Emerson(US:EMR)2025-11-20 14:00Emerson's Transformation and Growth - Emerson has significantly transformed its portfolio, increasing automation exposure from 64% to 88% between pre-transformation (2021) and today (2025)[58] - Emerson's organic growth has accelerated from a 2% CAGR (2010-2021) to a 7% CAGR (2021-2025)[66, 67] - Emerson's 2025 financial profile includes net sales of $18 billion, a gross profit margin of 52.8%, and an adjusted segment EBITA margin of 27.6%[73] Market Position and Strategy - Emerson has a $155 billion installed base, with a resilient business model supported by a 65% Maintenance, Repair & Operations (MRO) business in 2025[76, 77] - Emerson aims to increase cash returns to shareholders through accelerated share repurchase and increased dividends[38, 46] - Emerson is targeting organic sales growth of 4-7% through-the-cycle[84, 86] Financial Targets and Capital Allocation - Emerson is pivoting its capital allocation to prioritize a $10 billion return to shareholders[134] - Emerson is targeting $21 billion in net sales and an adjusted EPS of $8.00 by 2028[140] - Emerson plans to return $10 billion to shareholders through $6 billion in share repurchases and $4 billion in dividends between 2026 and 2028[139] Margin Expansion - Emerson is driving towards a 30% Adjusted Segment EBITA Margin[144] - Emerson is planning to return $10B to shareholders through accelerated share repurchase & increased dividends[139]