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Strategies & Market Trends : Fundamental Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: bruwin who wrote (4413)	5/21/2020 7:53:53 PM
From: E_K_S	Respond to of 4719

I am researching EMR and have made a few notes on why I like the company. They have an industrial division that helps manufactures automate their systems and more importantly a basket of technologies (ie lio T) that can collect & tract sensor data in the 'cloud' to optimize and make current systems more efficient. The company is developing AI smart modeling programs to process this 'big data' that can provide predictive failure points and/or inefficiencies in current designs. They have invested in a new research center to work on this and other 'smart' manufacturing applications. Here are a few notes as I dig deeper into their operations. I did start a small position and plan to build it into a full core position to complement my holdings in Honeywell. I think EMR could over 10 years be a leader in next generation industrial manufacturing systems similar to what Honeywell has done in aviation. cloud computing, artificial intelligence and the falling cost of computing technology—making-high tech sensors cheap—is changing the way Emerson's customers think about technology in the manufacturing environment IioT - "It started off with tracking and measurement, now there is modeling and autonomous controls—now there is a layer for enterprise connectivity." Today's IioT technology—the kinds being developed at Honeywell (HON) and Emerson—are building bridges, providing more integration and functionality. The IioT is "going to grow [total sales] above and beyond the industry" growth rate, previous guidance: Emerson expected to earn about $3.67 a share in its fiscal year 2020 ending in September (13% decrease) The new full-year guidance is for about $3.10 a share. Emerson has more than 10,000 employees in China and the company said its Chinese assets are operating at about 85% of designed capacity. EMR has clients worldwide and landed some big jobs in India. They recently acquired a company earlier this year to help in some of their core markets. EMR goes into my High Tech basket w/ earnings and several growth areas at a reasonable price. Based on their reduced guidance, company is selling at 18 PE and may/could have pent up demand in orders/services in 2021 on business cancelled in 2020 due to the virus. EKS