Track market-moving stories before they get noisy

Bank OZK purchased a new position in shares of Emerson Electric Co. (NYSE:EMR – Free Report) during the second quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 4,180 shares of the industrial products company’s stock, valued at approximately $598,000.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in shares of Emerson Electric in the second quarter worth $6,193,425,000. Bank of America Corp DE bought a new stake in shares of Emerson Electric in the 2nd quarter worth about $2,629,146,000. Norges Bank acquired a new position in shares of Emerson Electric in the 4th quarter worth approximately $1,050,040,000. Bank of New York Mellon Corp bought a new stake in shares of Emerson Electric during the second quarter worth $659,000,000. Finally, Legal & General Group Plc acquired a new position in shares of Emerson Electric during the second quarter worth approximately $613,846,000. 74.30% of the stock is owned by institutional investors.

Analyst Ratings Changes Several equities research analysts have recently commented on the stock. BNP Paribas Exane lifted their price target on shares of Emerson Electric from $180.00 to $185.00 in a research report on Thursday, August 6th. JPMorgan Chase & Co. upgraded shares of Emerson Electric from a “neutral” rating to an “overweight” rating and set a $157.00 price target for the company in a report on Friday, July 17th. Wall Street Zen upgraded Emerson Electric from a “hold” rating to a “buy” rating in a report on Saturday, August 8th. Stephens upped their price objective on Emerson Electric from $155.00 to $160.00 in a research note on Thursday, August 6th. Finally, Daiwa Securities Group reduced their price target on Emerson Electric from $177.00 to $156.00 and set an “outperform” rating for the company in a report on Friday, May 15th. Thirteen equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Emerson Electric presently has a consensus rating of “Moderate Buy” and a consensus target price of $167.39.

View Our Latest Analysis on Emerson Electric Emerson Electric Trading Down 0.4% Shares of NYSE:EMR opened at $157.58 on Friday. The company has a market capitalization of $88.26 billion, a P/E ratio of 34.48, a P/E/G ratio of 2.35 and a beta of 1.24. The business’s 50 day simple moving average is $148.70 and its 200 day simple moving average is $143.49. Emerson Electric Co. has a 1 year low of $122.64 and a 1 year high of $166.35. The company has a debt-to-equity ratio of 0.37, a current ratio of 0.90 and a quick ratio of 0.66.

Emerson Electric (NYSE:EMR – Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $1.71 earnings per share for the quarter, topping the consensus estimate of $1.68 by $0.03. Emerson Electric had a net margin of 13.83% and a return on equity of 17.58%. The business had revenue of $4.87 billion during the quarter, compared to analysts’ expectations of $4.80 billion. During the same quarter in the prior year, the business posted $1.52 earnings per share. Emerson Electric’s revenue was up .0% compared to the same quarter last year. Emerson Electric has set its FY 2026 guidance at 6.550-6.550 EPS and its Q4 2026 guidance at 1.850-1.850 EPS. On average, research analysts anticipate that Emerson Electric Co. will post 6.56 EPS for the current fiscal year.

Emerson Electric Announces Dividend The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Friday, August 14th will be given a dividend of $0.555 per share. This represents a $2.22 annualized dividend and a dividend yield of 1.4%. The ex-dividend date is Friday, August 14th. Emerson Electric’s dividend payout ratio is currently 48.58%.

Insider Buying and Selling at Emerson Electric In other news, CEO Surendralal Lanca Karsanbhai sold 9,650 shares of the firm’s stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $161.91, for a total value of $1,562,431.50. Following the sale, the chief executive officer directly owned 271,743 shares in the company, valued at approximately $43,997,909.13. This trade represents a 3.43% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.23% of the company’s stock.

(Free Report)

Emerson Electric Co is a global technology and engineering company that designs and manufactures products and provides services for industrial, commercial and consumer markets. Founded in 1890, the company is headquartered in St. Louis, Missouri, and has built a long-standing presence in automation, control and climate-related technologies. Emerson’s offerings are aimed at improving productivity, energy efficiency and reliability for a wide range of end markets.

Emerson operates through two principal platforms—Automation Solutions and Commercial & Residential Solutions—providing process automation systems, measurement and analytical instrumentation, valves and actuators, control software, and related aftermarket services, alongside products for heating, ventilation and refrigeration, residential and commercial climate controls, tools and storage solutions.

Recommended Stories Five stocks we like better than Emerson Electric Nutanix’s Rally Has a Bigger Story Than Earnings as AMD’s AI Bet Takes Shape SEC Probe Puts Wall Street Leverage Risk Back in Focus A Bearish-Dollar Options Surge Raises the Stakes for Warsh at Jackson Hole Five Below’s Turnaround Is Working—But Has the Stock Run Too Far?

Receive News & Ratings for Emerson Electric Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Emerson Electric and related companies with MarketBeat.com's FREE daily email newsletter.

