EMR stock: buy or sell?
September 20th, 2019
Emerson Electric Co., a technology and engineering company, provides various solutions to industrial, commercial, and residential markets worldwide.
Should I buy EMR stock?You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Following a trading plan helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
Currently, Emerson Electric stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Emerson Electric stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we collected 15 ratings published for EMR stock in the last month. The general sentiment of these ratings is bullish for EMR stock, with 13 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-8-7||Credit Suisse Group||n/a||Outperform|
|2019-6-5||Credit Suisse Group||n/a||Outperform|
|2019-2-6||Credit Suisse Group||n/a||Outperform|
|2019-1-3||Credit Suisse Group||Neutral||Outperform|
EMR stock analysis
Emerson Electric ended yesterday at $64.95 and decreased a lame -0.34%.
Emerson Electric ended yesterday at $64.95 and decreased a lame -0.34%. For the last 11 days when EMR stock price broke up the SMA200d line, it gained $1.17 (1.83%). EMR shows a short term strength with several rising tops and rising bottoms. In the very short term, on Wednesday it marked a new bottom at $64.02 that should act a support if Emerson Electric starts a trading flat base in the range of $64.02 - $66.21 Trading the long side, we should wait to a new breakout over $66.21 to find the next buy point.
After boosting a superb 5.03% in a week last week, Emerson Electric closed this week at $64.95 and slightly fell a lame -0.92%. Late July EMR collapsed a frightening -8.11% in just one week.
Since last week when EMR stock price broke up the SMA40w line, it gained $2.70 (4.34%). Far behind is the all-time high Emerson Electric marked early October and since then the price is -15.98% below that top.
EMR stock price history
EMR stock historical price chart
EMR stock reached all-time highs on October with a price of $77.30.
EMR stock price target is $75.50How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last 30 days we found 13 price forecasts for Emerson Electric stock:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-8-8||Morgan Stanley||Lowers Target||$84.00||$76.00||-9.5%|
|2019-8-7||Credit Suisse Group||Lowers Target||$74.00||$70.00||-5.4%|
|2019-8-5||Deutsche Bank||Lowers Target||$74.00||$73.00||-1.4%|
|2019-6-5||Credit Suisse Group||Reiterates||$80.00||$74.00||-7.5%|
|2019-2-8||Morgan Stanley||Set Price Target||n/a||$77.00||-|
|2019-2-6||Credit Suisse Group||Reiterates||$70.00||$75.00||7.1%|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter posting its last earnings report on May, Emerson Electric depreciated an awful -5.91%. As soon as we get its actual EPS from the earnings report, we will update this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2018, Emerson Electric annual turnover skyrocketed an amazing 14.05% to $17,408.00 M USD from $15,264.00 marked in 2017. When comparing 2018 vs 2017, improving that, profit margin (that is, the net income divided by revenues) raised a 2.71% to 12.66%. Emerson Electric fiscal year ends in September, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Emerson Electric TTM sales up to were $13,491.00 and income $1,794.00 million USD. When comparing this TTM figures with the last reported annuality, we can review Emerson Electric business evolution since September 2018: Annual turnover up to , compared to lastest yearly report, plunged a chilling -22.50%. Nonetheless, profit margin (net income/revenues) remained steady at 12.66%.
|2013||$24,650 M||-||$2,000 M8.1%||-|
|2014||$24,537 M||-0.46%||$2,147 M8.8%||7.35%|
|2015||$22,304 M||-9.10%||$2,710 M12.2%||26.22%|
|2016||$14,522 M||-34.89%||$1,635 M11.3%||-39.67%|
|2017||$15,264 M||5.11%||$1,518 M9.9%||-7.16%|
|2018||$17,408 M||14.05%||$2,203 M12.7%||45.13%|
|TTM||$13,491 M||-22.50%||$1,794 M13.3%||-18.57%|
Quarterly financial resultsEmerson Electric posted M in revenues for 2019-Q1, a -100.00% decline compared to previous quarter. Reported quarter income marked M with a profit margin of . Profit margin remained stable a 0.00% compared to previous quarter when profit margin was 11.21%. When comparing revenues to same quarter last year, Emerson Electric sales marked a spooky correction and plummed a -100.00%. Looking back to recent quarterly results, Emerson Electric posted 2 positive quarters in a row.
|2017-Q1||$3,570 M||-||$376 M10.5%||-|
|2017-Q2||$4,040 M||13.17%||$407 M10.1%||8.24%|
|2017-Q3||$4,435 M||9.78%||$504 M11.4%||23.83%|
|2017-Q4||$3,816 M||-13.96%||$392 M10.3%||-22.22%|
|2018-Q1||$4,248 M||11.32%||$482 M11.3%||22.96%|
|2018-Q2||$4,456 M||4.90%||$712 M16.0%||47.72%|
|2018-Q3||$4,888 M||9.69%||$617 M12.6%||-13.34%|
|2018-Q4||$4,147 M||-15.16%||$465 M11.2%||-24.64%|
Emerson Electric ownershipWhen you are planning to buy shares of a stock, it's always worth to overview its ownership structure.
Emerson Electric shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.64% of all shares.
In case of Emerson Electric stock, 74.20% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for EMR stock account 0.00%, no big difference from last month.
For a better context understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$40.0 B||$42.7 B||$20.5 B||$2.3 B||$105.0 B|
|Total shares||615.1 M||2,130.0 M||228.4 M||194.1 M||717.4 M|
|Float shares||610.8 M||1,780.0 M||224.9 M||159.1 M||636.3 M|
|- Institutional holdings (%)||74.2%||4.5%||87.7%||99.8%||79.9%|
|- Insider holdings (%)||0.6%||0.0%||0.5%||1.7%||11.4%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, September 20th, 2019|
|Day range||$64.51 - $65.74|
|Average true range||$1.27|
|50d mov avg||$61.94|
|100d mov avg||$63.03|
|200d mov avg||$63.85|
Emerson Electric performancePerformance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. In the following table, we compare Emerson Electric performance to ABB, AMTEK, CommScope, Danaher, General Electric, Honeywell International, International Business Machines, Microsoft and Roper Technologies:
Emerson Electric competitorsWe chose a few stocks to conform a list of Emerson Electric competitors to examine if you are interested in investing in EMR:
- ABB (ABB)
- AMTEK (AME)
- CommScope (COMM)
- Danaher (DHR)
- General Electric (GE)
- Honeywell International (HON)
- International Business Machines (IBM)
- Microsoft (MSFT)
- Roper Technologies (ROP)
Latest EMR stock news
- InvestorPlaceEmerson Electric Earnings: EMR Stock Dips on Revenue Miss, GuidanceMay 7, 2019
- Seeking AlphaEmerson Electric: Looking Very Strong FinanciallyMarch 4, 2019
- Seeking AlphaHere's The Price At Which I'll Start Buying Emerson ElectricDecember 21, 2018
- InvestorPlace3 Big Stock Charts for Thursday: Unum Group, Emerson Electric and American Electric PowerDecember 6, 2018
- Seeking AlphaBuy Emerson Electric Now And Cash In LaterNovember 16, 2018