|Bid||137.57 x 900|
|Ask||138.66 x 800|
|Day's Range||137.32 - 139.02|
|52 Week Range||100.48 - 144.40|
|Beta (3Y Monthly)||1.32|
|PE Ratio (TTM)||22.50|
|Earnings Date||Oct 21, 2019 - Oct 25, 2019|
|Forward Dividend & Yield||2.94 (2.13%)|
|1y Target Est||153.33|
Shares of General Electric (NYSE:GE) had enjoyed a strong 2019. The stock bottomed out in December just below $6.50, before General Electric stock rallied more than 75% to $11.27 in February.Source: Carsten Reisinger / Shutterstock.com Since then though, GE stock has been consolidating in a mostly sideways pattern. However, that sideways pattern is starting to develop into a rather negative look. That's even as General Electric stock has remained well-above its December lows. * 7 Tech Stocks You Should Avoid Now It has got investors wondering if there's been a "change in tune" with GE stock and if the sideways action will result in dead money -- or worse, losses -- rather than resolve higher. Before diving into the company, let's look at the technicals.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Trading General Electric StockWe have been covering General Electric stock here on InvestorPlace for quite some time. It's no wonder, given its former place among America's blue-chip companies. That's no longer the case, even among its own industry. Names like Honeywell (NYSE:HON), 3M (NYSE:MMM) and United Technologies (NYSE:UTX) are all considered superior entities.In any regard, we kept such a close eye on GE stock because of its tight trading range. Specifically, we continued to highlight range support at $9 and range resistance near $10.50. The latter elevated itself to around $10.70 in June and July, but we've seen a drastic shift in sentiment since. Click to EnlargeInterestingly enough, those range levels have now doubled in significance, as it highlights two key Fibonacci retracements. The 38.2% retracement sits up at $10.60, while the 61.8% rests at $8.99.The question now is, can GE stock reclaim former range support and the 61.8% near $9?Last month, General Electric stock traded down to support and gapped below it, plunging to $7.65. On the subsequent retest though, this former support level acted as resistance, as GE again pulled back to sub-$8 levels. That's where the "change in tune" reference comes in.Now just under $9 again, bulls need to make a strong showing. If General Electric stock can reclaim the $9 level, it puts the 200-day moving average at $9.25 and the 50-day moving average at about $9.50 on the table.GE stock will need to reclaim those two key moving averages in order to get back to range resistance near $10.60.If $9 acts as resistance, August support at $8 is a possibility. Below that and the August lows, and sub-$7 is on the table. Key Analyst Will Move GE StockA key catalyst for General Electric stock has been JPMorgan analyst Stephen Tusa.Tusa upgraded GE from underweight to neutral in December, sparking an enormous rally. To be clear, he wasn't bullish, just less bearish given that the stock had gone from $30 to $7 in a relatively short period of time.Throughout the past few quarters -- through earnings and investor presentations -- Tusa has been critical of the company and of management's outlook. He has since gone back to his underweight rating. About a month ago, he wrote that the company's fundamentals "continue to look negative."He still maintains an underweight rating and $5 price target on the stock, implying more than 45% downside. GE Stock GrowthFor the most recent quarter, General Electric stock beat on earnings and revenue expectations. It also provided better-than-expected guidance. But not everything was perfect in the quarter.For one, GE warned about headaches stemming from the grounding of Boeing's (NYSE:BA) 737 MAX planes. Specifically, GE's cash flow could take a $1.4 billion hit if the planes remain grounded all year. It could also impact guidance.Growth is far from robust, too. Analysts expect revenue to decline almost 4% year-over-year in 2019. In 2020, estimates call for just a 70 basis point advance. The plus side is that revenue would be done going down in this scenario, but disappointing in that it's still sub-1%.GE is still a few years away from returning to any type of impressive growth for investors. In the meantime, it needs to focus on strengthening its balance sheet and improving its free cash flow. If it can attack the latter, investors -- and Tusa -- will take notice.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Can General Electric Stock Stay Above Vital Support? appeared first on InvestorPlace.
