- ROK's revenue growth has slightly outpaced the industry average of 6.5%. Since the same quarter one year prior, revenues slightly increased by 1.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- The current debt-to-equity ratio, 0.44, is low and is below the industry average, implying that there has been successful management of debt levels. To add to this, ROK has a quick ratio of 1.71, which demonstrates the ability of the company to cover short-term liquidity needs.
- 43.75% is the gross profit margin for ROCKWELL AUTOMATION which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 12.10% is above that of the industry average.
- ROCKWELL AUTOMATION' earnings per share from the most recent quarter came in slightly below the year earlier quarter. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, ROCKWELL AUTOMATION increased its bottom line by earning $5.36 versus $5.14 in the prior year. This year, the market expects an improvement in earnings ($6.15 versus $5.36).
- Net operating cash flow has slightly increased to $301.10 million or 2.44% when compared to the same quarter last year. Despite an increase in cash flow, ROCKWELL AUTOMATION's average is still marginally south of the industry average growth rate of 3.11%.
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. The Industrial Goods sector as a whole closed the day down 1.5% versus the S&P 500, which was down 0.8%. Laggards within the Industrial Goods sector included Art's-Way Manufacturing ( ARTW), down 4.8%, TAT Technologies ( TATT), down 1.8%, Guanwei Recycling ( GPRC), down 9.8%, P & F Industries ( PFIN), down 2.2% and Skyline ( SKY), down 3.3%. TheStreet Ratings Group would like to highlight 3 stocks that pushed the sector lower today: Rockwell Automation ( ROK) is one of the companies that pushed the Industrial Goods sector lower today. Rockwell Automation was down $2.13 (1.8%) to $115.00 on average volume. Throughout the day, 761,257 shares of Rockwell Automation exchanged hands as compared to its average daily volume of 615,900 shares. The stock ranged in price between $114.68-$117.00 after having opened the day at $117.00 as compared to the previous trading day's close of $117.13. Rockwell Automation, Inc. provides industrial automation power, control, and information solutions. It operates in two segments, Architecture & Software and Control Products & Solutions. Rockwell Automation has a market cap of $16.2 billion and is part of the industrial industry. Shares are down 0.9% year-to-date as of the close of trading on Friday. Currently there are 8 analysts who rate Rockwell Automation a buy, 2 analysts rate it a sell, and 4 rate it a hold. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings rates Rockwell Automation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, increase in stock price during the past year and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Highlights from TheStreet Ratings analysis on ROK go as follows: