GE - General Electric Company
6.96 +0.15 (2.20%)
Pre-Market: 5:32AM EDT
Chart Events
Relative Strength Index (RSI)
Performance Outlook
- Short Term2W - 6W
- Mid Term6W - 9M
- Long Term9M+
| Previous Close | 6.41 |
| Open | 6.79 |
| Bid | 0.00 x 38500 |
| Ask | 6.89 x 40700 |
| Day's Range | 6.79 - 6.94 |
| 52 Week Range | 5.48 - 13.26 |
| Volume | 120,427,570 |
| Avg. Volume | 119,875,712 |
| Market Cap | 59.48B |
| Beta (5Y Monthly) | 0.96 |
| PE Ratio (TTM) | N/A |
| EPS (TTM) | -0.32 |
| Earnings Date | Jul 29, 2020 |
| Forward Dividend & Yield | 0.04 (0.62%) |
| Ex-Dividend Date | Mar 06, 2020 |
| 1y Target Est | 8.86 |
Fair Value
Related Research
- Motley Fool
Why General Electric Stock Just Popped 7%
A vaccine will eliminate the coronavirus, permitting travel, encouraging airplane sales and airplane engine sales, too -- or so the theory goes.
- Barrons.com
GE Stock Is Flying. The Reason Is Hard to Pin Down.
Shares throughout the aerospace sectors were bouncing but there isn’t much industry news to pin the gains on.
- Bloomberg
Broken Ventilators Spark Push to End Limits on Who Can Fix Them
(Bloomberg) -- A group of state officials has an idea to expand the availability of ventilators and other equipment hospitals need to treat coronavirus patients: let more medical facilities fix the ones they have.In a letter to equipment manufacturers, the state treasurers of Pennsylvania, Colorado, Delaware, Illinois, and Rhode Island said hospitals sometimes had to wait longer than a week for technicians under their maintenance contracts to fix equipment. Manufacturers have refused to supply parts to anyone who hasn’t undergone the expensive company training.“In a global pandemic with this kind of urgency and this kind of devastation, where every second counts, there shouldn’t be a single ventilator in any hospital that can’t be used because of these restrictions,” Pennsylvania State Treasurer Joe Torsella said in an interview.Torsella led the group calling on manufacturers to release all repair manuals and service keys and to allow hospitals to use technicians of their choice instead of those required under maintenance contracts. The effort also turned a spotlight on an issue that some consumer rights groups are hoping could lead to a more permanent change.Twenty states are considering legislation that would give consumers more rights to repair, resell and modify products they buy, whether it’s more access to the software on John Deere farm tractors, going outside Apple Inc.’s “Genius Bar” to fix a broken iPhone, or selling digital books after they’ve been read. Some, but not all, also include provisions that would cover medical equipment, which are tightly regulated by the U.S. Food and Drug Administration.The pandemic may give the movement a boost because of the outcry over reports of broken or unavailable ventilators. In April, the U.S. Public Interest Research Group sent a petition with 43,000 signatures calling on manufacturers to release repair information.Hundreds of biomedical engineers, also known as biomeds, signed a letter to be released Monday by PIRG that calls for greater access to service materials and for making product-specific training “on fair and reasonable terms.”As the outbreak spread over the past month, some medical equipment makers such as Medtronic Plc and General Electric Co. agreed to turn over manuals and other information to ensure hospitals have what they need.The companies, along with Draegerwerk AG, sell medical equipment for as much as $1 million or more for each machine. Draegerwerk, which biomeds said has particularly strict rules, is projecting an increase in sales as hospitals need more devices to treat coronavirus patients. Even more profitable are the required service contracts to keep complicated equipment like ventilators, patient monitors, and MRI machines working.“We provide 24/7 technical support to the hospitals we supply as well as rapid on-site service,” said Marion Varec, a spokeswoman for Draegerwerk. “In fact, we provide manuals, to the extent consistent with FDA quality standards. We listen to our customers and support their needs.”Legislative proposals have been strongly fought by the industries affected, and the medical device industry has been among the most vocal. It’s trying to get Congress to pass legislation that would impose more stringent requirements on hospital and independent biomedical technicians, or biomeds. Instead, the U.S. Food and Drug Administration was told to investigate whether there was a difference in the quality of service -- the agency determined in 2018 that there was no fall off in quality of repairs when it was done by in-house hospital technicians or trained independent biomeds.Among those weighing in on behalf of the biomeds was the Defense Department, which called the profit margins on maintenance “astounding” and said the markup for parts could be more than 1000%.Leticia Reynolds, president of the Colorado Association of Biomedical Equipment Technicians and a member of the U.S. Army Reserve, said there’s a big difference in what you can do at military hospitals and at civilian ones.