Palm Beach Gardens-based Carrier named Timothy McLevish as its CFO, effective Oct. 1. “We are tremendously excited to welcome Tim to the Carrier team,” said Carrier President and CEO Dave Gitlin. “He brings world-class financial experience, having served as a public company CFO at Walgreens Boots Alliance, Kraft, Ingersoll-Rand and Mead Corp. We are deeply confident that he will help Carrier achieve our financial goals and position us to deliver strong value and growth for our shareholders.” In 2018, Farmington, Connecticut-based United Technologies (NYSE: UTX) announced that it would split into three separate entities.
Raytheon stock was rising on Monday, following an upgrade from JPMorgan, which argues that the shares look cheap, especially considering the benefits of its coming combination with United Technologies.
FARMINGTON, Conn., Sept. 16, 2019 /PRNewswire/ -- Otis Elevator Co. announces the appointment of Rahul Ghai as Chief Financial Officer, reporting directly to Otis President & CEO, Judy Marks. Otis is a unit of United Technologies Corp. (UTX). "Rahul has joined us at a pivotal time as we prepare to drive growth and shareowner value as a stand-alone company," said Otis President & CEO, Judy Marks.
EVP & Chief HR Officer of United Technologies Corp (30-Year Financial, Insider Trades) Elizabeth B Amato (insider trades) sold 4,113 shares of UTX on 09/12/2019 at an average price of $137.18 a share. Continue reading...
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of United Technologies Corporation and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.
General Electric's (GE) tender offerings to purchase its U.S. dollar and Euro-denominated debt securities will help it strengthen the balance sheet.
Honeywell's (HON) two new IMUs, which use proven inertial sensor technology, serve as an advanced precision inertial solution on land, air and sea.
Seasoned CFO brings public company track record to Carrier ahead of separation from United Technologies PALM BEACH GARDENS, Fla. , Sept. 13, 2019 /PRNewswire/ -- Carrier, a leading global provider of HVAC, ...
Record heatwaves in Europe and Asia this summer are leading fund managers to buy shares of air conditioning manufacturers, betting that the public health risks of rising temperatures will compel businesses and apartment building owners to install cooling systems. Shares of Johnson Controls International Plc, United Technologies Corp, and Ingersoll-Rand Plc, are all up 25% or more since the start of the year, well above the 19% gain in the U.S. benchmark S&P 500 index. Japanese companies Daikin Industries Ltd and Hitachi Ltd are also up strongly year-to-date.
SÃO PAULO, Sept. 12, 2019 /PRNewswire/ -- Pratt & Whitney, a division of United Technologies Corp. (NYSE: UTX), joins Azul today in celebrating the delivery of the first Embraer E195-E2 aircraft, leased ...
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does United Technologies (UTX) have what it takes? Let's find out.
Vista Global, the group simplifying private aviation, announces a revolutionary technology partnership with Collins Aerospace Systems that will provide private aviation customers with the fastest broadband speeds available. This is a further demonstration of Vista Global bringing the latest and most innovative technology to market and driving radical technological change across the private aviation industry.
ANNAPOLIS, Md., Sept. 12, 2019 /PRNewswire/ -- Collins Aerospace Systems, a unit of United Technologies Corp. (UTX), is teaming with leading satellite operator SES to bring business aviation customers the fastest broadband speeds available within the United States. The two companies are launching LuxStream — the only service that offers speeds up to 25 Mbps in the United States and 15Mbps globally via SES's managed Ku-band satellite network.
