Rockwell Automation
Market Cap
US$25.9b
Last Updated
2020/08/07 23:39 UTC
Data Sources
Company Financials +
Executive Summary
Rockwell Automation, Inc. provides industrial automation and digital transformation solutions.
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer with mediocre balance sheet.
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
Stable Share Price: ROK has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.5%
ROK
6.7%
US Electrical
2.5%
US Market
1 Year Return
45.7%
ROK
24.7%
US Electrical
16.3%
US Market
Return vs Industry: ROK exceeded the US Electrical industry which returned 24.2% over the past year.
Return vs Market: ROK exceeded the US Market which returned 15.8% over the past year.
Shareholder returns
| ROK | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.5% | 6.7% | 2.5% |
| 30 Day | 5.4% | 13.8% | 5.6% |
| 90 Day | 16.2% | 24.3% | 16.4% |
| 1 Year | 48.1%45.7% | 27.1%24.7% | 18.8%16.3% |
| 3 Year | 46.7%38.3% | 37.6%30.2% | 45.1%35.7% |
| 5 Year | 114.0%92.5% | 33.1%23.1% | 75.8%56.8% |
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
1 day ago | Simply Wall St
Have Insiders Sold Rockwell Automation, Inc. (NYSE:ROK) Shares Recently?1 week ago | Simply Wall St
Rockwell Automation, Inc. Just Recorded A 147% EPS Beat: Here's What Analysts Are Forecasting Next2 weeks ago | Simply Wall St
Why Rockwell Automation, Inc. (NYSE:ROK) Could Be Worth WatchingValuation
Is Rockwell Automation undervalued compared to its fair value and its price relative to the market?
33.75x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ROK ($223.64) is trading above our estimate of fair value ($165.18)
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 (33.7x) compared to the US Electrical industry average (23.1x).
PE vs Market: ROK is poor value based on its PE Ratio (33.7x) compared to the US market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: ROK is poor value based on its PEG Ratio (7.6x)
Price to Book Ratio
PB vs Industry: ROK is overvalued based on its PB Ratio (33.7x) compared to the US Electrical industry average (2.5x).
Next Steps
Future Growth
How is Rockwell Automation forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
4.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ROK's forecast earnings growth (4.4% per year) is above the savings rate (2.2%).
Earnings vs Market: ROK's earnings (4.4% per year) are forecast to grow slower than the US market (22.9% per year).
High Growth Earnings: ROK's earnings are forecast to grow, but not significantly.
Revenue vs Market: ROK's revenue (5.5% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: ROK's revenue (5.5% 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 (110.4%).
Next Steps
Past Performance
How has Rockwell Automation performed over the past 5 years?
-0.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ROK has high quality earnings.
Growing Profit Margin: ROK's current net profit margins (11.8%) are lower than last year (15.4%).
Past Earnings Growth Analysis
Earnings Trend: ROK's earnings have declined by 0.1% per year over the past 5 years.
Accelerating Growth: ROK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ROK had negative earnings growth (-25.4%) over the past year, making it difficult to compare to the Electrical industry average (-25.4%).
Return on Equity
High ROE: Whilst ROK's Return on Equity (70.48%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is Rockwell Automation's financial position?
Financial Position Analysis
Short Term Liabilities: ROK's short term assets ($2.9B) exceed its short term liabilities ($2.2B).
Long Term Liabilities: ROK's short term assets ($2.9B) do not cover its long term liabilities ($4.0B).
Debt to Equity History and Analysis
Debt Level: ROK's debt to equity ratio (220.1%) is considered high.
Reducing Debt: ROK's debt to equity ratio has increased from 59% to 220.1% over the past 5 years.
Debt Coverage: ROK's debt is well covered by operating cash flow (53%).
Interest Coverage: ROK's interest payments on its debt are well covered by EBIT (12.1x coverage).
Balance Sheet
Next Steps
Dividend
What is Rockwell Automation current dividend yield, its reliability and sustainability?
1.82%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: ROK's dividend (1.82%) is higher than the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: ROK's dividend (1.82%) is low compared to the top 25% of dividend payers in the US market (4.45%).
Stability and Growth of Payments
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 reasonable payout ratio (60.8%), ROK's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ROK's dividends in 3 years are forecast to be well covered by earnings (43.2% payout ratio).
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Management
How experienced are the management team and are they aligned to shareholders interests?
2.4yrs
Average management tenure
CEO
Blake Moret (57 yo)
4.08yrs
Tenure
US$11,710,165
Compensation
Mr. Blake D. Moret has been a Independent Director of PTC Inc. since July 19, 2018. He has been the Chief Executive Officer and President of Rockwell Automation Inc. since July 1, 2016 and its Chairman sin ...
CEO Compensation Analysis
Compensation vs Market: Blake's total compensation ($USD11.71M) is about average for companies of similar size in the US market ($USD11.30M).
Compensation vs Earnings: Blake's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 4.08yrs | US$11.71m | 0.040% $ 10.4m | |
| Senior VP & CFO | 3.5yrs | US$2.93m | 0.0097% $ 2.5m | |
| Senior VP | 0.58yr | US$1.89m | 0.0036% $ 925.9k | |
| Senior Vice President of Control Products & Solutions | no data | US$4.34m | 0.016% $ 4.2m | |
| Senior Vice President | 2.08yrs | US$2.82m | no data | |
| Senior Vice President of Operations & Engineering Services | 0.75yr | no data | 0.0052% $ 1.3m | |
| CTO & Senior VP | 14.92yrs | US$2.24m | 0.030% $ 7.9m | |
| Senior VP for IT & Chief Information Officer | 2.75yrs | no data | 0.0032% $ 827.3k | |
| Head of Investor Relations | no data | no data | no data | |
| Vice President of Global Public Affairs | 0.083yr | no data | no data | |
| Senior Vice President of Global Sales & Marketing | 1.58yrs | no data | 0.0021% $ 552.4k | |
| Senior Vice President of Corporate Development | 3.17yrs | no data | 0.012% $ 3.2m |
2.4yrs
Average Tenure
55.5yo
Average Age
Experienced Management: ROK's management team is considered experienced (2.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 4.08yrs | US$11.71m | 0.040% $ 10.4m | |
| Independent Director | 5.58yrs | US$267.63k | 0.0046% $ 1.2m | |
| Independent Director | 9.58yrs | US$263.00k | 0.0095% $ 2.5m | |
| Lead Independent Director | no data | US$288.22k | 0.0093% $ 2.4m | |
| Independent Director | 9.58yrs | US$252.31k | 0.0095% $ 2.5m | |
| Independent Director | 7.33yrs | US$279.09k | no data | |
| Independent Director | 7.33yrs | US$279.34k | 0.0066% $ 1.7m | |
| Independent Director | 1.17yrs | US$97.84k | 0.0011% $ 280.1k | |
| Independent Director | 4.33yrs | US$255.00k | 0.0035% $ 905.1k | |
| Independent Director | 3.08yrs | US$257.50k | 0.0023% $ 591.3k |
5.6yrs
Average Tenure
60yo
Average Age
Experienced Board: ROK's board of directors are considered experienced (5.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ROK insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
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$25.935b
- Shares outstanding: 115.97m
- 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 |
| RWL | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| ROK * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| RWL | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| R1OK34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 4 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
Rockwell Automation, Inc. provides industrial automation and digital transformation solutions. It operates in two segments, Architecture & Software, and Control Products & Solutions. The Architecture & Sof ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/08/07 23:39 |
| End of Day Share Price | 2020/08/07 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/09/30 |
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.