WallStSmart

Emerson Electric Company (EMR)vsMcGrath RentCorp (MGRC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 1826% more annual revenue ($18.19B vs $944.24M). MGRC leads profitability with a 16.6% profit margin vs 12.7%. MGRC appears more attractively valued with a PEG of 1.18. MGRC earns a higher WallStSmart Score of 69/100 (B-).

EMR

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 6.5Value: 4.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.57

MGRC

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

MGRCSignificantly Overvalued (-26.4%)

Margin of Safety

-26.4%

Fair Value

$91.46

Current Price

$109.38

$17.92 premium

UndervaluedFair: $91.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR2 strengths · Avg: 8.5/10
Market CapQuality
$78.93B9/10

Large-cap with strong market position

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

MGRC3 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.9%8/10

Strong operational efficiency at 28.9%

EPS GrowthGrowth
28.1%8/10

Earnings expanding 28.1% YoY

Areas to Watch

EMR4 concerns · Avg: 4.0/10
PEG RatioValuation
1.754/10

Expensive relative to growth rate

P/E RatioValuation
34.3x4/10

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

MGRC0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

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

Bull Case : MGRC

The strongest argument for MGRC centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 16.6% and operating margin at 28.9%. PEG of 1.18 suggests the stock is reasonably priced for its growth.

Bear Case : EMR

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

Bear Case : MGRC

No major red flags identified for MGRC, but monitor valuation.

Key Dynamics to Monitor

EMR profiles as a value stock while MGRC is a mature play — different risk/reward profiles.

EMR carries more volatility with a beta of 1.28 — expect wider price swings.

MGRC is growing revenue faster at 5.3% — sustainability is the question.

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

Bottom Line

MGRC scores higher overall (69/100 vs 51/100), backed by strong 16.6% margins. Both earn "Strong 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.

McGrath RentCorp

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

McGrath RentCorp is a business-to-business rental company in the United States and internationally. The company is headquartered in Livermore, California.

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