WallStSmart

Emerson Electric Company (EMR)vsHeico Corporation (HEI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 293% more annual revenue ($18.19B vs $4.63B). HEI leads profitability with a 15.4% profit margin vs 12.7%. EMR appears more attractively valued with a PEG of 1.75. HEI earns a higher WallStSmart Score of 61/100 (C+).

EMR

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 6.5Value: 4.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.57

HEI

Buy

61

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 4.0Quality: 6.8
Piotroski: 4/9Altman Z: 2.38
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

HEIUndervalued (+8.9%)

Margin of Safety

+8.9%

Fair Value

$353.81

Current Price

$269.92

$83.89 discount

UndervaluedFair: $353.81Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR2 strengths · Avg: 8.5/10
Market CapQuality
$78.93B9/10

Large-cap with strong market position

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

HEI1 strengths · Avg: 8.0/10
Operating MarginProfitability
22.2%8/10

Strong operational efficiency at 22.2%

Areas to Watch

EMR4 concerns · Avg: 4.0/10
PEG RatioValuation
1.754/10

Expensive relative to growth rate

P/E RatioValuation
34.3x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

EPS GrowthGrowth
4.9%4/10

4.9% earnings growth

HEI3 concerns · Avg: 3.3/10
PEG RatioValuation
2.464/10

Expensive relative to growth rate

Price/BookValuation
8.4x4/10

Trading at 8.4x book value

P/E RatioValuation
51.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : HEI

The strongest argument for HEI centers on Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 22.2%. Revenue growth of 14.4% demonstrates continued momentum.

Bear Case : EMR

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

Bear Case : HEI

The primary concerns for HEI are PEG Ratio, Price/Book, P/E Ratio. A P/E of 51.8x leaves little room for execution misses.

Key Dynamics to Monitor

EMR profiles as a value stock while HEI is a mature play — different risk/reward profiles.

EMR carries more volatility with a beta of 1.28 — expect wider price swings.

HEI is growing revenue faster at 14.4% — sustainability is the question.

EMR generates stronger free cash flow (602M), providing more financial flexibility.

Bottom Line

HEI scores higher overall (61/100 vs 51/100), backed by strong 15.4% margins and 14.4% revenue growth. 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.

Heico Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

HEICO Corporation designs, manufactures, and sells aerospace, defense, and electronic products and services in the United States and internationally. The company is headquartered in Hollywood, Florida.

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