UBS Warburg downgraded Emerson Electric (EMR ) to hold from buy.
Analyst John Baliotti says he expected more improvement in orders over January. He says Electronics & Telecom (E&T) segment orders fell 30%+, reflecting continued weakness in the computing and telecom equipment markets. He expects E&T orders to remain weak but had also expected other segments to show a more pronounced recovery. Baliotti cut his $3.00 fiscal 2002 (Sept.) EPS estimate to $2.85, reflecting a more muted demand recovery in end-markets for the balance of fiscal 2002; he cut his $3.45 fiscal 2002 estimate to $3.25 and cut the $67 12-month target to $62.