EMR

[kh137]

Emerson Electric has been on my watch list for a while. 

It has an attractive P/E and share price, though there is some uncertainty with respect to the upcoming spin-off. 

More advantageous to start a position before it spins off or after?

[Kerim]

I know we're not supposed to be ruled by our emotions as investors, but I can't even look at EMR with any objectivity since having several orders filled out in the low / mid $40s back in January and February. I never pulled the trigger, and am now very annoyed with myself. Same story with CMI.

(I know, not a helpful response at all! Just ranting.)

[DividendGarden]

EMR is one of those companies that's been on my watchlist for years, but I've just never bought it. There always seems to be something else that I choose over it whenever I'm ready to make a purchase. One of these days, I'll have to initiate a position in EMR.

[Rasec]

Cost basis of $48, 3rd biggest position in my book atm. I really like it!


We're all going around without answering kh137's question though.

[DividendGarden]

When they do the spinoff, would one business be more attractive than the other?

[benjamen]

It appears that EMR is spinning off segments that currently lose money. Currently, it looks like this will help EMR and the spun off company won't be very healthy.

[DividendGarden]

I wonder if they will also saddle the spinoff with a lot of their debt, too.

[Dividendsrule]

Yeah not thrilled with the low quality assets spin off and their reliance on oil logistics. However, they do seem to be honing in on other businesses, I read recently they are focusing on Air conditioning and heating. This is good for their company in my opinion.