Emerson Electric Balance Sheet Health
Financial Health criteria checks 4/6
Emerson Electric has a total shareholder equity of $26.8B and total debt of $10.8B, which brings its debt-to-equity ratio to 40.2%. Its total assets and total liabilities are $46.4B and $19.7B respectively. Emerson Electric's EBIT is $3.4B making its interest coverage ratio -48.9. It has cash and short-term investments of $2.3B.
Key information
40.2%
Debt to equity ratio
US$10.77b
Debt
Interest coverage ratio | -48.9x |
Cash | US$2.32b |
Equity | US$26.78b |
Total liabilities | US$19.66b |
Total assets | US$46.44b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: EMR's short term assets ($9.0B) exceed its short term liabilities ($7.7B).
Long Term Liabilities: EMR's short term assets ($9.0B) do not cover its long term liabilities ($12.0B).
Debt to Equity History and Analysis
Debt Level: EMR's net debt to equity ratio (31.6%) is considered satisfactory.
Reducing Debt: EMR's debt to equity ratio has reduced from 73.9% to 40.2% over the past 5 years.
Debt Coverage: EMR's debt is not well covered by operating cash flow (12.2%).
Interest Coverage: EMR earns more interest than it pays, so coverage of interest payments is not a concern.