Rockwell Automation
Market Cap
US$20.1b
Last Updated
2019/10/21 23:42 UTC
Data Sources
Company Financials +
Executive Summary
Rockwell Automation, Inc. provides industrial automation and information solutions worldwide.
Snowflake
Fundamentals
Established dividend payer with proven track record.
Similar Companies
Share Price & News
How has Rockwell Automation's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
4.6%
ROK
1.9%
US Electrical
0.5%
US Market
1 Year Return
5.1%
ROK
3.8%
US Electrical
6.8%
US Market
Return vs Industry: ROK matched the US Electrical industry which returned 3.8% over the past year.
Return vs Market: ROK underperformed the US Market which returned 6.8% over the past year.
Shareholder returns
| ROK | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.6% | 1.9% | 0.5% |
| 30 Day | 5.9% | 0.9% | -0.8% |
| 90 Day | 2.9% | 2.4% | -0.9% |
| 1 Year | 7.6%5.1% | 6.1%3.8% | 9.2%6.8% |
| 3 Year | 52.7%43.4% | 41.7%33.3% | 45.6%36.2% |
| 5 Year | 77.8%59.0% | 37.2%23.4% | 63.2%45.4% |
Price Volatility Vs. Market
How volatile is Rockwell Automation's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 months ago | Simply Wall St
Despite Its High P/E Ratio, Is Rockwell Automation, Inc. (NYSE:ROK) Still Undervalued?10 months ago | Simply Wall St
Should You Be Impressed By Rockwell Automation, Inc.'s (NYSE:ROK) ROE?1 year ago | Simply Wall St
Rockwell Automation Inc (NYSE:ROK): Assessing Capital ReturnsValuation
Is Rockwell Automation undervalued compared to its fair value and its price relative to the market?
19.91x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ROK ($171.62) is trading above our estimate of fair value ($131.76)
Significantly Below Fair Value: ROK is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ROK is poor value based on its PE Ratio (19.9x) compared to the Electrical industry average (14.9x).
PE vs Market: ROK is poor value based on its PE Ratio (19.9x) compared to the US market (17.7x).
Price to Earnings Growth Ratio
PEG Ratio: ROK is poor value based on its PEG Ratio (7.9x)
Price to Book Ratio
PB vs Industry: ROK is overvalued based on its PB Ratio (17.4x) compared to the US Electrical industry average (1.6x).
Next Steps
Future Growth
How is Rockwell Automation forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
2.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ROK's forecast earnings growth (2.5% per year) is below the savings rate (2.7%).
Earnings vs Market: ROK's earnings (2.5% per year) are forecast to grow slower than the US market (14.6% per year).
High Growth Earnings: ROK's earnings are forecast to grow, but not significantly.
Revenue vs Market: ROK's revenue (2.2% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: ROK's revenue (2.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ROK's Return on Equity is forecast to be very high in 3 years time (129.4%).
Next Steps
Past Performance
How has Rockwell Automation performed over the past 5 years?
-3.3%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: ROK's earnings have declined by -3.3% per year over the past 5 years.
Accelerating Growth: ROK's earnings growth over the past year (162.2%) exceeds its 5-year average (-3.3% per year).
Earnings vs Industry: ROK earnings growth over the past year (162.2%) exceeded the Electrical industry 16.3%.
Return on Equity
High ROE: Whilst ROK's Return on Equity (89.37%) is outstanding, this metric is skewed due to their high level of debt.
Return on Assets
ROA vs Industry: ROK has a higher Return on Assets than the Electrical industry average last year.
Return on Capital Employed
ROCE Improving: ROK has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Rockwell Automation's financial position?
Financial Position Analysis
Short Term Liabilities: ROK's short term assets ($2.9B) exceeds its short term liabilities ($2.0B)
Long Term Liabilities: ROK's short term assets (2.9B) do not cover its long term liabilities (3.0B)
Debt to Equity History and Analysis
Debt Level: ROK's debt to equity ratio (193.7%) is considered high
Reducing Debt: ROK's debt to equity ratio has increased from 43.6% to 193.7% over the past 5 years.
Debt Coverage: ROK's debt is well covered by operating cash flow (47.7%).
Interest Coverage: ROK's interest payments on its debt are well covered by EBIT (20.7x coverage).
Balance Sheet
Inventory Level: ROK has a low level of unsold assets or inventory.
Debt Coverage by Assets: ROK's debt is covered by short term assets (assets are 1.314790x debt).
Next Steps
Dividend
What is Rockwell Automation's current dividend yield, its reliability and sustainability?
2.26%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: ROK's dividend (2.26%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: ROK's dividend (2.26%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stable Dividend: ROK's dividends per share have been stable in the past 10 years.
Growing Dividend: ROK's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (44.4%), ROK's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ROK's dividends in 3 years are forecast to be well covered by earnings (48.6% payout ratio).