Broad measurement portfolio to enhance reliable and efficient operations across global energy assets

Emerson and Equinor will collaborate to advance technology innovation and digital operations across Equinor's global onshore and offshore assets. Emerson's broad measurement portfolio will support Equinor's operational objectives to accelerate development, extend field life, improve recovery and advance standardized operations. Thirteen-year frame agreement, including options, for measurement innovation builds on the companies' existing automation programs designed to optimize operations, helping Equinor deliver value and meet Europe's energy demands. , /PRNewswire/ -- Global automation leader Emerson (NYSE: EMR) today announced a new strategic collaboration focused on delivering measurement instrumentation technologies and services across Equinor's global offshore and onshore operations. The collaboration reinforces both companies' commitment to applying advanced automation technologies to improve operational performance and deliver value across global energy infrastructure.

As part of the agreement, Emerson will provide its broad portfolio of measurement instrumentation and analytical technologies as well as lifecycle services to help Equinor accelerate development, extend field life, improve recovery and advance standardized operations.

The agreement builds on the companies' existing digitalization initiatives while strengthening their long-standing collaboration to drive sustained operational excellence. Equinor has cooperated with Emerson for over 40 years using a vast array of its automation technologies including subsea multiphase flow meters, downhole monitoring systems, valves, emissions management systems, control systems, asset management systems and safety, pressure and temperature measurement instrumentation.

"Emerson has been a trusted technology supplier to Equinor for more than four decades, and this collaboration reinforces our shared commitment to operational excellence and innovation," said Slawomir Suchomski, Emerson president of Europe. "We're proud to deepen our collaboration with Equinor and support the company's Norwegian Continental Shelf (NCS) 2035 initiatives. Through our measurement instrumentation technologies, we'll help optimize production, improve reliability and support safe and efficient operations across its global assets."

Media:

Contacts:  Emerson Global Media Contacts Additional resources:

Join the Emerson Exchange 365 Community Connect with Emerson via X Facebook LinkedIn YouTube About Emerson 
Emerson (NYSE: EMR) is a global automation leader delivering solutions for the most demanding technology challenges. Headquartered in St. Louis, Missouri, Emerson is engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. For more information, visit Emerson.com. 

SOURCE Emerson

Integrated control and safety systems will support remote operations, improving safety, reliability and production on a normally unattended offshore platform

BP extends collaboration with Emerson to maximize gas recovery and processing efficiency. Integrated control and safety systems provide process control, safety shutdown, fire and gas detection, and power management. Emerson's experience in delivering value across the full project lifecycle reduces complexity, cost and risk for global projects. , /PRNewswire/ -- BP has awarded global automation leader Emerson (NYSE: EMR) a multi-million-dollar contract to deliver automation technologies for the Shah Deniz Compression project off the coast of Azerbaijan.

This builds on a long-standing collaboration between the two companies, with Emerson previously serving as the main automation contractor for the Azeri Central East and Shah Deniz Stage 2 developments. Under the new contract, Emerson will provide integrated control and safety systems to enhance production, safety and reliability on the new offshore compression platform.

The $2.9 billion Shah Deniz Compression project, which includes an electrically powered, normally unattended offshore production platform, represents the next stage in developing the Shah Deniz field in the Caspian Sea. Designed to access low-pressure gas reserves and maximize overall recovery, the platform will be equipped with four 11MW compressors and serve as the central compression hub for gas from the Shah Deniz Alpha and Bravo platforms. The facility will operate remotely from BP's onshore Sangachal terminal, located 55 km south of Baku.

Emerson's integrated solution includes its DeltaV™ Distributed Control System and DeltaV Safety Instrumented System, which provide process control, safety shutdown, fire and gas detection, and power management. Together, these systems deliver real-time visibility and control of critical operations remotely, helping to reduce operating costs, while improving efficiency, safety and platform availability.

Unlike approaches focused solely on upfront capital costs, Emerson optimizes across the full project lifecycle, improving schedule predictability, reducing cost and complexity, and accommodating change when it matters most. Cloud engineering services and digital twin technology bring virtual testing, system integration and operator training together in one connected workflow.

"Emerson has served as the main automation contractor for the Shah Deniz development for over a decade, demonstrating how our proven, end-to-end execution model delivers well beyond the initial build," said Ram Krishnan, chief operating officer of Emerson. "We are pleased to continue our collaboration with BP, deploying advanced systems to enable remote operations and significantly expand the production profile of Shah Deniz."

The project is expected to enable approximately 50 billion cubic meters of additional gas and around 25 million barrels of condensate production and export. Construction is scheduled to be completed in 2029, with first gas compression expected from the Shah Deniz Alpha platform in 2029 and from the Shah Deniz Bravo platform in 2030.

Additional resources:

Join the Emerson Exchange 365 Community  Visit Emerson's Industrial Software Page on LinkedIn Visit Emerson's DeltaV Automation Platform Page on LinkedIn  Connect with Emerson via X Facebook LinkedIn YouTube  About Emerson
Emerson (NYSE: EMR) is a global automation leader delivering solutions for the most demanding technology challenges. Headquartered in St. Louis, Missouri, Emerson is engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. For more information, visit Emerson.com.

