Why Emerson Electric is Poised to Outperform

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, industrial conglomerate Emerson Electric has earned a respected four-star ranking.

With that in mind, let's take a closer look at Emerson, and see what CAPS investors are saying about the stock right now.

Emerson facts

Headquarters (founded)

St. Louis, Mo. (1890)

Market Cap

$37.6 billion

Industry

Electrical components and equipment

Trailing-12-Month Revenue

$24.4 billion

Management

Chairman/CEO David Farr

President/COO Edward Monser

Return on Equity (average, past 3 years)

21.8%

Cash/Debt

$2.4 billion / $5.3 billion

Dividend Yield

3.2%

Competitors

ABB

General Electric


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 1,412 members who have rated Emerson believe the stock will outperform the S&P 500 going forward.

Earlier this year, one of those Fools, valuemoneygreen, succinctly summed up the Emerson bull case for our community:

Large diverse business that has proven itself over a long, long period of time. All the numbers meet the stuff I am looking for on this profile to pick it. This equity will not cream the market on returns but over time should outperform. Great business with a great track record ... take a look for yourself.

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a sure-fire way to secure your financial future. Of course, despite a strong four-star rating, Emerson may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2013." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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The article Why Emerson Electric is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of ABB and General Electric Company. Motley Fool newsletter services recommend Emerson Electric Co.. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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