WallStSmart

Emerson Electric Company (EMR)vsGraham Corporation (GHM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 7036% more annual revenue ($18.64B vs $261.15M). EMR leads profitability with a 13.8% profit margin vs 4.5%. EMR appears more attractively valued with a PEG of 1.71. EMR earns a higher WallStSmart Score of 61/100 (C+).

EMR

Buy

61

out of 100

Grade: C+

Growth: 6.7Profit: 7.0Value: 4.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.57

GHM

Hold

40

out of 100

Grade: D

Growth: 6.0Profit: 5.0Value: 2.0Quality: 5.5
Piotroski: 1/9Altman Z: 1.84
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

GHMSignificantly Overvalued (-49.1%)

Margin of Safety

-49.1%

Fair Value

$59.21

Current Price

$87.90

$28.69 premium

UndervaluedFair: $59.21Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR4 strengths · Avg: 8.3/10
Market CapQuality
$85.24B9/10

Large-cap with strong market position

Operating MarginProfitability
26.9%8/10

Strong operational efficiency at 26.9%

EPS GrowthGrowth
23.0%8/10

Earnings expanding 23.0% YoY

Free Cash FlowQuality
$1.32B8/10

Generating 1.3B in free cash flow

GHM2 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
28.6%8/10

Revenue surging 28.6% year-over-year

Areas to Watch

EMR2 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
32.5x4/10

Premium valuation, high expectations priced in

GHM4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.844/10

Grey zone — moderate risk

Market CapQuality
$979.92M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
4.5%3/10

4.5% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : GHM

The strongest argument for GHM centers on Debt/Equity, Revenue Growth. Revenue growth of 28.6% demonstrates continued momentum.

Bear Case : EMR

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

Bear Case : GHM

The primary concerns for GHM are Altman Z-Score, Market Cap, Return on Equity. A P/E of 81.1x leaves little room for execution misses. Thin 4.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

EMR carries more volatility with a beta of 1.23 — expect wider price swings.

GHM is growing revenue faster at 28.6% — sustainability is the question.

EMR generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

EMR scores higher overall (61/100 vs 40/100). Both earn "Buy" and "Hold" 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.

Graham Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Graham Corporation designs, manufactures and supplies vacuum and heat transfer equipment for the chemical, defense, petrochemical, oil refining, power generation / alternative energy and other industries. The company is headquartered in Batavia, New York.

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