SOURCE Emerson

, /PRNewswire/ -- Emerson (NYSE: EMR) today reported results1 for its third quarter ended June 30, 2026 and updated its full year outlook for fiscal 2026. Emerson also declared a quarterly cash dividend of $0.555 per share of common stock payable September 10, 2026 to stockholders of record on August 14, 2026.

(dollars in millions, except per share)     

     2025 Q3     

     2026 Q3     

     Change     

Underlying Orders2

7 %

Net Sales

$4,553

$4,873

7 %

Underlying Sales3

6 %

Pretax Earnings

$734

$916

Margin

16.1 %

18.8 %

270 bps

Adjusted Segment EBITA4

$1,232

$1,387

Margin

27.1 %

28.5 %

140 bps

GAAP Earnings Per Share

$1.03

$1.28

24 %

Adjusted Earnings Per Share5

$1.52

$1.71

13 %

Operating Cash Flow

$1,062

$1,425

34 %

Free Cash Flow

$970

$1,323

36 %

Management Commentary

"Emerson had an outstanding third quarter with sales, margin expansion, earnings and cash flow all exceeding expectations," said Emerson President and Chief Executive Officer Lal Karsanbhai. "Demand was robust, with underlying orders up 7%, led by Software & Systems and broad-based growth in North America and Asia. The conflict in the Middle East remains fluid, and I am proud of our team's ability to deliver results and support our customers around the world."

Karsanbhai continued, "We are raising our full year guidance, reflecting our strong third quarter performance and healthy demand. Secular tailwinds continue to support sustained investment in our growth verticals and provide a solid foundation as we finish 2026 and look ahead to 2027."

2026 Outlook

The following tables summarize the fiscal year 2026 guidance framework. As we pivot capital allocation to returning cash to shareholders, the 2026 outlook assumes returning ~$2.2B through ~$1B share repurchases and ~$1.2B of dividends.

                        Guidance figures are approximate.             

     2026 Q4    

      2026‌     

Net Sales Growth

~5%

~5%

Underlying Sales Growth

~5%

~3.5%

Earnings Per Share

~$1.45

~$4.89

Amortization of intangibles

~$0.34

~$1.39

Restructuring and related costs

~$0.03

~$0.24

Acquisition/divestiture fees and related costs

~$0.01

~$0.09

Discrete taxes

~$0.02

~$0.05

IEEPA tariff refunds

-

~($0.11)

Adjusted Earnings Per Share

~$1.85

~$6.55

Operating Cash Flow

~$4.1B

Free Cash Flow

~$3.6B

1

Results are presented on a continuing operations basis. 

2

Underlying orders do not include AspenTech.

3

Underlying sales excludes the impact of currency translation, and significant acquisitions and divestitures.

4

Adjusted segment EBITA represents segment earnings excluding restructuring and intangibles amortization expense.

5

Adjusted EPS excludes intangibles amortization expense, restructuring and related costs, first year purchase accounting related items and transaction-related costs, discrete taxes and certain gains, losses or impairments.

Conference Call

Today, beginning at 3:30 p.m. Central Time / 4:30 p.m. Eastern Time, Emerson management will discuss the third quarter results during an investor conference call. Participants can access a live webcast available at https://ir.emerson.com at the time of the call. A replay of the call will be available for 90 days. Conference call slides will be posted in advance of the call on the company website.

About Emerson

Emerson (NYSE: EMR) is a global automation leader delivering solutions for the most demanding technology challenges. Headquartered in St. Louis, Missouri, Emerson is engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. For more information, visit Emerson.com.

Forward-Looking and Cautionary Statements

Statements in this press release that are not strictly historical may be "forward-looking" statements, which represent management's expectations, based on currently available information. Actual results, performance or achievements could differ materially from those expressed in any forward-looking statement. Any forward-looking statements in this press release speak only as of the date of this press release. Emerson undertakes no obligation to update any such statements to reflect new information or later developments. Examples of risks and uncertainties that may cause our actual results or performance to be materially different from those expressed or implied by forward looking statements include the scope, duration and ultimate impacts of the Russia-Ukraine, Middle East and other global conflicts, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, inflation, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. The outlook contained herein represents the Company's expectation for its consolidated results, other than as noted herein.

Emerson uses our Investor Relations website, https://ir.emerson.com, as a means of disclosing information which may be of interest or material to our investors and for complying with disclosure obligations under Regulation FD. Accordingly, investors should monitor our Investor Relations website, in addition to following our press releases, SEC filings, public conference calls, webcasts and social media. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

Investors:

Media:

Doug Ashby

Joseph Sala / Greg Klassen

(314) 553-2197                                   

Joele Frank, Wilkinson Brimmer Katcher

(212) 355-4449

(tables attached)

Table 1

EMERSON AND SUBSIDIARIES

CONSOLIDATED OPERATING RESULTS

(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)

Quarter Ended June
30,

Nine Months Ended
June 30,

2025

2026

2025

2026

Net sales

$  4,553

$  4,873

$ 13,161

$ 13,781

     Cost of sales

2,160

2,218

6,161

6,393

     SG&A expenses

1,266

1,343

3,773

3,902

     Other deductions, net

298

311

944

744

     Interest expense, net

95

85

145

258

Earnings from continuing operations before income taxes

734

916

2,138

2,484

Income taxes

154

198

536

542

Earnings from continuing operations

580

718

1,602

1,942

Discontinued operations, net of tax

6

—

7

—

Net earnings

586

718

1,609

1,942

Less: Noncontrolling interests in subsidiaries

—

—

(48)

