Benzinga | Jan 5, 2022 06:41AM EST

RBC Capital Upgrades Emerson Electric To Outperform, Sees 21% Upside

* RBC Capital analyst Deane Dray upgraded Emerson Electric Co. (NYSE:EMR) to Outperform from Sector Perform and raised the price target to $116 (an upside of 21%), from $104.

* Based on the analyst's Investment Framework, he believes it is the right time in the cycle to own this mid-tier quality Hybrid.

* Dray adds that the shares are trading below their relative P/E support level on valuation, and his SOP implies a 25% upside for a potential value-unlocking breakup.

* Recently, Barclays analyst Julian Mitchell raised Emerson Electric's price target to $99 (an upside of 3.26%) from $98 and maintained an Equal Weight rating on the shares.

* Price Action: EMR shares closed higher by 4.44% at $95.83 on Tuesday.