Traders Buy Large Volume of Emerson Electric Call Options (NYSE:EMR)

Emerson Electric Co. (NYSE:EMR) was the recipient of some unusual options trading on Wednesday. Stock investors purchased 3,480 call options on the stock. This is an increase of 95% compared to the average volume of 1,789 call options.

Insiders Place Their Bets

In other news, CEO Surendralal Lanca Karsanbhai sold 7,263 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $133.00, for a total value of $965,979.00. Following the transaction, the chief executive officer owned 196,292 shares in the company, valued at $26,106,836. This trade represents a 3.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.23% of the company’s stock.

Hedge Funds Weigh In On Emerson Electric

Hedge funds have recently added to or reduced their stakes in the stock. Norges Bank purchased a new stake in shares of Emerson Electric in the second quarter valued at about $918,830,000. JPMorgan Chase & Co. grew its holdings in Emerson Electric by 75.0% in the second quarter. JPMorgan Chase & Co. now owns 12,538,402 shares of the industrial products company’s stock valued at $1,671,762,000 after purchasing an additional 5,371,585 shares during the last quarter. Schroder Investment Management Group raised its stake in Emerson Electric by 51.6% in the 2nd quarter. Schroder Investment Management Group now owns 6,346,398 shares of the industrial products company’s stock valued at $846,165,000 after purchasing an additional 2,159,126 shares during the last quarter. Ameriprise Financial Inc. raised its position in shares of Emerson Electric by 185.7% in the third quarter. Ameriprise Financial Inc. now owns 3,192,982 shares of the industrial products company’s stock valued at $418,730,000 after buying an additional 2,075,425 shares during the last quarter. Finally, Fisher Asset Management LLC lifted its stake in shares of Emerson Electric by 43.0% during the second quarter. Fisher Asset Management LLC now owns 5,193,448 shares of the industrial products company’s stock valued at $692,442,000 after buying an additional 1,561,600 shares during the period. 74.30% of the stock is currently owned by hedge funds and other institutional investors.

Emerson Electric Stock Performance

Shares of EMR stock traded up $5.21 on Wednesday, hitting $157.31. The company had a trading volume of 3,567,413 shares, compared to its average volume of 3,217,447. The firm has a market cap of $88.46 billion, a P/E ratio of 38.99, a price-to-earnings-growth ratio of 2.41 and a beta of 1.26. Emerson Electric has a twelve month low of $90.06 and a twelve month high of $159.47. The company has a 50-day moving average price of $140.31 and a 200-day moving average price of $135.98. The company has a quick ratio of 0.65, a current ratio of 0.88 and a debt-to-equity ratio of 0.41.

Emerson Electric (NYSE:EMR) last announced its earnings results on Tuesday, February 3rd. The industrial products company reported $1.46 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.41 by $0.05. The firm had revenue of $4.35 billion for the quarter, compared to analyst estimates of $4.37 billion. Emerson Electric had a return on equity of 15.87% and a net margin of 12.73%.The business’s revenue was up 4.1% on a year-over-year basis. During the same quarter last year, the firm posted $1.38 EPS. Emerson Electric has set its FY 2026 guidance at 6.400-6.550 EPS and its Q2 2026 guidance at 1.500-1.550 EPS. As a group, equities research analysts predict that Emerson Electric will post 5.96 earnings per share for the current fiscal year.

Emerson Electric Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Friday, February 13th will be issued a dividend of $0.555 per share. This represents a $2.22 annualized dividend and a dividend yield of 1.4%. The ex-dividend date is Friday, February 13th. Emerson Electric’s payout ratio is currently 54.95%.

Emerson Electric announced that its Board of Directors has initiated a share repurchase program on Wednesday, November 5th that allows the company to buyback $0.00 in shares. This buyback authorization allows the industrial products company to purchase shares of its stock through open market purchases. Shares buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Analysts Set New Price Targets

Several research firms have issued reports on EMR. TD Cowen downgraded Emerson Electric from a “buy” rating to a “hold” rating and set a $150.00 target price on the stock. in a research report on Friday, January 9th. Weiss Ratings reissued a “buy (b-)” rating on shares of Emerson Electric in a research note on Wednesday, January 21st. UBS Group upgraded Emerson Electric from a “neutral” rating to a “buy” rating and boosted their price target for the company from $131.00 to $168.00 in a research note on Monday, January 5th. Citigroup lifted their target price on Emerson Electric from $165.00 to $174.00 and gave the company a “buy” rating in a research report on Wednesday. Finally, Barclays upped their target price on shares of Emerson Electric from $135.00 to $145.00 and gave the company an “equal weight” rating in a research report on Wednesday, January 7th. Ten equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Emerson Electric currently has a consensus rating of “Hold” and an average price target of $157.53.

More Emerson Electric News

Here are the key news stories impacting Emerson Electric this week:

• Positive Sentiment: Q1 results: Emerson beat EPS expectations ($1.46 vs. $1.41 estimate) and reported revenue growth; management raised the bottom end of its FY?2026 adjusted EPS range — a signal of stronger automation demand. Emerson Electric lifts profit forecast floor on automation demand
• Positive Sentiment: Analyst upgrade/price?target lift from RBC to $176 with an “outperform” rating — a sizable, bullish re?rating that likely supported buying interest. RBC raises price target on Emerson Electric to $176
• Positive Sentiment: Unusual options activity — a large block of ~3,480 call options was bought (?95% above average call volume), indicating speculative/bullish positioning by some traders. (Entry report)
• Neutral Sentiment: Wells Fargo raised its target to $160 but kept an “equal weight” rating — modestly supportive but not an endorsement to outperform. Benzinga
• Neutral Sentiment: Quarterly dividend declared: $0.555 per share payable March 10 (ex?div Feb 13) — income support but a modest yield (~1.4%). PR Newswire
• Negative Sentiment: Near?term guidance nuance: Q2 EPS guidance of $1.50–1.55 is slightly below consensus (~$1.56) and Q1 revenue missed estimates by a small amount — gives reason for short?term caution despite the FY floor lift. MarketBeat earnings release

Emerson Electric Company Profile

Emerson Electric Co is a global technology and engineering company that designs and manufactures products and provides services for industrial, commercial and consumer markets. Founded in 1890, the company is headquartered in St. Louis, Missouri, and has built a long-standing presence in automation, control and climate-related technologies. Emerson’s offerings are aimed at improving productivity, energy efficiency and reliability for a wide range of end markets.

Emerson operates through two principal platforms—Automation Solutions and Commercial & Residential Solutions—providing process automation systems, measurement and analytical instrumentation, valves and actuators, control software, and related aftermarket services, alongside products for heating, ventilation and refrigeration, residential and commercial climate controls, tools and storage solutions.