Next Steps
Management
What is the CEO of Rockwell Automation's salary, the management and board of directors tenure and is there insider trading?
2.7yrs
Average management tenure
CEO
Blake Moret (56yo)
3.3yrs
Tenure
US$9,188,851
Compensation
Mr. Blake D. Moret has been a Director of PTC Inc. since July 19, 2018. He has been the Chief Executive Officer and President of Rockwell Automation Inc. since July 1, 2016 and its Chairman since January 1 ...
CEO Compensation Analysis
Compensation vs. Market: Blake's total compensation ($USD9.19M) is about average for companies of similar size in the US market ($USD11.18M).
Compensation vs Earnings: Blake's compensation has increased by more than 20% in the past year.
Management Age and Tenure
2.7yrs
Average Tenure
56yo
Average Age
Experienced Management: ROK's management team is considered experienced (2.7 years average tenure).
Board Age and Tenure
4.8yrs
Average Tenure
59yo
Average Age
Experienced Board: ROK's board of directors are considered experienced (4.8 years average tenure).
Insider Trading
Insider Buying: ROK insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Shares | 3,250 |
| Max Price | US$163.67 |
| Entity | Individual |
| Shares | 53 |
| Max Price | US$177.22 |
| Entity | Individual |
| Role | Chief Technology Officer CTO & Senior VP |
| Shares | 7,500 |
| Max Price | US$179.43 |
| Entity | Individual |
| Role | Senior Key Executive Senior VP and Head of Control Products & Solutions segment |
| Shares | 1,231 |
| Max Price | US$177.70 |
| Entity | Individual |
| Role | Senior Key Executive Senior VP and Head of Control Products & Solutions segment |
| Shares | 2,750 |
| Max Price | US$172.84 |
Ownership Breakdown
Management Team
Jessica Kourakos
Head of Investor Relations
- Tenure: 0yrs
Sujeet Chand (61yo)
CTO & Senior VP
- Tenure: 14.1yrs
- Compensation: US$2.24m
Blake Moret (56yo)
Chairman
- Tenure: 3.3yrs
- Compensation: US$9.19m
Frank Kulaszewicz (55yo)
Senior VP and Head of Control Products & Solutions segment
- Tenure: 0yrs
- Compensation: US$3.04m
Thomas Donato
Senior Vice President
- Tenure: 0.8yrs
Patrick Goris (47yo)
Senior VP & CFO
- Tenure: 2.7yrs
- Compensation: US$2.49m
Becky House (46yo)
Senior VP
- Tenure: 2.8yrs
Chris Nardecchia (57yo)
Senior VP for IT & Chief Information Officer
- Tenure: 1.9yrs
Bruce Quinn
Vice President Public Affairs
- Tenure: 0yrs
Mike Laszkiewicz (58yo)
Senior Vice President of Operations & Engineering Services
- Tenure: 1.3yrs
Board Members
Lisa Payne (60yo)
Independent Director
- Tenure: 4.8yrs
- Compensation: US$263.27k
Jim Keane (60yo)
Independent Director
- Tenure: 8.8yrs
- Compensation: US$265.19k
Don Parfet (66yo)
Lead Director
- Tenure: 0yrs
- Compensation: US$284.53k
Steve Kalmanson (67yo)
Independent Director
- Tenure: 8.8yrs
- Compensation: US$241.83k
J. Holloman (64yo)
Independent Director
- Tenure: 6.5yrs
- Compensation: US$265.63k
Larry Kingsley (56yo)
Independent Director
- Tenure: 6.5yrs
- Compensation: US$253.19k
Pam Murphy (46yo)
Director
- Tenure: 0.3yrs
Blake Moret (56yo)
Chairman
- Tenure: 3.3yrs
- Compensation: US$9.19m
Tom Rosamilia (58yo)
Independent Director
- Tenure: 3.5yrs
- Compensation: US$242.50k
Patty Watson (53yo)
Independent Director
- Tenure: 2.3yrs
- Compensation: US$246.50k
Company Information
Rockwell Automation, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Rockwell Automation, Inc.
- Ticker: ROK
- Exchange: NYSE
- Founded: 1903
- Industry: Electrical Components and Equipment
- Sector: Capital Goods
- Market Cap: US$20.081b
- Shares outstanding: 117.01m
- Website: https://www.rockwellautomation.com
Number of Employees
Location
- Rockwell Automation, Inc.
- 1201 South 2nd Street
- Milwaukee
- Wisconsin
- 53204
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ROK | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| 0KXA | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| RWL | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| ROK * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
Biography
Rockwell Automation, Inc. provides industrial automation and information solutions worldwide. It operates in two segments, Architecture & Software; and Control Products & Solutions. The Architecture & Soft ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/21 23:42 |
| End of Day Share Price | 2019/10/21 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/09/30 |
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 here.