Diversified electric components maker Emerson Electric Co. (EMR) on Tuesday posted lower-than-expected fiscal second quarter earnings, sending its shares retreating in premarket trading.
The St. Louis-based company reported fiscal second quarter net income of $545 million, or 74 cents per share, compared with $556 million, or 73 cents per share, in the year-ago period.
Revenue rose 1% from last year to $5.92 billion.
On average, Wall Street analysts expected a higher profit of 80 cents per share, on larger revenue of $6 billion.
Looking ahead, EMR narrowed its full-year 2012 earnings outlook to a range of $3.35 to $3.50 per share, which could miss analysts’ estimates of $3.50 per share for the year.
Emerson Electric shares fell $2.54, or -4.8%, in premarket trading Tuesday.
The Bottom Line
Shares of Emerson Electric (EMR) have a 3.05% dividend yield, based on last night’s closing stock price of $52.51. The stock has technical support in the $45-$50 price area. If the shares can firm up, we see overhead resistance around the $55-$56 price levels.
Emerson Electric Co. (EMR) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.2 out of 5 stars.