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Investing.com - KeyBanc raised its price target on Rockwell Automation (NYSE:ROK) to $370.00 from $360.00 on Tuesday, while maintaining an Overweight rating on the industrial automation company’s stock. The company, currently valued at $38.68 billion, is trading near its 52-week high of $348.43, according to InvestingPro data.
The investment firm expressed optimism about potential upside to Rockwell’s fiscal third-quarter 2025 earnings, projecting $2.70 per share compared to the consensus estimate of $2.66. With earnings scheduled for July 23rd, InvestingPro analysis indicates the company has maintained strong financial health, earning a "GOOD" overall rating.
KeyBanc’s increased price target reflects a more positive outlook on Rockwell’s margins, noting the company has lowered its second-half 2025 tariff cost headwind expectations to $70 million from the previously anticipated $125 million.
The firm suggested recent developments in the European Union and Asia could provide Rockwell with additional opportunities for tariff-related relief, despite second-quarter pricing actions being relatively minimal.
Rockwell Automation currently trades at 29.5 times KeyBanc’s 2026 earnings estimates, compared to the company’s five-year average price-to-earnings ratio of 26.6 times.
In other recent news, Rockwell Automation reported several key developments. The company announced a quarterly dividend of $1.31 per share, payable on September 10, 2025, to shareholders of record as of August 18, 2025. In addition, Rockwell Automation introduced PointMax I/O, a modular remote input/output system designed for greater flexibility in industrial automation, with availability expected in the third quarter of 2025. Analyst firms have adjusted their outlooks on Rockwell Automation, with Barclays (LON:BARC) upgrading the stock to Overweight and raising the price target to $350, citing a firmer top-line outlook. KeyBanc also raised its price target to $360 from $345, maintaining an Overweight rating, and highlighted the company’s strong margins and operational excellence. The company has not faced significant project delays despite trade policy volatility, according to KeyBanc. Rockwell Automation’s recent showcase of its OTTO Industrial Robotics business and the opening of a new manufacturing facility in Milwaukee were noted as strategic moves to enhance supply chain capabilities. These actions reflect Rockwell Automation’s proactive approach to strengthening its market position in industrial automation.
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