1

Net earnings common stockholders

$     586

$     718

$  1,657

$  1,941

Earnings common stockholders

   Earnings from continuing operations

580

718

1,650

1,941

   Discontinued operations

6

—

7

—

Net earnings common stockholders

$     586

$     718

$  1,657

$  1,941

Diluted avg. shares outstanding

564.7

561.1

567.1

562.7

Diluted earnings per share common stockholders

Earnings from continuing operations

$    1.03

$    1.28

$    2.91

$    3.45

Discontinued operations

0.01

—

0.01

—

Diluted earnings per common share

$    1.04

$    1.28

$    2.92

$    3.45

Quarter Ended June
30,

Nine Months Ended
June 30,

2025

2026

2025

2026

Other deductions, net

     Amortization of intangibles

$     219

$     204

$     677

$     613

     Restructuring costs

37

87

70

141

     Other

42

20

197

(10)

          Total

$     298

$     311

$     944

$     744

Table 2

EMERSON AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(DOLLARS IN MILLIONS, UNAUDITED)

Sept 30, 2025

June 30, 2026

Assets

     Cash and equivalents

$         1,544

$             2,180

     Receivables, net

3,101

3,057

     Inventories

2,213

2,513

     Other current assets

1,725

1,905

Total current assets

8,583

9,655

     Property, plant & equipment, net

2,871

2,861

     Goodwill

18,193

18,122

     Other intangible assets

9,458

8,686

     Other

2,859

2,884

Total assets

$       41,964

$            42,208

Liabilities and equity

     Short-term borrowings and current maturities of long-term debt

$         4,797

$             5,587

     Accounts payable

1,384

1,613

     Accrued expenses

3,616

3,572

Total current liabilities

9,797

10,772

     Long-term debt

8,319

7,526

     Other liabilities

3,550

3,516

Equity

     Common stockholders' equity

20,282

20,379

     Noncontrolling interests in subsidiaries

16

15

Total equity

20,298

20,394

Total liabilities and equity

$       41,964

$            42,208

Table 3

EMERSON AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(DOLLARS IN MILLIONS, UNAUDITED)

Nine Months Ended June 30,

2025

2026

Operating activities

Net earnings

$         1,609

$         1,942

Earnings from discontinued operations, net of tax

(7)

—

Adjustments to reconcile net earnings to net cash provided by operating activities:

        Depreciation and amortization

1,139

1,105

        Stock compensation

198

181

        Changes in operating working capital

(80)

(320)

        Other, net

(195)

(6)

            Cash from continuing operations

2,664

2,902

            Cash from discontinued operations

(576)

—

            Cash provided by operating activities

2,088

2,902

Investing activities

Capital expenditures

(263)

(284)

Purchases of businesses, net of cash and equivalents acquired

(36)

—

Other, net

(94)

(38)

    Cash used in investing activities

(393)

(322)

Financing activities

Net increase in short-term borrowings

1,419

1,434

Proceeds from short-term borrowings greater than three months

5,292

6,229

Payments of short-term borrowings greater than three months

(1,349)

(7,028)

Proceeds from long-term debt

1,544

—

Payments of long-term debt

(503)

(588)

Dividends paid

(895)

(935)

Purchases of common stock

(1,147)

(898)

Purchase of noncontrolling interest

(7,244)

—

Settlement of AspenTech share awards

(76)

—

Other, net

(60)

(134)

    Cash used in financing activities

(3,019)

(1,920)

Effect of exchange rate changes on cash and equivalents

(45)

(24)

Increase (decrease) in cash and equivalents

(1,369)

636

Beginning cash and equivalents

3,588

1,544

Ending cash and equivalents

$         2,219

$         2,180

Table 4

EMERSON AND SUBSIDIARIES

SEGMENT SALES AND EARNINGS

(DOLLARS IN MILLIONS, UNAUDITED)

The following tables show results for the Company's segments on an adjusted segment EBITA basis and are intended to supplement the Company's results of operations, including its segment earnings which are defined as earnings before interest and taxes. The Company defines adjusted segment and total segment EBITA as segment earnings excluding intangibles amortization expense, and restructuring and related expense. Adjusted segment and total segment EBITA, and adjusted segment and total segment EBITA margin are measures used by management and may be useful for investors to evaluate the Company's segments' operational performance.

Quarter Ended June 30,

2025

2026

Reported

Underlying

Sales

Control Systems & Software     

$         1,120

$         1,199

7 %

7 %

Test & Measurement

360

445

23 %

23 %

Software & Systems

$         1,480

$         1,644

11 %

11 %

Sensors

1,013

1,091

8 %

7 %

Final Control

1,522

1,586

4 %

3 %

Intelligent Devices

$         2,535

$         2,677

6 %

5 %

Safety & Productivity

$            538

$            552

3 %

2 %

Total

$         4,553

$         4,873

7 %

6 %

Sales Growth by Geography

Quarter Ended
June 30,

Americas

8 %

Europe

(1) %

Asia, Middle East & Africa            

8 %

Table 4 cont.

