Emerson Electric Co. Q1 2026 Earnings Call Highlights
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4d ago
0mins
Should l Buy EMR?
Source: seekingalpha
- Performance Growth: Emerson Electric reported Q1 2026 free cash flow of $602 million with a 14% margin, slightly exceeding expectations, and anticipates full-year growth of approximately 10% at over 18% margin, indicating strong financial health.
- Order Growth: The company reported a 9% order growth rate, with robust demand in long-cycle projects in North America, India, and the Middle East and Africa, while Test & Measurement grew 11% year-over-year and Ovation surged 20%, reflecting sustained market demand for power.
- Shareholder Return Plan: Management plans to return $10 billion to shareholders through $6 billion in share repurchases and $4 billion in dividends, representing 70% of cumulative cash, demonstrating a strong commitment to shareholder value.
- Outlook: Emerson reiterated its 2026 sales growth target of 5.5% and raised its adjusted EPS guidance to $6.40 to $6.55, with Q2 sales growth expected at 3% to 4%, showcasing confidence in future performance.
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Analyst Views on EMR
Wall Street analysts forecast EMR stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for EMR is 150.46 USD with a low forecast of 125.00 USD and a high forecast of 170.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
7 Buy
6 Hold
1 Sell
Moderate Buy
Current: 150.940
Low
125.00
Averages
150.46
High
170.00
Current: 150.940
Low
125.00
Averages
150.46
High
170.00
About EMR
Emerson Electric Co. is a global technology and software company that provides solutions for customers in a wide range of end markets around the world. The Company operates through seven segments under two business groups, such as Intelligent Devices and Software and Control. Its Intelligent Devices business includes Final Control, Measurement & Analytical, Discrete Automation, and Safety & Productivity. Software and Control business includes Control Systems & Software, Test & Measurement, and AspenTech. Its Final Control segment is a global provider of control valves, isolation valves, shutoff valves, pressure relief valves, pressure safety valves, actuators, and regulators for process and hybrid industries. Its Measurement & Analytical segment is a supplier of intelligent instrumentation measuring the physical properties of liquids or gases. AspenTech segment provides asset optimization software that enables industrial manufacturers to design, operate and maintain their operations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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