Emerson Electric (NYSE:EMR) Sets New 1-Year High After Better-Than-Expected Earnings

Emerson Electric Co. (NYSE:EMR)’s stock price hit a new 52-week high during mid-day trading on Thursday following a better than expected earnings announcement. The stock traded as high as $115.33 and last traded at $114.88, with a volume of 449872 shares changing hands. The stock had previously closed at $112.65.

The industrial products company reported $1.36 earnings per share for the quarter, beating analysts’ consensus estimates of $1.25 by $0.11. The firm had revenue of $4.38 billion for the quarter, compared to analyst estimates of $4.29 billion. Emerson Electric had a net margin of 69.33% and a return on equity of 11.59%. The company’s revenue for the quarter was up 16.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.09 EPS.

Emerson Electric Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, June 10th. Stockholders of record on Friday, May 17th will be paid a $0.525 dividend. This represents a $2.10 annualized dividend and a dividend yield of 1.83%. Emerson Electric’s dividend payout ratio is presently 10.94%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on EMR. Robert W. Baird reduced their price objective on shares of Emerson Electric from $120.00 to $116.00 and set a “neutral” rating for the company in a research note on Thursday. KeyCorp lifted their price objective on shares of Emerson Electric from $120.00 to $125.00 and gave the stock an “overweight” rating in a research note on Thursday, February 8th. Citigroup lifted their price target on shares of Emerson Electric from $120.00 to $133.00 and gave the stock a “buy” rating in a research note on Monday, April 8th. Deutsche Bank Aktiengesellschaft upgraded shares of Emerson Electric from a “hold” rating to a “buy” rating and lifted their price objective for the company from $123.00 to $138.00 in a report on Thursday. Finally, Mizuho lifted their price objective on shares of Emerson Electric from $130.00 to $135.00 and gave the stock a “buy” rating in a research report on Thursday. Four equities research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the stock. According to MarketBeat, Emerson Electric currently has a consensus rating of “Moderate Buy” and a consensus target price of $119.41.

Insider Activity at Emerson Electric

In other Emerson Electric news, Director Mark A. Blinn sold 2,413 shares of the stock in a transaction on Friday, February 9th. The shares were sold at an average price of $103.18, for a total value of $248,973.34. Following the completion of the sale, the director now owns 9,591 shares in the company, valued at $989,599.38. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. 0.25% of the stock is owned by insiders.

Institutional Trading of Emerson Electric

Hedge funds and other institutional investors have recently modified their holdings of the stock. Mackenzie Financial Corp lifted its stake in Emerson Electric by 3.0% during the 3rd quarter. Mackenzie Financial Corp now owns 51,474 shares of the industrial products company’s stock valued at $4,882,000 after acquiring an additional 1,504 shares in the last quarter. Chicago Partners Investment Group LLC boosted its position in Emerson Electric by 3.2% in the third quarter. Chicago Partners Investment Group LLC now owns 7,660 shares of the industrial products company’s stock worth $691,000 after purchasing an additional 241 shares during the last quarter. Advisor Partners II LLC raised its stake in shares of Emerson Electric by 7.7% during the 3rd quarter. Advisor Partners II LLC now owns 27,945 shares of the industrial products company’s stock worth $2,699,000 after purchasing an additional 2,008 shares during the period. Gratus Capital LLC raised its position in Emerson Electric by 17.9% in the third quarter. Gratus Capital LLC now owns 11,445 shares of the industrial products company’s stock worth $1,105,000 after acquiring an additional 1,740 shares during the period. Finally, SeaBridge Investment Advisors LLC purchased a new position in Emerson Electric in the third quarter valued at approximately $425,000. Institutional investors own 74.30% of the company’s stock.

Emerson Electric Stock Performance

The firm has a market capitalization of $65.57 billion, a PE ratio of 5.87, a P/E/G ratio of 1.84 and a beta of 1.36. The company has a debt-to-equity ratio of 0.29, a current ratio of 1.12 and a quick ratio of 0.80. The company’s fifty day simple moving average is $110.61 and its 200 day simple moving average is $99.95.

About Emerson Electric

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.