I'm starting to feel a little sympathy for the management team at Emerson (NYSE:EMR). While the recent financial performance from this industrial conglomerate
hasn't been that great, it increasingly seems to me that a lot of the
Street just waves off management's cautious commentary. If the Street is
building up expectations ahead of what Emerson's own people say they're
likely to do, I can't really fault the management for what happens.
In any case, I still think investors are too bullish on Emerson's
prospects. I do believe the Climate business is do for a solid rebound
and I like the company's underlying order trends in automation, but I do
worry both about the company's long-term competitiveness in automation
and whether expectations are still too high. At this point, I'd still
not be a buyer of Emerson.
Read more here:
http://www.investopedia.com/stock-analysis/080713/expectations-seem-be-bigger-problem-emerson-emr-abb-hon-etn.aspx
No comments:
Post a Comment