In the evolving landscape of industrial automation, two companies stand out for their innovative approaches: Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO). Both firms operate within the broader machinery sector, yet they offer distinct products and services that cater to different market needs. Rockwell focuses on digital transformation solutions, while Columbus specializes in intelligent motion systems. This comparison will help us identify which company presents a more compelling investment opportunity for you.
Table of contents
Company Overview
Rockwell Automation, Inc. Overview
Rockwell Automation, Inc. is a leader in industrial automation and digital transformation solutions, operating primarily in the United States and globally. Founded in 1903 and headquartered in Milwaukee, Wisconsin, Rockwell provides a comprehensive suite of products and services through its three main segments: Intelligent Devices, Software & Control, and Lifecycle Services. The company serves a diverse range of industries, including automotive, life sciences, and renewable energy, offering everything from hardware and software solutions to consulting services. With a market cap of approximately $44.4B, Rockwell emphasizes innovation and efficiency in automating production processes.
Columbus McKinnon Corporation Overview
Columbus McKinnon Corporation, established in 1875 and headquartered in Buffalo, New York, specializes in intelligent motion solutions that facilitate the ergonomic movement, lifting, positioning, and securing of materials. With a market cap of around $472M, the company offers a broad array of products, including hoists, crane systems, and material handling solutions. Columbus McKinnon serves various sectors such as industrial automation, construction, and e-commerce, distributing its products directly and through a network of partners. The company’s commitment to safety and reliability positions it as a significant player within the agricultural machinery industry.
Key similarities and differences
Both Rockwell Automation and Columbus McKinnon operate within the industrial sector, focusing on automation and machinery solutions. However, Rockwell’s primary emphasis lies in digital transformation and software integration, whereas Columbus McKinnon’s strength is in material handling and lifting technologies. This distinction defines their unique market positions and operational strategies.
Income Statement Comparison
The following table presents a comparative analysis of the income statements for Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO) for their most recent fiscal years.
| Metric | [Company A: ROK] | [Company B: CMCO] |
|---|---|---|
| Market Cap | 44.4B | 472.3M |
| Revenue | 8.34B | 963.0M |
| EBITDA | 1.40B | 75.1M |
| EBIT | 1.07B | 26.9M |
| Net Income | 869.0M | -5.1M |
| EPS | 7.69 | -0.18 |
| Fiscal Year | 2025 | 2024 |
Interpretation of Income Statement
In the most recent fiscal year, Rockwell Automation displayed a solid revenue increase to 8.34B, with a net income of 869.0M, reflecting a healthy growth trajectory. Conversely, Columbus McKinnon experienced a decline, posting a revenue of 963.0M but reporting a net loss of 5.1M. The operating margins for ROK improved, showcasing operational efficiency, while CMCO struggled with profitability, indicating potential challenges in cost management. Overall, ROK’s performance suggests a robust financial position, whereas CMCO’s results raise caution regarding their operational sustainability.
Financial Ratios Comparison
In this section, I’ll provide a comparative analysis of key financial ratios for Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO) based on the most recent data.
| Metric | ROK | CMCO |
|---|---|---|
| ROE | 27.23% | -0.58% |
| ROIC | 12.39% | 3.31% |
| P/E | 32.13 | 26.56 |
| P/B | 8.75 | 1.40 |
| Current Ratio | 2.37 | 1.81 |
| Quick Ratio | 1.56 | 1.04 |
| D/E | 0.97 | 0.61 |
| Debt-to-Assets | 36.37% | 32.84% |
| Interest Coverage | 8.37 | 1.68 |
| Asset Turnover | 0.74 | 0.55 |
| Fixed Asset Turnover | 6.89 | 9.07 |
| Payout Ratio | 59.95% | -156.52% |
| Dividend Yield | 1.87% | 1.65% |
Interpretation of Financial Ratios
The analysis shows that ROK displays a strong return on equity (ROE) and return on invested capital (ROIC), indicating effective use of equity and capital. However, CMCO’s negative ROE suggests challenges in profitability. ROK’s current and quick ratios indicate good liquidity, while CMCO’s higher fixed asset turnover reflects efficient asset utilization. The debt metrics suggest a balanced leverage for both companies, but ROK’s interest coverage ratio suggests stronger capacity to meet interest obligations compared to CMCO, which raises concerns regarding its debt service capability.
