WallStSmart

Emerson Electric Company (EMR)vsGates Industrial Corporation plc (GTES)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 431% more annual revenue ($18.32B vs $3.45B). EMR leads profitability with a 13.4% profit margin vs 7.2%. GTES trades at a lower P/E of 28.6x. EMR earns a higher WallStSmart Score of 59/100 (C).

EMR

Buy

59

out of 100

Grade: C

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

GTES

Hold

41

out of 100

Grade: D

Growth: 2.7Profit: 5.0Value: 5.3Quality: 7.5
Piotroski: 6/9Altman Z: 1.98

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR3 strengths · Avg: 8.3/10
Market CapQuality
$79.55B9/10

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

GTES1 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

EMR3 concerns · Avg: 4.0/10
PEG RatioValuation
1.654/10

Expensive relative to growth rate

P/E RatioValuation
32.9x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

GTES4 concerns · Avg: 3.8/10
P/E RatioValuation
28.6x4/10

Moderate valuation

Revenue GrowthGrowth
0.4%4/10

0.4% revenue growth

Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : GTES

The strongest argument for GTES centers on Price/Book.

Bear Case : EMR

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

Bear Case : GTES

The primary concerns for GTES are P/E Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

GTES carries more volatility with a beta of 1.27 — expect wider price swings.

EMR is growing revenue faster at 2.9% — sustainability is the question.

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

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

EMR scores higher overall (59/100 vs 41/100). 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.

Gates Industrial Corporation plc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.

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