EMERSON ELECTRIC CO (EMR.DE) Stock Fundamental Analysis
FRA:EMR • US2910111044
127.96 EUR
-0.88 (-0.68%)
Last: Mar 3, 2026, 07:00 PM
Taking everything into account, EMR scores 5 out of 10 in our fundamental rating. EMR was compared to 69 industry peers in the Electrical Equipment industry. While EMR has a great profitability rating, there are some minor concerns on its financial health. EMR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year EMR was profitable.
- In the past year EMR had a positive cash flow from operations.
- EMR had positive earnings in each of the past 5 years.
- In the past 5 years EMR always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 5.51%, EMR is doing good in the industry, outperforming 73.91% of the companies in the same industry.
- EMR's Return On Equity of 11.40% is fine compared to the rest of the industry. EMR outperforms 62.32% of its industry peers.
- EMR has a better Return On Invested Capital (9.17%) than 75.36% 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 9.30%.
- The last Return On Invested Capital (9.17%) for EMR is above the 3 year average (6.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.51% | ||
| ROE | 11.4% | ||
| ROIC | 9.17% |
ROA(3y)13.61%
ROA(5y)11.84%
ROE(3y)28.1%
ROE(5y)27.75%
ROIC(3y)6.24%
ROIC(5y)7.7%
1.3 Margins
- EMR has a better Profit Margin (12.71%) than 86.96% of its industry peers.
- In the last couple of years the Profit Margin of EMR has grown nicely.
- EMR has a better Operating Margin (20.36%) than 95.65% of its industry peers.
- EMR's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 52.75%, EMR belongs to the best of the industry, outperforming 82.61% of the companies in the same industry.
- EMR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.36% | ||
| PM (TTM) | 12.71% | ||
| GM | 52.75% |
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%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EMR is still creating some value.
- The number of shares outstanding for EMR has been reduced compared to 1 year ago.
- Compared to 5 years ago, EMR has less shares outstanding
- EMR has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 4.39 indicates that EMR is not in any danger for bankruptcy at the moment.
- EMR has a better Altman-Z score (4.39) than 79.71% of its industry peers.
- The Debt to FCF ratio of EMR is 5.21, which is a neutral value as it means it would take EMR, 5.21 years of fcf income to pay off all of its debts.
- EMR has a Debt to FCF ratio of 5.21. This is comparable to the rest of the industry: EMR outperforms 59.42% of its industry peers.
- EMR has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
- EMR has a Debt to Equity ratio of 0.37. This is in the better half of the industry: EMR outperforms 63.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 5.21 | ||
| Altman-Z | 4.39 |
ROIC/WACC1.18
WACC7.8%
2.3 Liquidity
- A Current Ratio of 0.84 indicates that EMR may have some problems paying its short term obligations.
- With a Current ratio value of 0.84, EMR is not doing good in the industry: 89.86% of the companies in the same industry are doing better.
- A Quick Ratio of 0.62 indicates that EMR may have some problems paying its short term obligations.
- EMR has a worse Quick ratio (0.62) than 84.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.62 |
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.
- Looking at the last year, EMR shows a small growth in Revenue. The Revenue has grown by 3.62% in the last year.
- Measured over the past years, EMR shows a small growth in Revenue. The Revenue has been growing by 1.43% on average per year.
EPS 1Y (TTM)7.61%
EPS 3Y4.55%
EPS 5Y11.64%
EPS Q2Q%5.8%
Revenue 1Y (TTM)3.62%
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 9.19% yearly.
- The Revenue is expected to grow by 5.48% on average over the next years.
EPS Next Y9.23%
EPS Next 2Y9.55%
EPS Next 3Y9.49%
EPS Next 5Y9.19%
Revenue Next Year4.88%
Revenue Next 2Y5.12%
Revenue Next 3Y5.13%
Revenue Next 5Y5.48%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 24.61, which indicates a rather expensive current valuation of EMR.
- Based on the Price/Earnings ratio, EMR is valued a bit cheaper than 79.71% of the companies in the same industry.
- When comparing the Price/Earnings ratio of EMR to the average of the S&P500 Index (26.83), we can say EMR is valued inline with the index average.
- EMR is valuated rather expensively with a Price/Forward Earnings ratio of 20.79.
- EMR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. EMR is cheaper than 66.67% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.95, EMR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.61 | ||
| Fwd PE | 20.79 |
4.2 Price Multiples
- 60.87% of the companies in the same industry are more expensive than EMR, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of EMR indicates a somewhat cheap valuation: EMR is cheaper than 62.32% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.67 | ||
| EV/EBITDA | 18.55 |
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)2.67
PEG (5Y)2.11
EPS Next 2Y9.55%
EPS Next 3Y9.49%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.45%, EMR has a reasonable but not impressive dividend return.
- EMR's Dividend Yield is rather good when compared to the industry average which is at 0.81. EMR pays more dividend than 81.16% of the companies in the same industry.
