Emerson Electric Price Target Bumped Up By Analysts Post Q3 Results

RBC Capital analyst Deane Dray raised the price target for Emerson Electric Co. EMR to $102 (an upside of 17%) from $96 while maintaining the Outperform rating on the shares.
The analyst mentions that he braced for much noise in Outperform-rated Emerson's 3Q22 results given the portfolio moves of AspenTech closing on May 16, Therm-O-Disc divested on May 30, and pending InSinkErator divestment.
Dray noted that adding to the commotion were the headwinds in China and ongoing chip shortages, together nicking $180 million in revenues, mainly in Automation.
Dray expects to see more portfolio optimization moves at the November-29 NYC analyst meeting, if not sooner.
Related: Emerson Electric Reports Q3 Sales Growth Of 7%, Raises FY22 EPS Guidance
Mizuho Securities analyst Brett Linzey raised the price target on Emerson to $86 (a downside of 1.3%) from $85 while maintaining the Neutral rating on the shares. The analyst states that Q3 was in-line at the segment level.
Citi analyst Andrew Kaplowitz raised the price target on Emerson to $99 from $96 while maintaining the Buy rating on the shares.
The analyst states that despite some short-term sales impact brought on by supply chain issues and lockdowns in China, he still sees Emerson's "still robust" demand trends in underlying orders as an indication that a strong demand cycle is still in motion.
Price Action: EMR shares are trading higher by 0.81% at $87.29 on the last check Wednesday.

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