Emerson Electric Balance Sheet Health
Financial Health criteria checks 4/6
Emerson Electric has a total shareholder equity of $26.6B and total debt of $10.9B, which brings its debt-to-equity ratio to 40.9%. Its total assets and total liabilities are $46.5B and $20.0B respectively. Emerson Electric's EBIT is $3.2B making its interest coverage ratio -75.8. It has cash and short-term investments of $2.1B.
Key information
40.9%
Debt to equity ratio
US$10.86b
Debt
Interest coverage ratio | -75.8x |
Cash | US$2.08b |
Equity | US$26.56b |
Total liabilities | US$19.96b |
Total assets | US$46.51b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: EMR's short term assets ($8.7B) exceed its short term liabilities ($7.8B).
Long Term Liabilities: EMR's short term assets ($8.7B) do not cover its long term liabilities ($12.2B).
Debt to Equity History and Analysis
Debt Level: EMR's net debt to equity ratio (33.1%) is considered satisfactory.
Reducing Debt: EMR's debt to equity ratio has reduced from 72% to 40.9% over the past 5 years.
Debt Coverage: EMR's debt is not well covered by operating cash flow (5.8%).
Interest Coverage: EMR earns more interest than it pays, so coverage of interest payments is not a concern.