Nine Months Ended June 30,

2025

2026

Reported

Underlying

Sales

Control Systems & Software     

$         3,235

$         3,332

3 %

2 %

Test & Measurement

1,077

1,268

18 %

15 %

Software & Systems

$         4,312

$         4,600

7 %

5 %

Sensors

2,986

3,111

4 %

2 %

Final Control

4,315

4,469

4 %

2 %

Intelligent Devices

$         7,301

$         7,580

4 %

2 %

Safety & Productivity

$         1,548

$         1,601

3 %

2 %

Total

$       13,161

$       13,781

5 %

3 %

Sales Growth by Geography

Nine Months Ended
June 30,

Americas

6 %

Europe

(1) %

Asia, Middle East & Africa

1 %

Table 4 cont.

Quarter Ended June 30,

Quarter Ended June 30,

2025

2026

As Reported
(GAAP)

Adjusted
EBITA 
(Non-GAAP)

As
Reported
(GAAP)

Adjusted
EBITA 
(Non-GAAP)

Earnings

Control Systems & Software

$         271

$         393

$        285

$         391

 Margins

24.2 %

35.2 %

23.8 %

32.6 %

Test & Measurement

(26)

81

11

132

 Margins

(7.2) %

22.4 %

2.6 %

29.6 %

Software & Systems

$        245

$        474

$        296

$        523

 Margins

16.6 %

32.1 %

18.0 %

31.8 %

Sensors

246

259

303

323

 Margins

24.2 %

25.5 %

27.7 %

29.7 %

Final Control

351

389

349

424

 Margins

23.1 %

25.5 %

22.0 %

26.7 %

Intelligent Devices

$        597

$        648

$        652

$        747

 Margins

23.5 %

25.5 %

24.3 %

27.9 %

Safety & Productivity

$        103

$        110

$         93

$        117

 Margins

19.2 %

20.4 %

16.9 %

21.2 %

Corporate items and interest expense, net:

Stock compensation

(71)

(45)

(68)

(64)

Unallocated pension and postretirement costs

27

27

29

29

Corporate and other

(72)

(31)

(1)

(49)

Interest expense, net

(95)

—

(85)

—

Pretax Earnings / Adjusted EBITA

$        734

$      1,183

$        916

$      1,303

 Margins

16.1 %

26.0 %

18.8 %

26.7 %

Supplemental Total Segment Earnings:

Adjusted Total Segment EBITA

$      1,232

$      1,387

 Margins

27.1 %

28.5 %

Table 4 cont.

Quarter Ended June 30,

Quarter Ended June 30,

2025

2026

Amortization of 
Intangibles1

Restructuring 
and
Related Costs2

Amortization of

Intangibles1

Restructuring 
and
Related Costs2

Control Systems & Software                

$              114

$                  8

$              100

$                  6

Test & Measurement

107

—

108

13

Software & Systems

$              221

$                 8

$              208

$                19

Sensors

11

2

11

9

Final Control

30

8

27

48

Intelligent Devices

$                41

$                10

$                38

$                57

Safety & Productivity

$                 7

$                —

$                 7

$                17

Corporate

—

233

—

6

Total

$              269

$                41

$              253

$                99

1 Amortization of intangibles includes $50 and $49 reported in cost of sales for the three months ended June 30, 2025 and 2026, respectively.

2 Restructuring and related costs includes $4 and $12 reported in cost of sales and selling, general and administrative expenses for the three months ended June 30, 2025 and 2026, respectively.

3 Corporate restructuring and related costs of $23 for the three months ended June 30, 2025 includes $20 related to integration-related stock compensation expense attributable to AspenTech. 

Quarter Ended June 30,

Depreciation and Amortization

2025

2026

Control Systems & Software

$           135

$           128

Test & Measurement

119

120

Software & Systems

254

248

Sensors

32

34

Final Control

56

56

Intelligent Devices

88

90

Safety & Productivity

19

27

Corporate

11

12

Total

$           372

$           377

Table 5

EMERSON AND SUBSIDIARIES

ADJUSTED CORPORATE AND OTHER SUPPLEMENTAL

(DOLLARS IN MILLIONS, UNAUDITED)

The following table shows the Company's stock compensation and corporate and other expenses on an adjusted basis. The Company's definition of adjusted stock compensation excludes integration-related stock compensation expense. The Company's definition of adjusted corporate and other excludes corporate restructuring and related costs, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. This metric is useful for reconciling from total adjusted segment EBITA to the Company's consolidated adjusted EBITA.

