Emerson Electric Down 6% on Weak Earnings, Guidance

Emerson Electric

is trading lower on the session following its Q2 earnings and full year guidance announcements. The company reported an EPS of $0.74 vs $0.80 estimate and revenues $5.92 billion vs $6.00 billion estimates. Emerson Electric guided 2012 EPS $3.35-3.50 vs $3.50 estimate. Chairman and Chief Executive Officer David N. Farr stated: “Operations recovered very well from an exceedingly difficult first quarter. The sequential profitability improvement demonstrated our ability to move beyond the challenges we faced last quarter. While trending in the right direction, growth was slow as certain end markets and regions remained under pressure – particularly Europe, China, and Brazil. Underlying growth will accelerate in the second half, but Europe and China will not improve to the degree we expected 90 days ago.” Emerson Electric is currently trading at $49.41, a loss of $3.13 or 5.96%.