Emerson(US:EMR) 智通财经网·2026-01-06 06:29Group 1 - UBS upgraded Emerson Electric (EMR.US) from neutral to buy, citing that recent software business challenges have overshadowed stronger underlying demand trends, which are expected to drive earnings above expectations and enhance valuations [1] - UBS analyst Steven Fisher set a target price of $168, indicating over 20% upside potential from recent stock prices [1] - The company's guidance for organic growth of +4% for fiscal year 2026 appears conservative compared to recent actual order growth of +6%, suggesting potential upward revisions to expectations for fiscal year 2026 [1] Group 2 - UBS forecasts a return to double-digit earnings per share (EPS) growth post-2026, supported by mid-single-digit organic growth, approximately 40% margin, and capital returns [2] - The company is expected to conduct $6 billion in stock buybacks over the next three years as net debt trends decline below two times EBITDA, which will help boost earnings [2] - UBS highlighted that despite improvements in return on invested capital, Emerson Electric's stock price remains below the valuation levels of the industrial sector ETF, indicating potential for valuation re-rating [2]