For a company whose roots go back more than 133 years, highly ranked Emerson Electric is growing like a hot AI startup. On Wednesday, the Relative Strength (RS) Rating for Emerson stock climbed from 69 to 72.
Emerson stock holds the No. 2 rank among its peers in the 22-stock Diversified Operations industry group. Carlisle Cos is the No. 1-ranked stock in the group.
Emerson Stock Near Big Run Starting Point
The upgraded 72 RS Rating shows that Emerson stock outperformed 72% of all other stocks for price appreciation over the last 12 months. It's noteworthy because market research shows that the best stocks typically have an RS Rating above 80 as they begin their largest price moves. See if Emerson Electric can continue to rebound and clear that threshold.
Can You Really Time The Stock Market?
St. Louis-based Emerson, with a roughly $35 billion annual run rate, is a global diversified technology and engineering company. It was founded in 1890 in St. Louis and today serves virtually every industry with technology hardware, software and services.
On May 9, Emerson stock rose to an all-time high close at 115.59, following that up with an intraday high at 116.76 the next day before it consolidated. EMR is building a flat base with a 116.76 entry. See if the stock can clear the breakout price in volume at least 40% above average. Wednesday Emerson closed at 109.56.
Profit Growth Ranged 21% To 56% This Past Year
The company posted 25% EPS growth in the latest quarterly report, to $1.36 per share. Sales grew 17% to $4.38 billion. The prior three stanzas its EPS grew 40%, 21% and 56%. Its revenue growth kept pace.
Among its other key ratings, Emerson stock has an excellent 92 Composite Rating, based on a collection of five fundamental and technical ratings. Its EPS Rating is also 92, putting it in the top 8% of companies for recent and long-term profit growth.
Additionally, it carries a B+ Accumulation/Distribution Rating, showing that institutional investors like mutual funds are fairly heavy buyers.
IBD's proprietary RS Rating tracks technical performance by showing how a stock's price movement over the last 52 weeks measures up against that of the other stocks in our database.
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