WallStSmart

Emerson Electric Company (EMR)vsRentokil Initial PLC (RTO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Emerson Electric Company generates 165% more annual revenue ($18.32B vs $6.91B). EMR leads profitability with a 13.4% profit margin vs 6.8%. RTO appears more attractively valued with a PEG of 0.99. EMR earns a higher WallStSmart Score of 59/100 (C).

EMR

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 6.5Value: 4.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.57

RTO

Buy

57

out of 100

Grade: C

Growth: 8.7Profit: 5.0Value: 4.7Quality: 5.5
Piotroski: 5/9Altman Z: 2.29
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

RTOOvervalued (-6.2%)

Margin of Safety

-6.2%

Fair Value

$30.60

Current Price

$33.65

$3.05 premium

UndervaluedFair: $30.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR3 strengths · Avg: 8.3/10
Market CapQuality
$79.02B9/10

Large-cap with strong market position

Operating MarginProfitability
24.2%8/10

Strong operational efficiency at 24.2%

EPS GrowthGrowth
27.9%8/10

Earnings expanding 27.9% YoY

RTO2 strengths · Avg: 9.0/10
EPS GrowthGrowth
95.2%10/10

Earnings expanding 95.2% YoY

PEG RatioValuation
0.998/10

Growing faster than its price suggests

Areas to Watch

EMR3 concerns · Avg: 4.0/10
PEG RatioValuation
1.774/10

Expensive relative to growth rate

P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

RTO4 concerns · Avg: 2.8/10
Return on EquityProfitability
5.4%3/10

ROE of 5.4% — below average capital efficiency

Profit MarginProfitability
6.8%3/10

6.8% margin — thin

Debt/EquityHealth
1.123/10

Elevated debt levels

P/E RatioValuation
59.0x2/10

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, EPS Growth.

Bull Case : RTO

The strongest argument for RTO centers on EPS Growth, PEG Ratio. PEG of 0.99 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 : RTO

The primary concerns for RTO are Return on Equity, Profit Margin, Debt/Equity. A P/E of 59.0x leaves little room for execution misses.

Key Dynamics to Monitor

EMR carries more volatility with a beta of 1.25 — expect wider price swings.

RTO is growing revenue faster at 5.8% — sustainability is the question.

EMR generates stronger free cash flow (694M), providing more financial flexibility.

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

EMR scores higher overall (59/100 vs 57/100). 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.

Rentokil Initial PLC

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Rentokil Initial plc offers route-based services in North America, the UK, the rest of Europe, Asia, the Pacific and internationally. The company is headquartered in Crawley, the United Kingdom.

Want to dig deeper into these stocks?