Is Eaton Stock Worth More Than Its Competitors?

Investors are paying a premium for Eaton (ETN). The stock trades at 43.3 times earnings, the highest price among industrial peers including Emerson Electric and Parker Hannifin. Buyers may be paying for growth, and the company is expanding sales faster than any competitor in that group. Yet Eaton converts less of those sales into operating profit than most of its rivals. So how big is Eaton's lead on growth, and how far behind is it on margin.