Comparing Emerson Electric (NYSE:EMR) & GE Vernova (NYSE:GEV)

GE Vernova (NYSE:GEV) and Emerson Electric (NYSE:EMR) are both large-cap oils/energy companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Insider & Institutional Ownership

74.3% of Emerson Electric shares are held by institutional investors. 0.3% of Emerson Electric shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares GE Vernova and Emerson Electric’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GE Vernova	$33.24 billion	1.37	-$438.00 million	N/A	N/A
Emerson Electric	$15.17 billion	4.01	$13.22 billion	$19.20	5.55

Emerson Electric has lower revenue, but higher earnings than GE Vernova.

Profitability

This table compares GE Vernova and Emerson Electric’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GE Vernova	N/A	N/A	N/A
Emerson Electric	69.33%	11.59%	6.62%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for GE Vernova and Emerson Electric, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GE Vernova	0	2	7	0	2.78
Emerson Electric	0	2	13	0	2.87

GE Vernova presently has a consensus price target of $158.56, suggesting a potential downside of 4.63%. Emerson Electric has a consensus price target of $116.25, suggesting a potential upside of 9.11%. Given Emerson Electric’s stronger consensus rating and higher probable upside, analysts plainly believe Emerson Electric is more favorable than GE Vernova.

Summary

Emerson Electric beats GE Vernova on 10 of the 11 factors compared between the two stocks.

About GE Vernova

GE Vernova LLC, an energy business company, generates electricity. It operates under three segments: Power, Wind, and Electrification. The Power segments generates and sells electricity through hydro, gas, nuclear, and steam power. Wind segment engages in the manufacturing and sale of wind turbine blades; and Electrification segment provides grid solutions, power conversion, solar, and storage solutions. The company was incorporated in 2023 and is based in Cambridge, Massachusetts. GE Vernova operates as a subsidiary of General Electric Company.

About Emerson Electric

Emerson Electric Co., a technology and software company, provides various solutions for customers in industrial, commercial, and consumer markets in the Americas, Asia, the Middle East, Africa, and Europe. It operates in six segments: Final Control, Control Systems & Software, Measurement & Analytical, AspenTech, Discrete Automation, and Safety & Productivity. The Final Control segment provides control, isolation, shutoff, pressure relief, and pressure safety valves, actuators, and regulators for process and hybrid industries. The Measurement & Analytical segment offers intelligent instrumentation measuring the physical properties of liquids or gases, such as pressure, temperature, level, flow, acoustics, corrosion, pH, conductivity, water quality, toxic gases, and flame. The Discrete Automation segment offers solenoid and pneumatic valves, valve position indicators, pneumatic cylinders, air preparation equipment, pressure and temperature switches, electric linear motion solutions, programmable automation control systems, electrical distribution equipment, and materials joining solutions. The Safety & Productivity segment offers tools for professionals and homeowners; pipe-working tools, including pipe wrenches, pipe cutters, pipe threading and roll grooving equipment, battery hydraulic tools; electrical tools; and other professional tools. The Control Systems & Software segment provides distributed control systems, safety instrumented systems, SCADA systems, application software, digital twins, asset performance management, and cybersecurity. The Test & Measurement provides software-connected automated test and measurement systems. The AspenTech segment provides asset optimization software that enables industrial manufacturers to design, operate, and maintain operations for enhancing performance through a combination of decades of modeling, simulation, and optimization capabilities. The company was incorporated in 1890 and is headquartered in Saint Louis, Missouri.