Dividend and Shareholder Returns
Rockwell Automation, Inc. (ROK) provides a dividend with a payout ratio of 59.9%, a yield of 1.87%, and a stable trend in dividends per share, reflecting strong free cash flow coverage. Conversely, Columbus McKinnon Corporation (CMCO) does not consistently pay dividends, likely due to its reinvestment strategy and recent net losses, although it engages in share buybacks. The differing approaches highlight how ROK’s dividend policy may support sustainable long-term value, while CMCO’s growth focus suggests potential for future capital appreciation.
Strategic Positioning
In the industrial automation and machinery sector, Rockwell Automation, Inc. (ROK) boasts a significant market share with a market cap of approximately $44.4B, positioning itself as a leader in automation solutions. Its diverse offerings, from intelligent devices to software solutions, allow it to adapt effectively to competitive pressures and technological disruptions. Conversely, Columbus McKinnon Corporation (CMCO), with a market cap of around $472M, faces challenges in scaling against larger competitors, but its niche in motion solutions provides unique opportunities within specific markets. The competitive landscape remains intense, requiring both companies to innovate continually.
Stock Comparison
In this section, I will analyze the stock price movements and trading dynamics of Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO) over the past year, focusing on key price fluctuations and market behavior.
Trend Analysis
Rockwell Automation, Inc. (ROK) Over the past year, ROK has exhibited a significant price change of +29.77%. This bullish trend is characterized by acceleration, indicating a strong upward momentum in the stock’s performance. The stock reached a notable high of 395.86 and a low of 227.11, showcasing considerable volatility with a standard deviation of 36.69. In the recent period from September 14, 2025, to November 30, 2025, ROK’s price increased by 14.77%, further supporting the bullish outlook.
Columbus McKinnon Corporation (CMCO) Conversely, CMCO has faced a challenging period, with a substantial price change of -55.48%, resulting in a bearish trend. This trend also shows acceleration, indicating a continuous decline. The stock reached a high of 44.9 and a low of 12.96, with a standard deviation of 11.26, reflecting notable volatility. In the recent timeframe from September 14, 2025, to November 30, 2025, CMCO’s price increased by 13.85%, but this does not counteract the overall bearish trajectory.
Analyst Opinions
Recent recommendations for Rockwell Automation, Inc. (ROK) indicate a cautious stance with an overall rating of C-. Analysts point to low scores in return on equity and assets, suggesting potential challenges ahead. In contrast, Columbus McKinnon Corporation (CMCO) has received a B+ rating, with strengths in discounted cash flow and price-to-book ratios. Analysts recommend a buy for CMCO, citing its solid fundamentals. The consensus for ROK remains a hold, whereas CMCO is generally viewed as a buy in the current year.
Stock Grades
In this section, I present the latest stock ratings for two notable companies, Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO).
