Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Emerson Electric Co. (NYSE:EMR)

This company was transferred to the archive: financial data is no longer updated!

Analysis of Liquidity Ratios

Beginner level

Liquidity ratios measure the company’s ability to meet its short-term obligations.


Liquidity Ratios (Summary)

Emerson Electric Co., liquidity ratios

Microsoft Excel LibreOffice Calc
Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016 Sep 30, 2015 Sep 30, 2014
Current ratio 1.19 1.07 1.64 1.24 1.29 1.29
Quick ratio 0.83 0.72 1.22 0.73 0.95 0.97
Cash ratio 0.25 0.18 0.61 0.40 0.39 0.37

Based on: 10-K (filing date: 2019-11-18), 10-K (filing date: 2018-11-19), 10-K (filing date: 2017-11-20), 10-K (filing date: 2016-11-16), 10-K (filing date: 2015-11-18), 10-K (filing date: 2014-11-19).

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Emerson Electric Co.’s current ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Emerson Electric Co.’s quick ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Emerson Electric Co.’s cash ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Current Ratio

Emerson Electric Co., current ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016 Sep 30, 2015 Sep 30, 2014
Selected Financial Data (US$ in millions)
Current assets 7,139  6,619  8,252  9,960  10,049  10,867 
Current liabilities 5,976  6,164  5,045  8,008  7,800  8,454 
Liquidity Ratio
Current ratio1 1.19 1.07 1.64 1.24 1.29 1.29
Benchmarks
Current Ratio, Industry
Industrials 1.28 1.29 1.44 1.44

Based on: 10-K (filing date: 2019-11-18), 10-K (filing date: 2018-11-19), 10-K (filing date: 2017-11-20), 10-K (filing date: 2016-11-16), 10-K (filing date: 2015-11-18), 10-K (filing date: 2014-11-19).

1 2019 Calculation
Current ratio = Current assets ÷ Current liabilities
= 7,139 ÷ 5,976 = 1.19

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Emerson Electric Co.’s current ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Quick Ratio

Emerson Electric Co., quick ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016 Sep 30, 2015 Sep 30, 2014
Selected Financial Data (US$ in millions)
Cash and equivalents 1,494  1,093  3,062  3,182  3,054  3,149 
Receivables, less allowances 2,985  3,344  3,072  2,701  4,319  5,019 
Unbilled receivables (contract assets) 456  —  —  —  —  — 
Total quick assets 4,935  4,437  6,134  5,883  7,373  8,168 
 
Current liabilities 5,976  6,164  5,045  8,008  7,800  8,454 
Liquidity Ratio
Quick ratio1 0.83 0.72 1.22 0.73 0.95 0.97
Benchmarks
Quick Ratio, Industry
Industrials 0.80 0.81 0.97 0.96

Based on: 10-K (filing date: 2019-11-18), 10-K (filing date: 2018-11-19), 10-K (filing date: 2017-11-20), 10-K (filing date: 2016-11-16), 10-K (filing date: 2015-11-18), 10-K (filing date: 2014-11-19).

1 2019 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 4,935 ÷ 5,976 = 0.83

Liquidity ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Emerson Electric Co.’s quick ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Cash Ratio

Emerson Electric Co., cash ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016 Sep 30, 2015 Sep 30, 2014
Selected Financial Data (US$ in millions)
Cash and equivalents 1,494  1,093  3,062  3,182  3,054  3,149 
Total cash assets 1,494  1,093  3,062  3,182  3,054  3,149 
 
Current liabilities 5,976  6,164  5,045  8,008  7,800  8,454 
Liquidity Ratio
Cash ratio1 0.25 0.18 0.61 0.40 0.39 0.37
Benchmarks
Cash Ratio, Industry
Industrials 0.41 0.37 0.51 0.52

Based on: 10-K (filing date: 2019-11-18), 10-K (filing date: 2018-11-19), 10-K (filing date: 2017-11-20), 10-K (filing date: 2016-11-16), 10-K (filing date: 2015-11-18), 10-K (filing date: 2014-11-19).

1 2019 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 1,494 ÷ 5,976 = 0.25

Liquidity ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Emerson Electric Co.’s cash ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.