Emerson Electric CoEMR -1.64%84 Pretax Margin % is 17.38% as of Mar. 2026, which is 13% above its 10-year median of 15.44. 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 3,038 Industrial Products companies, Emerson Electric Co ranks better than 85.91% on this metric.
The historical rank and industry rank for Emerson Electric Co's Pretax Margin % or its related term are showing as below:
EMR'
s Pretax Margin % Range Over the Past 10 Years
Min: 11.55 Med: 15.44 Max: 19.14
Current: 16.91
EMR's Pretax Margin % is ranked better than 85.91% of 3038
companies
in the Industrial Products industry
Industry Median: 5.85
vs EMR: 16.91
Emerson Electric Co (NYSE:EMR) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Emerson Electric Co Pretax Margin % Related Terms
Emerson Electric Co Pretax Margin % Historical Data
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The historical data trend for Emerson Electric Co's Pretax Margin % 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 Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Emerson Electric Co's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Emerson Electric Co's Pretax Margin % 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.
Emerson Electric Co (EMR) has a Pretax Margin % of 17.38% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Emerson Electric Co and its competitors. This is 13% above median its historical median of 15.44. Over the past decade, Emerson Electric Co's Pretax Margin % has ranged from 11.55 to 19.14. According to the industry distribution chart, Emerson Electric Co ranks #428 out of 3038 companies in the Industrial Products industry, placing it in the top 14.1%.
Is Emerson Electric Co's Pretax Margin % too high?
Emerson Electric Co's current Pretax Margin % of 17.38% is 13% above median its 10-year median of 15.44. Over the past 10 years, this metric has ranged from a low of 11.55 to a high of 19.14. The Industrial Products industry median Pretax Margin % is 5.85. Emerson Electric Co's value of 17.38% is 197.1% above this industry median. Based on the distribution chart, Emerson Electric Co ranks #428 out of 3038 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. 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 Pretax Margin % compare to CMI and ITW?
According to the Industrial Products industry distribution chart, Emerson Electric Co ranks #428 out of 3038 companies for Pretax Margin %. This places Emerson Electric Co in the top 14% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.85. Emerson Electric Co's value of 17.38% is 197.1% above this benchmark. Historically, Emerson Electric Co's own Pretax Margin % has ranged from 11.55 to 19.14 over the past decade. While the company's 10-year median is 15.44 vs. the industry median of 5.85, 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 Pretax Margin % for an Industrial Products company?
The median Pretax Margin % among Industrial Products companies is 5.85, based on 3,038 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Emerson Electric Co's current Pretax Margin % of 17.38% is 197.1% 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Emerson Electric Co and its competitors. For the Industrial Products industry, the median Pretax Margin % is 5.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Emerson Electric Co's current Pretax Margin % is 17.38%, which is 13% above median its own 10-year median of 15.44. 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 $142.95 — trading 10.7% above its estimated fair value. The current Pretax Margin % is 17.38%, which is 13% above median its 10-year median of 15.44 and 197.1% above the Industrial Products industry median of 5.85. 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 Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Emerson Electric Co (EMR), the current Pretax Margin % is 17.38% as of Mar. 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 $142.95 is trading 10.7% above its estimated GF Value™ of $129.10.
GuruFocus considers Emerson Electric Co to be Modestly Overvalued.
Key valuation signals for EMR:
Pretax Margin %: 17.38% (13% above median its 10-year median of 15.44)
GF Value™: $129.10 vs. price of $142.95 (10.7% above fair value)
Industry Position: 197.1% above the Industrial Products median (#428 of 3038)
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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