Rockwell Automation Inc. (NYSE:ROK) shares traded higher over the last trading session, gaining 0.90% on 06/10/21. The shares fell to a low of $278.495 before closing at $281.67. Intraday shares traded counted 0.89 million, which was -38.16% lower than its 30-day average trading volume of 644.60K. ROK’s previous close was $279.15 while the outstanding shares total 116.10M. The firm has a beta of 1.35, a 12-month trailing P/E ratio of 20.76, and a growth ratio of 1.77. The stock’s Relative Strength Index (RSI) is 71.03, with weekly volatility at 1.44% and ATR at 4.75. The ROK stock’s 52-week price range has touched low of $200.60 and a $279.88 high.
Investors have identified the Specialty Industrial Machinery company Rockwell Automation Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $32.56 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Rockwell Automation Inc. (ROK) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 2.97 billion total, with 2.14 billion as their total liabilities.
ROK were able to record 543.3 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by -62.7 million. In cash movements, the company had a total of 595.4 million as operating cash flow.
Potential earnings growth for Rockwell Automation Inc. (ROK)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, Rockwell Automation Inc. recorded a total of 1.78 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 5.34% coming in sequential stages and their sales for the 07/28/2021 quarter increasing by 11.87%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.01 billion trying to sell their products during the last quarter, with the result yielding a gross income of 767.4 million. This allows shareholders to hold on to 116.10M with the recently reported earning now reading 3.53 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (2.41 cents a share).
Having a look at the company’s valuation, the company is expected to record 9.86 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on ROK sounds very interesting.
Is the stock of ROK attractive?
In related news, SVP,Chief Supply Chain Officer, Nicolas Ernest sold 319 shares of the company’s stock in a transaction that recorded on Jun 08. The sale was performed at an average price of 276.29, for a total value of 88,138. As the sale deal closes, the SVP,Chief Supply Chain Officer, Nicolas Ernest now sold 95 shares of the company’s stock, valued at 26,193. Also, SVP,Chief Supply Chain Officer, Nicolas Ernest sold 239 shares of the company’s stock in a deal that was recorded on Jun 03. The shares were price at an average price of 275.00 per share, with a total market value of 65,726. Following this completion of acquisition, the SVP, Wlodarczyk Francis now holds 3,400 shares of the company’s stock, valued at 909,583. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.20%.
8 out of 25 analysts covering the stock have rated it a Buy, while 10 have maintained a Hold recommendation on Rockwell Automation Inc.. 5 analysts has assigned a Sell rating on the ROK stock. The 12-month mean consensus price target for the company’s shares has been set at $274.89.