend2.1
Dividend Growth(5Y)1.02%
DP52.01%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.58%
Min EPS beat(2)-0.75%
Max EPS beat(2)-0.41%
EPS beat(4)2
Avg EPS beat(4)2.33%
Min EPS beat(4)-0.75%
Max EPS beat(4)6.76%
EPS beat(8)4
Avg EPS beat(8)4.05%
EPS beat(12)6
Avg EPS beat(12)3.43%
EPS beat(16)10
Avg EPS beat(16)4.3%
Revenue beat(2)0
Avg Revenue beat(2)-1.98%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-1.94%
Revenue beat(4)1
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-2.32%
Max Revenue beat(4)0.09%
Revenue beat(8)4
Avg Revenue beat(8)-0.44%
Revenue beat(12)6
Avg Revenue beat(12)-0.57%
Revenue beat(16)7
Avg Revenue beat(16)-2.49%
PT rev (1m)2.53%
PT rev (3m)3.48%
EPS NQ rev (1m)-0.29%
EPS NQ rev (3m)-6.04%
EPS NY rev (1m)0.19%
EPS NY rev (3m)-0.88%
Revenue NQ rev (1m)-0.34%
Revenue NQ rev (3m)-2.34%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)-0.59%
Valuation
Industry RankSector Rank
PE 24.83
Fwd PE 20.96
P/S 4.71
P/FCF 31.8
P/OCF 27.37
P/B 4.18
P/tB N/A
EV/EBITDA 19.44
EPS(TTM)6.08
EY4.03%
EPS(NY)7.2
Fwd EY4.77%
FCF(TTM)4.75
FCFY3.15%
OCF(TTM)5.51
OCFY3.65%
SpS32.07
BVpS36.1
TBVpS-13.12
PEG (NY)2.69
PEG (5Y)2.13
Graham Number70.28
Profitability
Industry RankSector Rank
ROA 5.46%
ROE 11.3%
ROCE 11.27%
ROIC 8.77%
ROICexc 9.21%
ROICexgc 94.95%
OM 20.12%
PM (TTM) 12.72%
GM 52.83%
FCFM 14.8%
ROA(3y)13.61%
ROA(5y)11.84%
ROE(3y)28.1%
ROE(5y)27.75%
ROIC(3y)6.24%
ROIC(5y)7.7%
ROICexc(3y)7.06%
ROICexc(5y)8.66%
ROICexgc(3y)31.49%
ROICexgc(5y)33.53%
ROCE(3y)8.44%
ROCE(5y)10.31%
ROICexgc growth 3Y8.99%
ROICexgc growth 5Y-0.31%
ROICexc growth 3Y5.37%
ROICexc growth 5Y-11.37%
OM growth 3Y4.07%
OM growth 5Y3.94%
PM growth 3Y-18.38%
PM growth 5Y1.69%
GM growth 3Y4.97%
GM growth 5Y4.82%
F-Score7
Asset Turnover0.43
Health
Industry RankSector Rank
Debt/Equity 0.41
Debt/FCF 4.92
Debt/EBITDA 1.62
Cap/Depr 28.39%
Cap/Sales 2.39%
Interest Coverage 16.4
Cash Conversion 60.25%
Profit Quality 116.36%
Current Ratio 0.88
Quick Ratio 0.65
Altman-Z 4.48
F-Score7
WACC8.13%
ROIC/WACC1.08
Cap/Depr(3y)29.25%
Cap/Depr(5y)39.76%
Cap/Sales(3y)2.39%
Cap/Sales(5y)2.84%
Profit Quality(3y)88.8%
Profit Quality(5y)94.08%
High Growth Momentum
Growth
EPS 1Y (TTM)7.61%
EPS 3Y4.55%
EPS 5Y11.64%
EPS Q2Q%5.8%
EPS Next Y9.23%
EPS Next 2Y9.55%
EPS Next 3Y9.49%
EPS Next 5Y9.59%
Revenue 1Y (TTM)3%
Revenue growth 3Y9.28%
Revenue growth 5Y1.43%
Sales Q2Q%4.1%
Revenue Next Year4.9%
Revenue Next 2Y5.03%
Revenue Next 3Y5.05%
Revenue Next 5Y5.02%
EBIT growth 1Y47.38%
EBIT growth 3Y13.73%
EBIT growth 5Y5.42%
EBIT Next Year22.72%
EBIT Next 3Y12.36%
EBIT Next 5Y7.53%
FCF growth 1Y-8.44%
FCF growth 3Y3.71%
FCF growth 5Y0.94%
OCF growth 1Y-7.02%
OCF growth 3Y1.97%
OCF growth 5Y0.1%

EMERSON ELECTRIC CO / EMR FAQ

Can you provide the ChartMill fundamental rating for EMERSON ELECTRIC CO?

ChartMill assigns a fundamental rating of 6 / 10 to EMR.


Can you provide the valuation status for EMERSON ELECTRIC CO?

ChartMill assigns a valuation rating of 5 / 10 to EMERSON ELECTRIC CO (EMR). This can be considered as Fairly Valued.


How profitable is EMERSON ELECTRIC CO (EMR) stock?

EMERSON ELECTRIC CO (EMR) has a profitability rating of 9 / 10.


What are the PE and PB ratios of EMERSON ELECTRIC CO (EMR) stock?

The Price/Earnings (PE) ratio for EMERSON ELECTRIC CO (EMR) is 24.83 and the Price/Book (PB) ratio is 4.18.


Is the dividend of EMERSON ELECTRIC CO sustainable?

The dividend rating of EMERSON ELECTRIC CO (EMR) is 5 / 10 and the dividend payout ratio is 52.01%.