WallStSmart

Emerson Electric Company (EMR)vsEaton Corporation PLC (ETN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eaton Corporation PLC generates 56% more annual revenue ($28.52B vs $18.32B). ETN leads profitability with a 14.0% profit margin vs 13.4%. EMR appears more attractively valued with a PEG of 2.04. EMR earns a higher WallStSmart Score of 57/100 (C).

EMR

Buy

57

out of 100

Grade: C

Growth: 6.0Profit: 6.5Value: 4.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.57

ETN

Buy

53

out of 100

Grade: C-

Growth: 5.3Profit: 7.0Value: 3.7Quality: 5.5
Piotroski: 4/9Altman Z: 2.07

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR3 strengths · Avg: 8.3/10
Market CapQuality
$82.07B9/10

Large-cap with strong market position

Operating MarginProfitability
24.2%8/10

Strong operational efficiency at 24.2%

EPS GrowthGrowth
27.9%8/10

Earnings expanding 27.9% YoY

ETN3 strengths · Avg: 8.7/10
Market CapQuality
$158.06B9/10

Large-cap with strong market position

Return on EquityProfitability
20.2%9/10

Every $100 of equity generates 20 in profit

Revenue GrowthGrowth
16.8%8/10

16.8% revenue growth

Areas to Watch

EMR3 concerns · Avg: 4.0/10
PEG RatioValuation
2.044/10

Expensive relative to growth rate

P/E RatioValuation
33.9x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

ETN4 concerns · Avg: 2.8/10
P/E RatioValuation
39.8x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.103/10

Elevated debt levels

PEG RatioValuation
2.962/10

Expensive relative to growth rate

EPS GrowthGrowth
-9.4%2/10

Earnings declined 9.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

The strongest argument for EMR centers on Market Cap, Operating Margin, EPS Growth.

Bull Case : ETN

The strongest argument for ETN centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 16.8% demonstrates continued momentum.

Bear Case : EMR

The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : ETN

The primary concerns for ETN are P/E Ratio, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

EMR profiles as a value stock while ETN is a growth play — different risk/reward profiles.

EMR carries more volatility with a beta of 1.25 — expect wider price swings.

ETN is growing revenue faster at 16.8% — sustainability is the question.

EMR generates stronger free cash flow (694M), providing more financial flexibility.

Bottom Line

EMR scores higher overall (57/100 vs 53/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Emerson Electric Company

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.

Eaton Corporation PLC

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Eaton Corporation plc is an American Irish-domiciled multinational power management company with 2020 sales of 17.86 billion USD, founded in the United States with corporate headquarters in Dublin, Ireland, and operational headquarters in Beachwood, Ohio.

Want to dig deeper into these stocks?