S&P 500 (NYSE:SPY) component Emerson Electric Co. (NYSE:EMR) will unveil its latest earnings on Tuesday, August 2, 2011. Emerson Electric Co. is a multinational technology company, which designs and supplies product technology. It provides engineering services to a wide gamut of industrial, commercial and consumer markets worldwide.
Emerson Electric Co. Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for net income of 90 cents per share, a rise of 15.4% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 91 cents. Between one and three months ago, the average estimate moved down, but it has been unchanged at 90 cents during the last month. For the year, analysts are projecting profit of $3.27 per share, a rise of 21.6% from last year.
Past Earnings Performance: The company is hoping to beat estimates after missing the mark for two straight quarters. Last quarter, it reported net income of 73 cents per share against an estimate of profit of 75 cents per share. The quarter before that, it missed forecasts by 2 cents.
Wall St. Revenue Expectations: On average, analysts predict $6.39 billion in revenue this quarter, a rise of 13.3% from the year ago quarter. Analysts are forecasting total revenue of $24.52 billion for the year, a rise of 16.5% from last year’s revenue of $21.04 billion.
Analyst Ratings: 10 out of 18 analysts surveyed (55.6%) have a buy rating on Emerson Electric.. This is below the mean analyst rating of 10 competitors, which average 57.7% buy ratings.
The company has now seen net income rise in three straight quarters. In the second quarter, net income rose 37.3% while it rose 12.9% in the first quarter and 48% in the fourth quarter of the last fiscal year.
The company’s revenue has now risen for two straight quarters. In second quarter, revenue increased 13.8% to $5.85 billion from the year earlier quarter. In the first quarter, the figure rose 10.5%.
Competitors to Watch: AMETEK, Inc. (NYSE:AME), Electro-Sensors, Inc. (NASDAQ:ELSE), ESCO Technologies Inc. (NYSE:ESE), Danaher Corporation (NYSE:DHR), Roper Industries, Inc. (NYSE:ROP), Mesa Laboratories, Inc. (NASDAQ:MLAB), Elster Group SE ADR (NYSE:ELT), Honeywell Intl. Inc. (NYSE:HON), Itron, Inc. (NASDAQ:ITRI), and Cognex Corporation (NASDAQ:CGNX).
Stock Price Performance: During May 2, 2011 to July 27, 2011, the stock price had fallen $10 (-16.5%) from $60.43 to $50.43. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 7, 2011 when shares rose for nine-straight days, rising 8.5% (+$4.58) over that span. It saw one of its worst periods between July 7, 2011 and July 18, 2011 when shares fell for eight-straight days, falling 5.7% (-$3.29) over that span. Shares are down $6.06 (-10.7%) year to date.
(Source: Xignite Financials)