In a recent update, Mizuho analyst Brett Linzey has revised the price target for Emerson Electric Co. (EMR, Financial), lowering it from $140 to $135, while maintaining an Outperform rating on the stock. This adjustment reflects a broader reduction in estimates for the electrical equipment and multi-industry sectors as companies approach earnings season. The revision is attributed to a slowdown in near-term demand as well as potential impacts from escalating tariffs.
Linzey notes that although Q1 performance checks are generally aligning with expectations, investors' focus has shifted due to recent market developments. The analyst highlights that tariff increases, particularly those affecting Chinese imports, are anticipated to present challenges. While companies are attempting to counteract these by raising prices, Mizuho anticipates that some adverse effects will be difficult to manage fully, resulting in potential losses for businesses.
Overall, the report suggests a cautious outlook for Emerson as it navigates these economic headwinds, despite a generally steady Q1 performance. Investors are advised to remain attentive to how tariff policies might influence the company's financial results in the near future.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 26 analysts, the average target price for Emerson Electric Co (EMR, Financial) is $130.25 with a high estimate of $160.00 and a low estimate of $99.00. The average target implies an upside of 33.11% from the current price of $97.85. More detailed estimate data can be found on the Emerson Electric Co (EMR) Forecast page.
Based on the consensus recommendation from 30 brokerage firms, Emerson Electric Co's (EMR, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Emerson Electric Co (EMR, Financial) in one year is $126.01, suggesting a upside of 28.78% from the current price of $97.85. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Emerson Electric Co (EMR) Summary page.
