Emerson Elec Co Stock Price, News & Analysis

Aspen Technology (AZPN) has announced the expiration of the waiting period under the Hart-Scott-Rodino Act and received antitrust clearance from the Austrian Federal Competition Authority in relation to its proposed acquisition by Emerson (EMR). This marks significant progress towards finalizing the transaction initially disclosed on October 11, 2021. However, approval from AspenTech shareholders and further antitrust clearances in Russia and South Korea remain necessary. The deal's closure is anticipated in the second quarter of 2022.

TenneT has selected Emerson (NYSE: EMR) to enhance its high-voltage transmission network serving approximately 42 million people in the Netherlands and Germany. Emerson will deploy its OSI Monarch™ software to optimize operations, improve forecasting, and enhance disaster recovery capabilities. This collaboration supports TenneT's transition to a more dynamic energy market by integrating renewable energy effectively. Emerson's acquisition of OSI in October 2020 has bolstered its electrification capabilities, enabling real-time monitoring and optimization across power networks.

Emerson (NYSE: EMR) has announced a $100 million investment commitment to Emerson Ventures, its corporate venture capital initiative. This funding will enhance the development of disruptive automation solutions, sustainable technologies, and industrial software. The company plans to invest in four to six early-stage startups annually over five years, focusing on partnerships that provide strategic insights.

This initiative aims to drive innovation while contributing to a greener future, facilitating co-investment with top-tier venture firms.

Emerson reported a strong fourth quarter with net sales of $4.9 billion, up 9% despite a $175 million impact from supply chain issues. Full year net sales reached $18.2 billion, also up 9%. GAAP EPS for Q4 was $1.11, down 8%, while adjusted EPS was $1.21, up 10%. The company continued its trend of increasing dividends, declaring $0.515 per share. Trailing three-month orders rose 16% indicating strong demand, particularly in automation and residential markets. The company anticipates further growth into 2022.

Emerson has partnered with ReNew ELP to provide digital automation solutions for a new plastics recycling plant in Teesside, England. This facility aims to utilize the innovative HydroPRS™ technology to convert unrecyclable plastics into valuable feedstock, enhancing sustainability and reducing waste. The plant is expected to process 20,000 tonnes of plastic waste annually. Emerson's methodology aims for efficient project execution, ensuring the facility meets environmental goals and operational performance.

Aspen Technology, Inc. (NASDAQ: AZPN) reported strong financial results for Q1 fiscal 2022, ending September 30, 2021. Total revenue reached $136 million, a significant increase from $128.2 million in Q1 fiscal 2021. License revenue surged to $81.1 million, up from $61.9 million year-over-year. The company anticipates 5-7% annual spend growth for fiscal 2022, with total revenue guidance between $702-$737 million. Notably, AspenTech's partnership with Emerson Electric (NYSE: EMR) is expected to enhance its market position.

Emerson (NYSE: EMR) will announce its fourth quarter and full year results on November 3, 2021, prior to market opening. A conference call with senior management will follow at 9 a.m. Eastern Time. Investors can access the call and presentation slides through Emerson’s website. A replay will be available for three months post-event. Emerson, based in St. Louis, Missouri, specializes in technology and engineering solutions across various markets.

Emerson and AspenTech have agreed to a strategic transaction where Emerson will acquire a 55% stake in a new AspenTech by contributing its industrial software businesses and $6 billion in cash. AspenTech shareholders will receive about $87 per share in cash plus 0.42 shares in the new company, totaling approximately $160 per share. The deal aims to enhance Emerson's industrial software strategy and facilitate double-digit growth, with pro forma revenues estimated at $1.1 billion for FY22. The transaction is projected to close in Q2 2022, subject to approvals.