Deep Dive Into Rockwell Automation Stock: Analyst Perspectives (12 Ratings)

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In the latest quarter, 12 analysts provided ratings for Rockwell Automation ROK, showcasing a mix of bullish and bearish perspectives.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 2 5 3 2 0
Last 30D 0 0 0 1 0
1M Ago 0 0 1 0 0
2M Ago 2 2 1 0 0
3M Ago 0 3 1 1 0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $304.42, along with a high estimate of $350.00 and a low estimate of $240.00. This upward trend is evident, with the current average reflecting a 5.94% increase from the previous average price target of $287.36.

price target chart

Understanding Analyst Ratings: A Comprehensive Breakdown

A clear picture of Rockwell Automation's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Stephen Tusa JP Morgan Lowers Underweight $240.00 $245.00
Julian Mitchell Barclays Lowers Equal-Weight $285.00 $290.00
Saree Boroditsky Jefferies Raises Buy $350.00 $290.00
Andrew Kaplowitz Citigroup Raises Buy $345.00 $313.00
Ken Newman Keybanc Maintains Overweight $345.00 $345.00
Julian Mitchell Barclays Raises Equal-Weight $290.00 $255.00
Richard Eastman Baird Raises Outperform $305.00 $290.00
Joshua Pokrzywinski Morgan Stanley Raises Overweight $335.00 $320.00
Chris Snyder UBS Announces Neutral $313.00 -
Julian Mitchell Barclays Raises Underweight $255.00 $245.00
Noah Kaye Oppenheimer Raises Outperform $300.00 $288.00
Richard Eastman Baird Raises Outperform $290.00 $280.00

Key Insights:

  • Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Rockwell Automation. This insight gives a snapshot of analysts' perspectives on the current state of the company.
  • Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Rockwell Automation compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Rockwell Automation's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

For valuable insights into Rockwell Automation's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Rockwell Automation analyst ratings.

Delving into Rockwell Automation's Background

With roots tracing back to the early 1900s, Rockwell Automation is the successor to Rockwell International, which spun off its avionics segment in 2001. It is a pure-play industrial automation company that operates through three segments. Its largest segment by revenue, intelligent devices, sells factory floor-level devices such as motors, drives, sensors, relays, and actuators. Its software & control segment sells visualization, simulation, and human-machine interface software and control products such as programmable controllers, computers, and operator terminals. Its smallest segment, lifecycle services, offers digital consulting, engineered-to-order services, and other outsourced services such as remote monitoring, cybersecurity, and asset and plant maintenance and optimization.

Rockwell Automation: A Financial Overview

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Decline in Revenue: Over the 3 months period, Rockwell Automation faced challenges, resulting in a decline of approximately -20.58% in revenue growth as of 30 September, 2024. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: Rockwell Automation's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 11.69% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Rockwell Automation's ROE excels beyond industry benchmarks, reaching 6.98%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Rockwell Automation's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.12% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Rockwell Automation's debt-to-equity ratio stands notably higher than the industry average, reaching 1.17. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Analyst Ratings: What Are They?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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