Head-To-Head Contrast: Emerson Electric (NYSE:EMR) and NuScale Power (NYSE:SMR)

NuScale Power (NYSE:SMR) and Emerson Electric (NYSE:EMR) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.

Analyst Recommendations

This is a summary of current ratings and recommmendations for NuScale Power and Emerson Electric, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NuScale Power	4	8	4	1	2.12
Emerson Electric	1	9	13	1	2.58

NuScale Power presently has a consensus price target of $12.96, suggesting a potential upside of 67.72%. Emerson Electric has a consensus price target of $169.83, suggesting a potential upside of 5.00%. Given NuScale Power’s higher possible upside, equities research analysts plainly believe NuScale Power is more favorable than Emerson Electric.

Profitability

This table compares NuScale Power and Emerson Electric’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NuScale Power	-3,888.70%	-35.59%	-30.27%
Emerson Electric	13.83%	17.58%	8.50%

Institutional and Insider Ownership

78.4% of NuScale Power shares are held by institutional investors. Comparatively, 74.3% of Emerson Electric shares are held by institutional investors. 1.3% of NuScale Power shares are held by company insiders. Comparatively, 0.2% of Emerson Electric shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares NuScale Power and Emerson Electric”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NuScale Power	$31.48 million	105.49	-$355.79 million	($2.92)	-2.65
Emerson Electric	$18.02 billion	5.03	$2.29 billion	$4.57	35.39

Emerson Electric has higher revenue and earnings than NuScale Power. NuScale Power is trading at a lower price-to-earnings ratio than Emerson Electric, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

NuScale Power has a beta of 2.36, meaning that its share price is 136% more volatile than the S&P 500. Comparatively, Emerson Electric has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500.

Summary

Emerson Electric beats NuScale Power on 9 of the 14 factors compared between the two stocks.

About NuScale Power

NuScale Power Corporation engages in the development and sale of modular light water reactor nuclear power plants to supply energy for electrical generation, district heating, desalination, hydrogen production, and other process heat applications. It offers NuScale Power Module (NPM), a water reactor that can generate 77 megawatts of electricity (MWe); and VOYGR power plant designs for three facility sizes that are capable of housing from one to four and six or twelve NPMs. The company was founded in 2007 and is headquartered in Portland, Oregon. NuScale Power Corporation operates as a subsidiary of Fluor Enterprises, Inc.

About Emerson Electric

Emerson Electric Co., a technology and software company, provides various solutions for customers in industrial, commercial, and consumer markets in the Americas, Asia, the Middle East, Africa, and Europe. It operates in six segments: Final Control, Control Systems & Software, Measurement & Analytical, AspenTech, Discrete Automation, and Safety & Productivity. The Final Control segment provides control, isolation, shutoff, pressure relief, and pressure safety valves, actuators, and regulators for process and hybrid industries. The Measurement & Analytical segment offers intelligent instrumentation measuring the physical properties of liquids or gases, such as pressure, temperature, level, flow, acoustics, corrosion, pH, conductivity, water quality, toxic gases, and flame. The Discrete Automation segment offers solenoid and pneumatic valves, valve position indicators, pneumatic cylinders, air preparation equipment, pressure and temperature switches, electric linear motion solutions, programmable automation control systems, electrical distribution equipment, and materials joining solutions. The Safety & Productivity segment offers tools for professionals and homeowners; pipe-working tools, including pipe wrenches, pipe cutters, pipe threading and roll grooving equipment, battery hydraulic tools; electrical tools; and other professional tools. The Control Systems & Software segment provides distributed control systems, safety instrumented systems, SCADA systems, application software, digital twins, asset performance management, and cybersecurity. The Test & Measurement provides software-connected automated test and measurement systems. The AspenTech segment provides asset optimization software that enables industrial manufacturers to design, operate, and maintain operations for enhancing performance through a combination of decades of modeling, simulation, and optimization capabilities. The company was incorporated in 1890 and is headquartered in Saint Louis, Missouri.