Form 4: Emerson CFO Baughman Reports Share Awards & Tax Withholding

Emerson Electric's Executive VP, CFO & CAO, Michael J. Baughman, reported the acquisition of performance share units and restricted stock units, alongside shares withheld for taxes.

Summary

• Michael J. Baughman, Executive VP, CFO & CAO of Emerson Electric Co., reported changes in his beneficial ownership of common stock.
• On November 3, 2025, Baughman acquired 35,967 shares of common stock from the payout of earned units under a performance share award.
• This payout was based on the achievement of financial targets for the performance period ending September 30, 2025.
• Concurrently, 16,205 shares were disposed of (withheld) at a price of $139.46 per share to cover required minimum taxes related to the vesting of the performance share award.
• Additionally, Baughman was granted 13,618 restricted stock units (RSUs) under a shareholder-approved benefit plan on November 3, 2025.
• Following these transactions, Baughman directly owns 120,625 shares of common stock and indirectly owns 563.357 shares through a 401(k) excess plan.

Sentiment

Score: 7

Explanation: The filing indicates successful achievement of financial targets leading to performance share payouts and ongoing executive equity incentives, which are generally positive signs of company performance and management alignment. The tax withholding is a routine event.

Positives

• Acquisition of 35,967 shares of common stock from a performance share award, indicating achievement of financial targets for the period ended September 30, 2025.
• Grant of 13,618 restricted stock units under a shareholder-approved benefit plan, demonstrating ongoing equity incentives for management.

Negatives

• Disposition of 16,205 shares of common stock at $139.46 to cover required minimum taxes upon vesting of performance share units, which is a standard tax event.

Future Outlook

NA

Industry Context

NA

Stakeholder Impact

• Shareholders: The executive's increased direct ownership (net of tax withholding) and RSU grants align management interests with shareholder value. The achievement of financial targets for performance awards is positive for shareholders.

Key Dates

Recommendation

This Form 4 details routine executive compensation events, including the vesting of performance shares due to achieved financial targets and the grant of restricted stock units, alongside standard tax withholding. These transactions are expected and do not provide new information that would significantly alter the investment thesis for Emerson Electric. The report indicates management alignment through equity ownership but does not present a catalyst for a 'buy' or 'sell' recommendation.

Keywords

Emerson Electric, EMR, Form 4, Insider Trading, Beneficial Ownership, Performance Share Award, Restricted Stock Units, Executive Compensation, Michael J. Baughman, CFO