Quarter Ended June 30,

2025

2026

 Stock compensation (GAAP)

$               (71)

$               (68)

 Integration-related stock compensation expense

261

4

 Adjusted stock compensation (non-GAAP)

$               (45)

$               (64)

Quarter Ended June 30,

2025

2026

 Corporate and other (GAAP)

$               (72)

$                 (1)

 Corporate restructuring and related costs

3

6

 Acquisition / divestiture costs

38

28

 IEEPA tariff refunds

—

(82)

 Adjusted corporate and other (non-GAAP)

$               (31)

$               (49)

1 Integration-related stock compensation expense for the three months ended June 30, 2025 includes $24 related to AspenTech of which $20 is reported as restructuring costs, and $2 related to NI

Table 6

EMERSON AND SUBSIDIARIES

ADJUSTED EBITA & EPS SUPPLEMENTAL

(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)

The following tables, which show results on an adjusted EBITA basis and diluted earnings per share on an adjusted basis, are intended to supplement the Company's discussion of its results of operations herein. The Company defines adjusted EBITA as earnings excluding interest expense, net, income taxes, intangibles amortization expense, restructuring and related costs, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. Adjusted earnings per share excludes intangibles amortization expense, restructuring and related costs, first year purchase accounting related items and transaction-related costs, discrete taxes, and certain gains, losses or impairments. Adjusted EBITA, adjusted EBITA margin, and adjusted earnings per share are measures used by management and may be useful for investors to evaluate the Company's operational performance.

     Quarter Ended June 30, 

2025

2026

Pretax earnings

$           734

$           916

Percent of sales

16.1 %

18.8 %

Interest expense, net

95

85

Amortization of intangibles

269

253

Restructuring and related costs

41

99

Acquisition/divestiture fees and related costs

44

32

IEEPA tariff refunds

—

(82)

Adjusted EBITA

$        1,183

$        1,303

Percent of sales

26.0 %

26.7 %

                    Quarter Ended June 30,               

2025

2026

GAAP earnings from continuing operations per share

$          1.03

$          1.28

Amortization of intangibles

0.37

0.35

Restructuring and related costs

0.06

0.13

Acquisition/divestiture fees and related costs

0.06

0.05

Discrete taxes

—

0.01

IEEPA tariff refunds

—

(0.11)

Adjusted earnings from continuing operations per share                                    

$          1.52

$          1.71

Table 6 cont.

Quarter Ended June 30, 2026

Pretax 
Earnings

Income 
Taxes

Earnings
from Cont.
Ops.

Non-
Controlling
Interests 

Net 
Earnings 
Common 
Stockholders

Diluted 
Earnings 
Per 
Share

As reported (GAAP)

$       916

$       198

$       718

$         —

$         718

$      1.28

Amortization of intangibles

253

1

59

194

—

194

0.35

Restructuring and related costs

99

2

25

74

—

74

0.13

Acquisition/divestiture fees and related costs

32

2

30

—

30

0.05

Discrete taxes

—

(7)

7

—

7

0.01

IEEPA tariff refunds

(82)

(19)

(63)

—

(63)

(0.11)

Adjusted (non-GAAP)

$     1,218

$       258

$       960

$         —

$         960

$      1.71

Interest expense, net

85

Adjusted EBITA (non-GAAP)

$     1,303

1 Amortization of intangibles includes $49 reported in cost of sales.

2 Restructuring and related costs includes $12 reported in cost of sales and selling, general and administrative expenses.

Reconciliations of Non-GAAP Financial Measures & Other                                                                      

Table 7

Reconciliations of Non-GAAP measures with the most directly comparable GAAP measure (dollars in millions,
except per share amounts). See tables 4 through 6 for additional non-GAAP reconciliations.

2026 Q3 Underlying Sales Change

Reported

(Favorable) /
Unfavorable FX

(Acquisitions) /
Divestitures

Underlying

Control Systems & Software

7 %

— %

— %

7 %

Test & Measurement

23 %

— %

— %

23 %

Software & Systems

11 %

— %

— %

11 %

Sensors

8 %

(1) %

— %

7 %

Final Control

4 %

(1) %

— %

3 %

Intelligent Devices

6 %

(1) %

— %

5 %

Safety & Productivity

3 %

(1) %

— %

2 %

Emerson

7 %

(1) %

— %

6 %

Nine Months Ended June 30, 2026 Underlying Sales      
Change

Reported

(Favorable) /
Unfavorable FX

(Acquisitions) /
Divestitures

Underlying

Control Systems & Software

3 %

(1) %

— %

2 %

Test & Measurement

18 %

(3) %

— %

15 %

Software & Systems

7 %

(2) %

— %

5 %

Sensors

4 %

(2) %

— %

2 %

Final Control

4 %

(2) %

— %

2 %

Intelligent Devices

4 %

(2) %

— %

2 %

Safety & Productivity

3 %

(1) %

— %

2 %

Emerson

5 %

(2) %

— %

3 %

Underlying Growth Guidance     

2026 Q4
Guidance

2026

Guidance

Reported (GAAP)

~5%

~5%

(Favorable) / Unfavorable FX

-

~(1.5 pts)

(Acquisitions) / Divestitures

-

-

Underlying (non-GAAP)

