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Emerson Electric's Q1 adjusted EPS beats expectations on automation demand

ReutersFeb 3, 2026 9:14 PM


Overview

  • Automation leader's fiscal Q1 net sales grew 4% yr/yr, meeting analyst expectations

  • Adjusted EPS for fiscal Q1 beat analyst expectations

  • Company projects fiscal 2026 net sales growth of ~5.5%


Outlook

  • Emerson expects fiscal 2026 net sales growth of 5.5%

  • Company projects fiscal 2026 adjusted EPS between $6.40 and $6.55

  • Emerson anticipates fiscal 2026 free cash flow of $3.5 bln to $3.6 bln


Result Drivers

  • AUTOMATION DEMAND - Strong demand for automation technology, especially in North America, India, and the Middle East & Africa, drove sales growth

  • INNOVATION AND NEW PRODUCTS - Emerson is accelerating innovation and introducing new products to enhance its software-defined automation capabilities


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q1 Sales

Meet

$4.35 bln

$4.35 bln (18 Analysts)

Q1 Adjusted EPS

Beat

$1.46

$1.41 (19 Analysts)

Q1 EPS

$1.07

Q1 Net Earnings

$605 mln

Q1 Operating Cash Flow

$699 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 21 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the electrical components & equipment peer group is "buy"

  • Wall Street's median 12-month price target for Emerson Electric Co is $154.50, about 3.9% above its February 2 closing price of $148.63

  • The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release: ID:nPnbHt6RHa

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