WallStSmart

Emerson Electric Company (EMR)vsGraham Corporation (GHM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 7556% more annual revenue ($18.19B vs $237.56M). EMR leads profitability with a 12.7% profit margin vs 6.3%. EMR appears more attractively valued with a PEG of 1.64. GHM earns a higher WallStSmart Score of 54/100 (C-).

EMR

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 6.5Value: 7.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.56

GHM

Buy

54

out of 100

Grade: C-

Growth: 8.7Profit: 5.5Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EMRSignificantly Overvalued (-159.6%)

Margin of Safety

-159.6%

Fair Value

$59.58

Current Price

$130.86

$71.28 premium

UndervaluedFair: $59.58Overvalued
GHMSignificantly Overvalued (-39.7%)

Margin of Safety

-39.7%

Fair Value

$63.18

Current Price

$84.93

$21.75 premium

UndervaluedFair: $63.18Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR2 strengths · Avg: 8.5/10
Market CapQuality
$73.18B9/10

Large-cap with strong market position

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

GHM2 strengths · Avg: 9.0/10
EPS GrowthGrowth
78.6%10/10

Earnings expanding 78.6% YoY

Revenue GrowthGrowth
20.5%8/10

Revenue surging 20.5% year-over-year

Areas to Watch

EMR4 concerns · Avg: 4.0/10
PEG RatioValuation
1.644/10

Expensive relative to growth rate

P/E RatioValuation
32.0x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

EPS GrowthGrowth
4.9%4/10

4.9% earnings growth

GHM4 concerns · Avg: 3.0/10
PEG RatioValuation
2.284/10

Expensive relative to growth rate

Market CapQuality
$885.05M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

P/E RatioValuation
59.2x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

The strongest argument for EMR centers on Market Cap, Operating Margin.

Bull Case : GHM

The strongest argument for GHM centers on EPS Growth, Revenue Growth. Revenue growth of 20.5% demonstrates continued momentum.

Bear Case : EMR

The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : GHM

The primary concerns for GHM are PEG Ratio, Market Cap, Profit Margin. A P/E of 59.2x leaves little room for execution misses.

Key Dynamics to Monitor

EMR profiles as a value stock while GHM is a growth play — different risk/reward profiles.

EMR carries more volatility with a beta of 1.24 — expect wider price swings.

GHM is growing revenue faster at 20.5% — sustainability is the question.

EMR generates stronger free cash flow (602M), providing more financial flexibility.

Bottom Line

GHM scores higher overall (54/100 vs 51/100) and 20.5% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Emerson Electric Company

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.

Graham Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Graham Corporation designs, manufactures and supplies vacuum and heat transfer equipment for the chemical, defense, petrochemical, oil refining, power generation / alternative energy and other industries. The company is headquartered in Batavia, New York.

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