~5%

~3.5%

2025 Q3 Adjusted Segment EBITA

EBIT

EBIT

Margin

Amortization

of

Intangibles

Restructuring
and Related
Costs

Adjusted
Segment
EBITA

Adjusted
Segment
EBITA
Margin

Control Systems & Software

$         271

24.2 %

$            114

$                 8

$         393

35.2 %

Test & Measurement

(26)

(7.2) %

107

—

81

22.4 %

Software & Systems

$         245

16.6 %

$            221

$                 8

$         474

32.1 %

Sensors

246

24.2 %

11

2

259

25.5 %

Final Control

351

23.1 %

30

8

389

25.5 %

Intelligent Devices

$         597

23.5 %

$              41

$               10

$         648

25.5 %

Safety & Productivity

$         103

19.2 %

$               7

$                —

$         110

20.4 %

2026 Q3 Adjusted Segment EBITA

EBIT

EBIT

Margin

Amortization
of
Intangibles

Restructuring
and Related
Costs

Adjusted
Segment
EBITA

Adjusted
Segment
EBITA
Margin

Control Systems & Software

$         285

23.8 %

$            100

$                6

$         391

32.6 %

Test & Measurement

11

2.6 %

108

13

132

29.6 %

Software & Systems

$         296

18.0 %

$            208

$               19

$         523

31.8 %

Sensors

303

27.7 %

11

9

323

29.7 %

Final Control

349

22.0 %

27

48

424

26.7 %

Intelligent Devices

$         652

24.3 %

$              38

$               57

$         747

27.9 %

Safety & Productivity

$          93

16.9 %

$               7

$               17

$         117

21.2 %

Total Adjusted Segment EBITA

2025 Q3

2026 Q3

Pretax earnings (GAAP)

$           734

$           916

Margin

16.1 %

18.8 %

Corporate items and interest expense, net

211

125

Amortization of intangibles

269

253

Restructuring and related costs

18

93

Adjusted segment EBITA (non-GAAP)

$         1,232

$         1,387

Margin

27.1 %

28.5 %

Free Cash Flow

2025 Q3

2026 Q3

2026E

($ in billions)

Operating cash flow (GAAP)

$         1,062

$         1,425

~$4.1

Capital expenditures

(92)

(102)

~(0.45)

Free cash flow (non-GAAP)

$           970

$         1,323

~$3.6

Note 1: Underlying sales and orders exclude the impact of currency translation and significant acquisitions and divestitures.

Note 2: All fiscal year 2026E figures are approximate, except where range is given.

SOURCE Emerson

Emerson Electric (EMR - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The earnings report, which is expected to be released on August 4, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis maker of process controls systems, valves and analytical instruments is expected to post quarterly earnings of $1.68 per share in its upcoming report, which represents a year-over-year change of +10.5%.

Revenues are expected to be $4.79 billion, up 5.3% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.12% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Emerson Electric?For Emerson Electric, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.21%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Emerson Electric will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Emerson Electric would post earnings of $1.54 per share when it actually produced earnings of $1.54, delivering no surprise.

Over the last four quarters, the company has beaten consensus EPS estimates two times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Emerson Electric doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsAmong the stocks in the Zacks Manufacturing - Electronics industry, Eaton (ETN - Free Report) , is soon expected to post earnings of $3.08 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +4.4%. This quarter's revenue is expected to be $8 billion, up 13.9% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for Eaton has been revised 0.5% up to the current level. Nevertheless, the company now has an Earnings ESP of +0.32%, reflecting a higher Most Accurate Estimate.

This Earnings ESP, combined with its Zacks Rank #2 (Buy), suggests that Eaton will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

New Ovation AI Agents enable operators to resolve complex issues in a fraction of the time for faster, smarter plant operations

New Ovation AI Agents include Sequence Assistant Agent, Alarm Insight Agent, Predictive Maintenance Agent, Root Cause Agent and Loop Performance Monitor Agent. Designed to seamlessly integrate with the Ovation Automation Platform 4.0 release, the new Ovation AI Agents are embedded into native operational workflows and tools, eliminating the time-consuming need to switch between systems. Contextual recommendations are delivered directly within the operator's control, alarm and maintenance workflows, replacing standalone analytics or manual data correlation for faster, in-the-moment action. AI agents compress diagnostic and analysis time from hours or days to minutes, addressing industry challenges including workforce transitions, increasing operational complexity and operator information overload. Human-in-the-loop design ensures operators always retain command; AI agents operate proactively in the background, analyzing plant conditions and recommending optimizations. , /PRNewswire/ -- Global automation leader Emerson (NYSE: EMR) today introduced new Ovation™ AI Agents for the power and water industries, expanding the AI capabilities of the Ovation Automation Platform 4.0 release. The five new agents – Sequence Assistant Agent, Alarm Insight Agent, Predictive Maintenance Agent, Root Cause Agent and Loop Performance Monitor Agent – will empower plant personnel with critical insights by continuously monitoring, analyzing and recommending actions across critical plant operations.

This expansion builds on the success of Ovation Virtual Advisor and delivers new capabilities to Ovation's growing portfolio of AI solutions for the power and water industry, transforming how operators make decisions. While Ovation Virtual Advisor provides real-time, AI-driven insights through natural language interaction, the new AI Agents are time synchronized with the Ovation 4.0 system and work autonomously in the background, continuously monitoring plant and equipment conditions and recommending optimizations.