The Zacks Analyst Blog Highlights: Microsoft, Merck, Procter & Gamble, United Technologies and Coca-Cola
General Electric (NYSE:GE) finally looked to be out of the woods. GE stock bounced nicely earlier this year, and the company appeared to be turning things around. But a short seller has put GE stock back in the center of controversy once again. Harry Markopolos, famous for helping expose Bernie Madoff down, has sought out his next big target: General Electric.Source: testing / Shutterstock.com Markopolos dropped a 175-page report alleging all sorts of fraud and misrepresentations at GE. As a result, traders immediately dumped GE stock, though it quickly recovered much of its losses. Various analysts, including other short sellers, pointed out errors and hasty thinking in Markopolos' report. Still, many traders are operating under the thinking that where there's smoke there may be fire. GE stock has yet to reclaim the $10 per share mark following Markopolos' negative analysis of the firm. * 7 Best Stocks That Crushed It This Earnings Season Reasons For SkepticismAs InvestorPlace's James Brumley noted, there are many reasons to question the Markopolos report. For one, various folks ranging from bank analysts to fellow short sellers and even an ex-SEC chairman have suggested there were "suspicious" things about his work. Bronte Capital's fund manager John Hempton slammed the report as "utterly misleading" and "flat-out silly".InvestorPlace - Stock Market News, Stock Advice & Trading TipsWhile Markopolos deservedly earned his reputation with the Bernie Madoff investigation, it's far different going after a public company. It's one thing to expose a total ponzi scheme. But with GE, Markopolos is going after nuanced accounting things such as assumptions on long-term insurance policies where accountants can disagree.Look at something like Brighthouse Financial (NYSE:BHF) where the famed David Einhorn is long, short sellers are on the other side, and they are having a healthy debate around the value of its long-term insurance policies.Markopolos, by contrast, is running around screaming fraud while discussing complicated details.Why is Markopolos taking such a direct approach? He seems to be going for a financial reward. Markopolos is angling to earn money from an SEC whistleblower program along with working with a hedge fund that profits if the GE stock price goes down. These reasons would give Markopolos motivation to play up the incendiary language in his allegations. There Are Valid ConcernsWhile I'm skeptical about the Markopolos report and its intentions, there are some points the bears have latched onto that are worthy of further consideration. For example, GE has negative working capital -- and a lot of it. The figure pencils out around $10 to $20 billion depending on what all you count.What's this mean? General Electric owes more in short-term liabilities than it has in short-term assets. This can be a good thing. For example, think of a subscription business, where people pay you before you deliver a service to them. In the case of an industrial firm like GE, however, a large negative working capital position could mean the company is in weaker financial position than you'd think from a quick glance at its credit rating.In addition to the negative working capital point, analysts concede that Markopolos has some valid concerns on other things such as valuation marks on some divisions and how the value of long-term insurance contracts are calculated. But there's little evidence of anything close to outright fraud. It's Dangerous to Bet Against Larry CulpOne of the weirder things about calling GE a massive fraud is its management team. General Electric already cleaned the deck of its old team and brought in Larry Culp. For those unfamiliar, Culp was the longtime head of industrial powerhouse Danaher (NYSE:DHR). During Culp's tenure, Danaher stock appreciated roughly 500%. Culp is clearly a skilled leader, and there was no evidence of any wrongdoing in his previous highly-successful company.Once Markopolos leveled his charges against GE, Culp stepped in and bought GE stock aggressively. Culp said the allegations are baseless and defended the company with the strongest currency possible, his own money. In fact, Culp invested more in GE stock following the fraud claims than he invested in Danaher during his triumphant run at that firm. That's how much conviction Culp has that Markopolos is shooting blanks.Does a great leader guarantee that GE will succeed? Of course not. Sometimes even the greatest management teams face insurmountable challenges. And General Electric is admittedly in a pretty difficult situation. But in Culp, you have an honest and proven leader. GE Stock VerdictIf you're looking for a safe industrial stock to buy, don't pick GE. GE just announced its measly one cent quarterly dividend payment last week. That's a stark reminder of how far GE has fallen from when it was one of America's most respected blue chip holdings. If you want a safe reliable holding, something like Honeywell (NYSE:HON) or United Technologies (NYSE:UTX) is a better bet. * 10 Stocks to Sell in Market-Cursed September But if you are willing to speculate on a turnaround with a decent shot at success, GE is interesting. This Markopolos report could be a blessing in disguise, as it has aired some pointed questions about GE's accounting and offered investors a lot more transparency into the firm. As folks get more comfortable with Culp's vision for an improved General Electric, shares could rally nicely in coming quarters.At the time of this writing, Ian Bezek owned UTX and BHF stock. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post General Electric Is a Buy Despite the Markopolos Report appeared first on InvestorPlace.
Chairman, President and CEO of United Technologies Corp (30-Year Financial, Insider Trades) Gregory Hayes (insider trades) sold 19,542 shares of UTX on 09/06/2019 at an average price of $133.35 a share. Continue reading...
(Bloomberg Opinion) -- Ever since humans first rode in an elevator more than a century ago we’ve been afraid of getting stuck in one (or worse). The related requirement that these modern marvels are serviced and upgraded regularly is pretty handy for industry leaders Otis, Kone Oyj, Schindler and Thyssenkrupp AG. The companies generate about half their elevator revenues this way, as opposed to the lower-margin sales of original equipment.In good years Otis and Kone have achieved an operating return on sales in excess of 14%. That’s decent for the industrial sector, although a competitive Chinese market has made things more difficult lately.Tough safety regulations and the need to support big teams of technicians are a natural defense against new competitors. The four companies I mentioned have locked up more than 60 percent of the elevator market. Three of them are European.(1)The decent profitability and oligopolistic industry structure are big attractions for would-be acquirers of Thyssenkrupp’s elevator unit, which the German conglomerate has put up for sale. But the big four’s dominance won’t have gone unnoticed by antitrust officials, who could play a central role in determining how any further consolidation plays out.Depending on the bidder, any political desire to build a European elevator champion may run into resistance from those who fear entrenching the power of already dominant companies (as happened when Germany’s Siemens AG and France’s Alstom SA tried to merge their rail businesses).Thyssenkrupp isn’t the only active player in the industry. United Technologies Corp.’s move to spin out its Otis elevator unit has triggered speculation that the U.S. manufacturer might also get involved in M&A. Last week, Switzerland’s Schindler denied a report that it had been targeted by its American rival. Finland’s Kone, meanwhile, is open about wanting to buy the Thyssenkrupp business, telling the Handelsblatt newspaper last week that the two companies would be “a perfect fit.”Combining Kone and the Thyssenkrupp unit would create an industry behemoth with more than 16 billion euros ($17.7 billion) of sales. Though weaker than Kone’s, Thyssenkrupp’s elevator earnings have tended to far outstrip what the unwieldy German conglomerate makes from its other businesses. Its future should be bright too.Urbanization, aging populations and more single-person households are all spurring the construction of denser, taller residential buildings, especially in Asia. China accounts for more than 60% of the world’s new elevator installations.It’s reasonable to think the Thyssenkrupp elevator business would be worth about 15 billion euros if carved out – double the value investors ascribe to the whole conglomerate today. Add a premium for potential synergies and the value could rise further. Kone and Thyssenkrupp would complement each other well: the former is stronger in China while the latter has a bigger U.S. business. And the potential procurement, research and labor force savings from a merger would surely beat any earnings improvements that a private equity buyer could deliver by itself.The big question is whether antitrust officials would agree to two of the big four elevator firms merging? It’s barely a decade since the European Union smacked the companies with almost 1 billion euros in fines for running a price-fixing cartel in several countries. Company employees rigged bids involving hospitals, the European Commision noted. Hardly a good precedent.Thyssenkrupp is burning cash and its stock has fallen more than 35% in the past year. It can ill afford to get involved in another protracted and ultimately unsuccessful antitrust review. Earlier this year Brussels blocked an attempt to combine its European steel operations with Tata Steel. Kone could sell certain assets to ease competition concerns. Still, it’s understandable that Thyssenkrupp is said to favor a partial sale to private equity, according to Bloomberg News’s Aaron Kirchfeld and colleagues. This might not realize the highest price but it’s surely the easier deal to pull off, provided trade unions can be reassured.Europe has three world-beating elevator makers. Reducing the trio to two has clear benefits for the companies. What’s in it for customers isn’t quite so obvious. (1) The maintenance business is more fragmented, however.To contact the author of this story: Chris Bryant at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.