Emerson Electric CoEMR -1.78%84 PEG Ratio is 2.06 as of Jun. 26, 2026, which is 58% below its 10-year median of 4.88. GuruFocus rates EMR with a GF Score™ of 84/100 and a GF Value™ of $129.10 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 1,286 Industrial Products companies, Emerson Electric Co ranks worse than 54.35% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for Emerson Electric Co's PEG Ratio or its related term are showing as below:
EMR'
s PEG Ratio Range Over the Past 10 Years
Min: 1.53 Med: 4.88 Max: 32.49
Current: 2.06
During the past 13 years, Emerson Electric Co's highest PEG Ratio was 32.49. The lowest was 1.53. And the median was 4.88.
EMR's PEG Ratio is ranked worse than 54.35% of 1286
companies
in the Industrial Products industry
Industry Median: 1.87
vs EMR: 2.06
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Emerson Electric Co (NYSE:EMR) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Emerson Electric Co PEG Ratio Related Terms
Emerson Electric Co PEG Ratio Historical Data
* Premium members only.
The historical data trend for Emerson Electric Co's PEG Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Specialty Industrial Machinery subindustry, Emerson Electric Co's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Emerson Electric Co PEG Ratio vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Emerson Electric Co's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Emerson Electric Co's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Emerson Electric Co (EMR) has a PEG Ratio of 2.06 as of Jun. 26, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Emerson Electric Co and its competitors. This is 58% below median its historical median of 4.88. Over the past decade, Emerson Electric Co's PEG Ratio has ranged from 1.53 to 32.49. According to the industry distribution chart, Emerson Electric Co ranks #699 out of 1286 companies in the Industrial Products industry, placing it in the top 54.4%.
Is Emerson Electric Co's PEG Ratio too high?
Emerson Electric Co's current PEG Ratio of 2.06 is 58% below median its 10-year median of 4.88. Over the past 10 years, this metric has ranged from a low of 1.53 to a high of 32.49. The Industrial Products industry median PEG Ratio is 1.87. Emerson Electric Co's value of 2.06 is 10.2% above this industry median. Based on the distribution chart, Emerson Electric Co ranks #699 out of 1286 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Emerson Electric Co has a GF Score™ of 84/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Emerson Electric Co's PEG Ratio compare to CMI and ITW?
According to the Industrial Products industry distribution chart, Emerson Electric Co ranks #699 out of 1286 companies for PEG Ratio. This places Emerson Electric Co in the lower half of its industry. The industry median PEG Ratio is 1.87. Emerson Electric Co's value of 2.06 is 10.2% above this benchmark. Historically, Emerson Electric Co's own PEG Ratio has ranged from 1.53 to 32.49 over the past decade. While the company's 10-year median is 4.88 vs. the industry median of 1.87, Emerson Electric Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for an Industrial Products company?
The median PEG Ratio among Industrial Products companies is 1.87, based on 1,286 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Emerson Electric Co's current PEG Ratio of 2.06 is 10.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Emerson Electric Co and its competitors. For the Industrial Products industry, the median PEG Ratio is 1.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Emerson Electric Co's current PEG Ratio is 2.06, which is 58% below median its own 10-year median of 4.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Emerson Electric Co stock overvalued right now?
Based on GuruFocus' analysis, Emerson Electric Co (EMR) is currently considered Modestly Overvalued. The stock's GF Value™ is $129.10, compared to a current price of $142.76 — trading 10.6% above its estimated fair value. The current PEG Ratio is 2.06, which is 58% below median its 10-year median of 4.88 and 10.2% above the Industrial Products industry median of 1.87. Emerson Electric Co's overall GF Score™ is 84/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Emerson Electric Co (EMR), the current PEG Ratio is 2.06 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Emerson Electric Co (EMR) Overvalued in 2026?
Based on GuruFocus' analysis, Emerson Electric Co stock appears to be overvalued.
The current stock price of $142.76 is trading 10.6% above its estimated GF Value™ of $129.10.
GuruFocus considers Emerson Electric Co to be Modestly Overvalued.
Key valuation signals for EMR:
PEG Ratio: 2.06 (58% below median its 10-year median of 4.88)
GF Value™: $129.10 vs. price of $142.76 (10.6% above fair value)
Industry Position: 10.2% above the Industrial Products median (#699 of 1286)
No single metric tells the full story. See the EMR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1890 as the first manufacturer of electric fans in North America, Emerson Electric has become a leading industrial automation player through the acquisition of established brands. Emerson organizes its business into seven segments that sell a wide range of automation software, power tools, and automation hardware such as valves, gauges, and switches. In recent years, Emerson divested its climate technology and consumer businesses to become more of a pure-play industrial automation company. The automation of a factory is an enticing long-term proposition for manufacturers, helping reduce accident rates and raise uptime and productivity.
84GF Score
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