"Ovation AI Agents deliver a major step change in our AI portfolio, representing a significant advancement in how we help our customers build more intelligent, efficient and resilient operations," said Bob Yeager, president of Emerson's power and water solutions business. "The AI-enabled agents handle complex data analysis and pattern recognition to monitor asset health, run simulations, forecast failures and prioritize interventions. These powerful tools enable operators to shift from reactive to proactive planning without disrupting daily workflows."

The Ovation AI Agents will be deployed in phases, with the following included in the first wave:

Sequence Assistant Agent: Provides AI guidance for sequence-function-driven control logic tools by generating context-aware prompts from real-time deviations and historical failures. During a steam turbine startup, for example, the agent can pinpoint why a sequence has stalled and alert an operator with recommended corrective action, resolving issues in seconds that traditionally could take hours of manual investigation.
   Alarm Insight Agent: Prioritizes and summarizes alarm context during alarm floods, helping operators focus on the most critical alarms and recommended actions rather than being overwhelmed by hundreds of alerts simultaneously.
   Predictive Maintenance Agent: Acts as an early-warning system for critical plant equipment, detecting degradation, prioritizing maintenance and helping prevent unplanned failures.
   Root Cause Agent: Performs real-time root cause analysis that goes beyond the control system itself to analyze the running plant process. By correlating alarms, trips and live equipment conditions, the agent identifies root causes of critical asset issues – enabling maintenance teams to shift from reactive to proactive actions.
   Loop Performance Monitor Agent: Continuously analyzes control loop performance to identify poor-performing loops, including for issues such as oscillation, deadband and deficient tuning, and generates evidence-backed recommendations for engineering review. Real-World Impact and Integrated Architecture

Unlike chatbot-style interfaces or external analytics layers, Emerson's new AI agents are designed to seamlessly integrate with the Ovation 4.0 Automation Platform – governed within the platform and backed by decades of power and water industry expertise. Built with human-in-the-loop design, the agents operate proactively, running in the background and alerting issues to operators – taking action with human approval. Every recommendation flows through human operators who retain full control.

Early deployments demonstrate measurable impact. In one scenario, the Sequence Assistant Agent identified a failed permissive condition in seconds – a diagnosis that would have previously consumed hours of manual investigation across logic diagrams and point values. At another major utility, the Predictive Maintenance Agent captured subtle equipment anomaly before it became critical, preventing costly unplanned downtime.

Strategic Alignment with AI-Enabled Operations

The five new Ovation AI Agents will launch this Fall, enabling customers to start deploying individual agents tailored to their operational priorities and expand their portfolio over time as needs evolve. The broader roadmap includes an additional 28 planned agents spanning operations, maintenance, optimization, instrumentation and control, management and cross-domain functions. Emerson will also showcase the Ovation AI Agent Builder at this year's Ovation Users Group Conference, demonstrating how it will help users design, deploy and customize unique agents specific to their operations – creating a dynamic and scalable pathway for AI-driven optimization.

The Ovation AI Agents are part of Emerson's continued commitment to innovation, introducing new capabilities that provide AI-powered insights to help customers improve decision making and create business value.

Additional resources:

Visit Emerson.com/Ovation-AI-Agents for more information on Ovation AI Agents and the full portfolio Ovation AI solutions Visit Emerson's Ovation Automation Platform Page on LinkedIn Connect with Emerson via X Facebook LinkedIn YouTube About Emerson
Emerson (NYSE: EMR) is a global automation leader delivering solutions for the most demanding technology challenges. Headquartered in St. Louis, Missouri, Emerson is engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. For more information, visit Emerson.com.

SOURCE Emerson

Emerson Electric (EMR - Free Report) closed at $135.38 in the latest trading session, marking a -2.52% move from the prior day. This move lagged the S&P 500's daily loss of 0.79%. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, lost 1.55%.

The maker of process controls systems, valves and analytical instruments's stock has dropped by 2.93% in the past month, falling short of the Industrial Products sector's gain of 5.3% and the S&P 500's gain of 4.28%.

The investment community will be paying close attention to the earnings performance of Emerson Electric in its upcoming release. The company is expected to report EPS of $1.68, up 10.53% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.8 billion, up 5.48% from the year-ago period.

EMR's full-year Zacks Consensus Estimates are calling for earnings of $6.49 per share and revenue of $18.81 billion. These results would represent year-over-year changes of +8.17% and +4.41%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Emerson Electric. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.06% fall in the Zacks Consensus EPS estimate. Emerson Electric presently features a Zacks Rank of #4 (Sell).

With respect to valuation, Emerson Electric is currently being traded at a Forward P/E ratio of 21.4. Its industry sports an average Forward P/E of 22.61, so one might conclude that Emerson Electric is trading at a discount comparatively.

One should further note that EMR currently holds a PEG ratio of 2.22. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Manufacturing - Electronics industry was having an average PEG ratio of 1.68.

The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 166, which puts it in the bottom 33% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.