Emerson Electric Co. (EMR): Today's Featured Industrial Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Emerson Electric ( EMR) pushed the Industrial industry higher today making it today's featured industrial winner. The industry as a whole closed the day up 0.6%. By the end of trading, Emerson Electric rose 62 cents (1.3%) to $47.96 on average volume. Throughout the day, 3.8 million shares of Emerson Electric exchanged hands as compared to its average daily volume of 3.6 million shares. The stock ranged in a price between $47.66-$48.10 after having opened the day at $47.76 as compared to the previous trading day's close of $47.34. Other companies within the Industrial industry that increased today were: A123 Systems ( AONE), up 23.1%, Proto Labs ( PRLB), up 20.1%, GrafTech International ( GTI), up 14.6%, and Gardner Denver ( GDI), up 11.5%.
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Emerson Electric Co. operates as a diversified technology company worldwide. It engages in designing and supplying products and technology, and delivering engineering services and solutions to industrial, commercial, and consumer markets. Emerson Electric has a market cap of $34.42 billion and is part of the industrial goods sector. The company has a P/E ratio of 14.7, above the average industrial industry P/E ratio of 14.4 and below the S&P 500 P/E ratio of 17.7. Shares are up 1.6% year to date as of the close of trading on Wednesday. Currently there are seven analysts that rate Emerson Electric a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Emerson Electric as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, China Valves Technology ( CVVT), down 9.3%, Wowjoint Holdings ( BWOW), down 9.1%, ZBB Energy Corporation ( ZBB), down 5.8%, and Dixie Group ( DXYN), down 4.9%, were all laggards within the industrial industry with Terex ( TEX) being today's industrial industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the industrial industry could consider SPDR Dow Jones Industrial Average ( DIA) while those bearish on the industrial industry could consider ProShares UltraShort Industrials ( SIJ).

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