Rockwell Automation, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Baird | maintain | Outperform | 2025-11-21 |
| B of A Securities | maintain | Buy | 2025-11-20 |
| JP Morgan | maintain | Neutral | 2025-11-11 |
| Morgan Stanley | maintain | Overweight | 2025-11-10 |
| Wells Fargo | maintain | Equal Weight | 2025-11-07 |
| Barclays | maintain | Overweight | 2025-11-07 |
| JP Morgan | maintain | Neutral | 2025-10-15 |
| Oppenheimer | maintain | Outperform | 2025-10-14 |
| Wells Fargo | maintain | Equal Weight | 2025-10-06 |
| Barclays | maintain | Overweight | 2025-08-14 |
Columbus McKinnon Corporation Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| DA Davidson | downgrade | Neutral | 2025-02-11 |
| DA Davidson | maintain | Buy | 2024-02-05 |
| DA Davidson | maintain | Buy | 2022-10-04 |
| DA Davidson | maintain | Buy | 2022-10-03 |
| Barrington Research | maintain | Outperform | 2022-07-29 |
| Barrington Research | maintain | Outperform | 2022-07-28 |
| JP Morgan | downgrade | Neutral | 2022-05-26 |
| Barrington Research | maintain | Outperform | 2022-05-26 |
| Barrington Research | maintain | Outperform | 2022-05-25 |
| JP Morgan | downgrade | Neutral | 2022-05-25 |
Overall, Rockwell Automation has seen consistent grades of “Outperform” and “Buy,” reflecting strong investor confidence. In contrast, Columbus McKinnon experienced a downgrade to “Neutral,” indicating a shift in sentiment that potential investors should consider.
Target Prices
The consensus target prices for Rockwell Automation, Inc. and Columbus McKinnon Corporation indicate positive expectations from analysts.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Rockwell Automation, Inc. | 402 | 345 | 377.6 |
| Columbus McKinnon Corporation | 50 | 48 | 49 |
For Rockwell Automation, the current stock price of 395.86 is close to the consensus target of 377.6, suggesting limited upside potential. Conversely, Columbus McKinnon’s price of 16.44 is significantly lower than its target consensus of 49, pointing to a potentially substantial upside.
Strengths and Weaknesses
The following table summarizes the strengths and weaknesses of Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO), based on recent data.
| Criterion | Rockwell Automation (ROK) | Columbus McKinnon (CMCO) |
|---|---|---|
| Diversification | Strong across multiple sectors | Moderate focus on industrial applications |
| Profitability | High net profit margin (15.26%) | Negative net profit margin (-0.53%) |
| Innovation | Leader in automation technology | Focus on ergonomic solutions, but less innovative |
| Global presence | Established international reach | Primarily North American market |
| Market Share | Significant in industrial automation | Niche market share in material handling |
| Debt level | Moderate debt levels (Debt to Equity: 1.17) | Higher debt levels (Debt to Equity: 0.61) |
Key takeaways indicate that while Rockwell Automation shows strong profitability and a robust global presence, Columbus McKinnon struggles with profitability and innovation. Investors should weigh these factors carefully when considering their portfolios.
Risk Analysis
In this section, I will analyze the potential risks associated with Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO).
| Metric | ROK | CMCO |
|---|---|---|
| Market Risk | High | Moderate |
| Regulatory Risk | Moderate | High |
| Operational Risk | Moderate | High |
| Environmental Risk | Moderate | Moderate |
| Geopolitical Risk | High | Moderate |
Both companies face significant market and operational risks, especially given the current economic volatility and regulatory uncertainties. Rockwell Automation’s high market risk reflects its exposure to industrial sectors, while Columbus McKinnon’s operational challenges stem from recent profitability issues.
Which one to choose?
When comparing Rockwell Automation, Inc. (ROK) and Columbus McKinnon Corporation (CMCO), the fundamentals suggest differing profiles. ROK has a market cap of approximately 30.6B and a bullish stock trend with a recent price increase of 14.77%. However, its financial health appears concerning with a C- rating due to low profitability metrics and high debt levels. CMCO, on the other hand, has a lower market cap of 486M, a bearish trend with a significant price drop of 55.48%, yet it holds a B+ rating, reflecting better growth potential and financial stability.
Investors focused on growth may prefer CMCO for its potential recovery, while those prioritizing stability may find ROK’s established presence attractive, albeit with caution.
Risks include market dependence and competition, particularly in ROK’s case. Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Rockwell Automation, Inc. and Columbus McKinnon Corporation to enhance your investment decisions:
