WallStSmart

Emerson Electric Company (EMR)vsFreightcar America Inc (RAIL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 3530% more annual revenue ($18.19B vs $500.99M). EMR leads profitability with a 12.7% profit margin vs 7.6%. RAIL appears more attractively valued with a PEG of 0.64. RAIL earns a higher WallStSmart Score of 53/100 (C-).

EMR

Buy

51

out of 100

Grade: C-

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

RAIL

Buy

53

out of 100

Grade: C-

Growth: 6.7Profit: 5.0Value: 9.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

RAILUndervalued (+80.0%)

Margin of Safety

+80.0%

Fair Value

$64.35

Current Price

$8.24

$56.11 discount

UndervaluedFair: $64.35Overvalued

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%

RAIL3 strengths · Avg: 9.3/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
207.9%10/10

Earnings expanding 207.9% YoY

PEG RatioValuation
0.648/10

Growing faster than its price suggests

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

RAIL4 concerns · Avg: 2.5/10
Market CapQuality
$163.89M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Return on EquityProfitability
-8.8%2/10

ROE of -8.8% — below average capital efficiency

Revenue GrowthGrowth
-8.8%2/10

Revenue declined 8.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : RAIL

The strongest argument for RAIL centers on P/E Ratio, EPS Growth, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.

Bear Case : EMR

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

Bear Case : RAIL

The primary concerns for RAIL are Market Cap, Profit Margin, Return on Equity.

Key Dynamics to Monitor

RAIL carries more volatility with a beta of 1.71 — expect wider price swings.

EMR is growing revenue faster at 4.1% — sustainability is the question.

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

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

Bottom Line

RAIL scores higher overall (53/100 vs 51/100). 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.

Freightcar America Inc

INDUSTRIALS · RAILROADS · USA

FreightCar America, Inc. designs, manufactures, and sells railroad cars and railroad components for the transportation of bulk goods and containerized cargo products primarily in North America. The company is headquartered in Chicago, Illinois.

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