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Emerson Electric Co GF Value Rank

: 5 (As of Today)
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Emerson Electric Co has the GF Value Rank of 5.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Specialty Industrial Machinery subindustry, Emerson Electric Co's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 GF Value Rank Distribution

For the Industrial Products industry and Industrials sector, Emerson Electric Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Emerson Electric Co's GF Value Rank falls into.



Emerson Electric Co GF Value Rank Related Terms

Thank you for viewing the detailed overview of Emerson Electric Co's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Emerson Electric Co Business Description

Emerson Electric Co logo
Address
8000 West Florissant Avenue, P.O. Box 4100, St. Louis, MO, USA, 63136
Emerson Electric is a multi-industrial conglomerate that operates under two business platforms: automation solutions and commercial and residential solutions. The latter is further subdivided into two operating segments: climate technologies, which sells HVAC and refrigeration products and services, as well as tools and home products, which sells tools and compressors, among other products and services. Commercial and residential solutions boasts several household brands, including Copeland, InSinkErator, and RIDGID. Automation solutions is most known for its process manufacturing solutions, which consists of measurement instrumentation, as well as valves and actuators, among other products and services. About half of the firm's geographic sales take place in the United States.
Executives
Adefioye Elizabeth officer: Chief People Officer 5 WESTBROOK CORPORATE CENTER WESTCHESTER IL 60154
Train Michael H. officer: See Remarks C/O EMERSON ELECTRIC CO. 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136
Flavin Lisa officer: Sr. VP & CCO 8300 MARYLAND AVENUE ST. LOUIS MO 63105
Krishnan Ram R. officer: Executive Vice Pres & COO C/O EMERSON ELECTRIC CO. 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136
Easter William H Iii director 370 17TH ST STE 2500 DENVER CO 80202
Froedge James officer: Exec. Pres. Comm & Res. Sols. C/O EMERSON ELECTRIC CO, 8000 W. FLORISSANT AVENUE ST. LOUS MO 63136
Qubit Capital Llc director 1251 AVE OF AMERICAS SUITE 934 NEW YORK NY 10020
Blinn Mark A director 5215 N. O'CONNOR BLVD. SUITE 2300 IRVING TX 75039
Craighead Martin S director 2929 ALLEN PARKWAY SUITE 2100 HOUSTON TX 77019
Lee Lori M director 208 S. AKARD ST., ROOM 3025 DALLAS TX 75202
Karsanbhai Surendralal Lanca officer: Exec Pres Auto Sols C/O EMERSON ELECTRIC CO. 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136
Baughman Michael J officer: VP, Acct'g, Contr. & CAO EMERSON ELECTRIC CO. 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136
Flach Gloria A director C/O NORTHROP GRUMMAN CORPORATION 2980 FAIRVIEW PARK DRIVE FALLS CHURCH VA 22042
Button Bell Katherine officer: VP & Chief Marketing Officer 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136
Sharp Robert T officer: Executive Vice President C/O EMERSON ELECTRIC CO. 8000 W. FLORISSANT AVENUE ST. LOUIS MO 63136

Emerson Electric Co Headlines

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