General Electric (GE) closed the most recent trading day at $9.37, moving +0.11% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.69%. Elsewhere, the Dow lost 0.87%, while the tech-heavy Nasdaq lost 0.79%.
Coming into today, shares of the industrial conglomerate had lost 7.96% in the past month. In that same time, the Conglomerates sector lost 5.79%, while the S&P 500 lost 4.53%.
Wall Street will be looking for positivity from GE as it approaches its next earnings report date. On that day, GE is projected to report earnings of $0.12 per share, which would represent a year-over-year decline of 36.84%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $28.88 billion, down 4.07% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.61 per share and revenue of $118.47 billion. These totals would mark changes of -6.15% and -2.59%, respectively, from last year.
Any recent changes to analyst estimates for GE should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.3% higher. GE is currently a Zacks Rank #2 (Buy).
Investors should also note GE's current valuation metrics, including its Forward P/E ratio of 15.43. Its industry sports an average Forward P/E of 15.81, so we one might conclude that GE is trading at a discount comparatively.
Also, we should mention that GE has a PEG ratio of 2.13. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. GE's industry had an average PEG ratio of 1.78 as of yesterday's close.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 75, putting it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GE in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Electric Company (GE) : Free Stock Analysis Report
To read this article on Zacks.com click here.