- EMR's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
5.2 History
- The dividend of EMR has a limited annual growth rate of 1.02%.
Dividend Growth(5Y)1.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 52.06% of the earnings are spent on dividend by EMR. This is a bit on the high side, but may be sustainable.
- EMR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP52.06%
EPS Next 2Y9.55%
EPS Next 3Y9.49%
FRA:EMR (3/3/2026, 7:00:00 PM)
127.96
-0.88 (-0.68%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)02-03 2026-02-03/amc
Earnings (Next)05-05 2026-05-05/bmo
Inst Owners84.17%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap71.91B
Revenue(TTM)18.19B
Net Income(TTM)2.31B
Analysts76
Price Target144.33 (12.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
Yearly Dividend1.78
Dividend Growth(5Y)1.02%
DP52.06%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.82%
Min EPS beat(2)-0.75%
Max EPS beat(2)2.4%
EPS beat(4)2
Avg EPS beat(4)1.24%
Min EPS beat(4)-0.75%
Max EPS beat(4)3.72%
EPS beat(8)4
Avg EPS beat(8)2.36%
EPS beat(12)7
Avg EPS beat(12)4.59%
EPS beat(16)10
Avg EPS beat(16)4.16%
Revenue beat(2)0
Avg Revenue beat(2)-1.52%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-1.02%
Revenue beat(4)1
Avg Revenue beat(4)-1.22%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)0.09%
Revenue beat(8)3
Avg Revenue beat(8)-1.07%
Revenue beat(12)6
Avg Revenue beat(12)-0.44%
Revenue beat(16)7
Avg Revenue beat(16)-0.67%
PT rev (1m)8.07%
PT rev (3m)10.8%
EPS NQ rev (1m)-1.05%
EPS NQ rev (3m)-0.49%
EPS NY rev (1m)0.04%
EPS NY rev (3m)-0.84%
Revenue NQ rev (1m)-0.77%
Revenue NQ rev (3m)-0.58%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.61 | ||
| Fwd PE | 20.79 | ||
| P/S | 4.63 | ||
| P/FCF | 32.67 | ||
| P/OCF | 27.86 | ||
| P/B | 4.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.55 |
EPS(TTM)5.2
EY4.06%
EPS(NY)6.16
Fwd EY4.81%
FCF(TTM)3.92
FCFY3.06%
OCF(TTM)4.59
OCFY3.59%
SpS27.66
BVpS30.84
TBVpS-10.81
PEG (NY)2.67
PEG (5Y)2.11
Graham Number60.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.51% | ||
| ROE | 11.4% | ||
| ROCE | 11.78% | ||
| ROIC | 9.17% | ||
| ROICexc | 9.72% | ||
| ROICexgc | 126.21% | ||
| OM | 20.36% | ||
| PM (TTM) | 12.71% | ||
| GM | 52.75% | ||
| FCFM | 14.16% |
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-Score6
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 5.21 | ||
| Debt/EBITDA | 1.46 | ||
| Cap/Depr | 29.79% | ||
| Cap/Sales | 2.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.12% | ||
| Profit Quality | 111.42% | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 4.39 |
F-Score6
WACC7.8%
ROIC/WACC1.18
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 5Y9.19%
Revenue 1Y (TTM)3.62%
Revenue growth 3Y9.28%
Revenue growth 5Y1.43%
Sales Q2Q%4.1%
Revenue Next Year4.88%
Revenue Next 2Y5.12%
Revenue Next 3Y5.13%
Revenue Next 5Y5.48%
EBIT growth 1Y28.36%
EBIT growth 3Y13.73%
EBIT growth 5Y5.42%
EBIT Next Year22.54%
EBIT Next 3Y12.52%
EBIT Next 5Y9.01%
FCF growth 1Y917.79%
FCF growth 3Y3.71%
FCF growth 5Y0.94%
OCF growth 1Y376.34%
OCF growth 3Y1.97%
OCF growth 5Y0.1%
EMERSON ELECTRIC CO / EMR.DE FAQ
Can you provide the ChartMill fundamental rating for EMERSON ELECTRIC CO?
ChartMill assigns a fundamental rating of 5 / 10 to EMR.DE.
Can you provide the valuation status for EMERSON ELECTRIC CO?
ChartMill assigns a valuation rating of 4 / 10 to EMERSON ELECTRIC CO (EMR.DE). This can be considered as Fairly Valued.
How profitable is EMERSON ELECTRIC CO (EMR.DE) stock?
EMERSON ELECTRIC CO (EMR.DE) has a profitability rating of 8 / 10.
What are the PE and PB ratios of EMERSON ELECTRIC CO (EMR.DE) stock?
The Price/Earnings (PE) ratio for EMERSON ELECTRIC CO (EMR.DE) is 24.61 and the Price/Book (PB) ratio is 4.15.
Is the dividend of EMERSON ELECTRIC CO sustainable?
The dividend rating of EMERSON ELECTRIC CO (EMR.DE) is 5 / 10 and the dividend payout ratio is 52.06%.