WallStSmart

Emerson Electric Company (EMR)vsRegal Beloit Corporation (RRX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 206% more annual revenue ($18.19B vs $5.93B). EMR leads profitability with a 12.7% profit margin vs 4.7%. EMR appears more attractively valued with a PEG of 1.64. RRX earns a higher WallStSmart Score of 57/100 (C).

EMR

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 6.5Value: 7.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.56

RRX

Buy

57

out of 100

Grade: C

Growth: 6.0Profit: 5.0Value: 8.0Quality: 7.5
Piotroski: 5/9Altman Z: 1.52
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EMRSignificantly Overvalued (-159.6%)

Margin of Safety

-159.6%

Fair Value

$59.58

Current Price

$130.86

$71.28 premium

UndervaluedFair: $59.58Overvalued
RRXOvervalued (-13.7%)

Margin of Safety

-13.7%

Fair Value

$197.03

Current Price

$195.13

$1.90 premium

UndervaluedFair: $197.03Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR2 strengths · Avg: 8.5/10
Market CapQuality
$73.18B9/10

Large-cap with strong market position

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

RRX2 strengths · Avg: 9.0/10
EPS GrowthGrowth
54.7%10/10

Earnings expanding 54.7% YoY

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

EMR4 concerns · Avg: 4.0/10
PEG RatioValuation
1.644/10

Expensive relative to growth rate

P/E RatioValuation
32.0x4/10

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

RRX4 concerns · Avg: 3.8/10
PEG RatioValuation
1.654/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.3%4/10

4.3% revenue growth

Altman Z-ScoreHealth
1.524/10

Distress zone — elevated risk

Return on EquityProfitability
4.3%3/10

ROE of 4.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : RRX

The strongest argument for RRX centers on EPS Growth, Price/Book.

Bear Case : EMR

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

Bear Case : RRX

The primary concerns for RRX are PEG Ratio, Revenue Growth, Altman Z-Score. A P/E of 45.0x leaves little room for execution misses. Thin 4.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

EMR carries more volatility with a beta of 1.24 — expect wider price swings.

RRX is growing revenue faster at 4.3% — 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

RRX scores higher overall (57/100 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.

Regal Beloit Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Regal Beloit Corporation designs, manufactures and sells electric motors, electric motion controls, and power generation and transmission products worldwide. The company is headquartered in Beloit, Wisconsin.

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