Emerson Electric Co.

NYSE:EMR Stock Report

Market Cap: US$83.9b

Emerson Electric Valuation

Is EMR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of EMR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: EMR ($147.67) is trading below our estimate of future cash flow value ($222.12)

Significantly Below Future Cash Flow Value: EMR is trading below future cash flow value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for EMR?

Key metric: As EMR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for EMR. This is calculated by dividing EMR's market cap by their current earnings.
What is EMR's PE Ratio?
PE Ratio36.3x
EarningsUS$2.29b
Market CapUS$83.86b

Price to Earnings Ratio vs Peers

How does EMR's PE Ratio compare to its peers?

The above table shows the PE ratio for EMR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average48.2x
VRT Vertiv Holdings Co
69.9x21.77%US$69.3b
ETN Eaton
33.8x14.22%US$129.1b
AME AMETEK
34.6x8.61%US$50.6b
ROK Rockwell Automation
54.4x16.73%US$47.3b
EMR Emerson Electric
36.3x11.80%US$83.9b

Price-To-Earnings vs Peers: EMR is good value based on its Price-To-Earnings Ratio (36.3x) compared to the peer average (48.2x).


Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data


Price to Earnings Ratio vs Industry

How does EMR's PE Ratio compare vs other companies in the US Electrical Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
STEM Stem
1.4x-97.29%US$149.09m
HLGN Heliogen
0.3xn/aUS$10.50m
DEWY Dewey Electronics
4.8xn/aUS$2.66m
ADNH Advent Technologies Holdings
2xn/aUS$1.64m
EMR 36.3xIndustry Avg. 32.9xNo. of Companies5PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: EMR is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the US Electrical industry average (31.7x).


Price to Earnings Ratio vs Fair Ratio

What is EMR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EMR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio36.3x
Fair PE Ratio32.2x

Price-To-Earnings vs Fair Ratio: EMR is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the estimated Fair Price-To-Earnings Ratio (32.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst EMR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$147.67
US$155.95
+5.61%
10.08%US$201.00US$111.00n/a27
Jan ’27US$132.72
US$151.21
+13.93%
9.99%US$183.00US$111.00n/a28
Dec ’26US$131.94
US$150.51
+14.07%
9.92%US$183.00US$111.00n/a27
Nov ’26US$139.57
US$150.96
+8.16%
10.31%US$183.00US$111.00n/a26
Oct ’26US$131.19
US$150.96
+15.07%
10.71%US$183.00US$111.00n/a25
Sep ’26US$132.00
US$149.62
+13.35%
11.24%US$183.00US$111.00n/a26
Aug ’26US$141.78
US$145.52
+2.64%
12.27%US$185.00US$105.00n/a27
Jul ’26US$135.51
US$137.56
+1.52%
11.88%US$185.00US$105.00n/a29
Jun ’26US$119.38
US$134.39
+12.58%
10.44%US$166.00US$105.00n/a29
May ’26US$105.81
US$131.32
+24.11%
13.97%US$168.00US$99.00n/a29
Apr ’26US$110.00
US$140.55
+27.77%
10.77%US$168.00US$105.00n/a28
Mar ’26US$121.61
US$141.90
+16.68%
9.81%US$168.00US$111.00n/a28
Feb ’26US$129.95
US$140.15
+7.85%
10.10%US$164.00US$105.00n/a27
Jan ’26US$123.93
US$140.37
+13.27%
10.22%US$160.00US$105.00US$132.7227
Dec ’25US$132.60
US$134.97
+1.78%
9.47%US$155.00US$105.00US$131.9426
Nov ’25US$108.46
US$126.26
+16.41%
9.15%US$153.00US$103.00US$139.5724
Oct ’25US$109.26
US$126.46
+15.75%
8.67%US$153.00US$103.00US$131.1924
Sep ’25US$105.39
US$128.34
+21.78%
7.86%US$153.00US$103.00US$132.0023
Aug ’25US$113.09
US$131.56
+16.33%
6.66%US$153.00US$110.00US$141.7823
Jul ’25US$108.05
US$130.72
+20.98%
5.92%US$140.00US$110.00US$135.5122
Jun ’25US$112.16
US$129.77
+15.70%
6.46%US$140.00US$110.00US$119.3822
May ’25US$106.45
US$124.22
+16.69%
6.69%US$139.00US$105.00US$105.8123
Apr ’25US$113.54
US$120.25
+5.91%
6.78%US$134.00US$95.00US$110.0024
Mar ’25US$108.14
US$117.30
+8.47%
8.42%US$134.00US$95.00US$121.6123
Feb ’25US$93.76
US$109.83
+17.14%
9.35%US$134.00US$88.00US$129.9523
Jan ’25US$97.33
US$107.26
+10.20%
9.25%US$125.00US$88.00US$123.9323
US$155.95
Fair Value
5.3% undervalued intrinsic discount
27
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/01/27 06:11
End of Day Share Price 2026/01/27 00:00
Earnings2025/09/30
Annual Earnings2025/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Emerson Electric Co. is covered by 45 analysts. 22 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David HeasmanAccountability Research Corporation
John EadeArgus Research Company
Michael HalloranBaird