“In the military, you can work on pretty much anything,” said Reynolds. In the civilian sector, “If you haven’t been to their school, they say ‘We won’t help you,’ or ‘You can’t buy parts.”’The industry said its employees are held to a higher standard than those working for hospitals or with third-party repair firms, known collectively as independent servicing organizations, and its efforts were to put all technicians on the same level.“Currently, only servicing activities performed by medical device manufacturers are held to any quality, safety, or regulatory requirements by the FDA,” said Peter Weems, Director of Policy & Strategy at the Medical Imaging and Technology Alliance. Independent servicing organizations are not required to register with the FDA, report deaths or serious injuries, or adopt quality management systems.Some hospital officials are critical of the medical equipment industry.“It’s not about safety, it’s about maintaining a business advantage,” said Patrick Flaherty, vice president of supplier performance at Pittsburgh-based UPMC, a group of more than 40 hospitals, who called the manufacturers “monopolists and cartels.” “It’s absolutely repulsive if you try to cloak it under patient safety.”Hacking ThreatOthers say that the additional protections are needed with regard to complicated medical equipment -- especially as more systems become networked and vulnerable to hacking.“This is life-saving and life-sustaining equipment,” said Nick Lewis, systems director of environmental safety management and compliance at Baptist Memorial Health Care in Memphis, Tennessee. “Having tight controls -- whether that be passwords, or when they update software -- they have to be pretty tight with that stuff or we could potentially put ourselves at risk with cyber issues.”Amid a dire shortage of personal protective gear for doctors, nurses and other first responders through the country when the Covid-19 virus migrated from Asia and Europe, U.S. hospitals also found ventilators in short supply and some delivered from the National Stockpile broken. Hospitals and critical care facilities had to adapt other equipment, such as reconfiguring anesthesia machines and transport ventilators.Hospitals PreparedMassachusetts General Hospital sent a team to inspect and repair the entire contingent of ventilators the state received from the National Stockpile, knowing smaller hospitals wouldn’t have the trained technicians, said Paul Biddinger, director of emergency preparedness at the Boston hospital.“Early on, as we saw the coronavirus emerging as a threat, we tried very hard to anticipate what the impact on our system could be,” Biddinger said.At the Johnson Memorial Health in Johnson, Indiana, the hospital found powered air-purifying respirators needed by health-care professionals in the Covid unit that were so old there was no way to buy the connector hoses that pump fresh air, said marketing director Jeff Dutton.“Someone knew a small business in Franklin that had a 3D printer and was able to replicate the part perfectly,” Dutton said.Manufacturers initially kept to their long-standing policies when it came to access to manuals, software codes and parts. But as the scope of the crisis grew, many began easing restrictions, posting their closely kept service manuals on their websites, or dropping objections to having them posted on sites such as iFixit.com, which crowd sources manuals.It’s unknown whether they will try to pull them back once the pandemic is over. Jared Wilson, co-founder of Insight HTM LLC, which does repairs and maintenance at ambulatory surgical centers, said he is bizarrely “grateful” for the pandemic.“Typically we’re in what was the morgue, the bottommost corner of the hospital,” Wilson said. “This really has brought to light the issue of maintenance of equipment. We’ve been striving for this for so long.”Flaherty said the work being done at hospitals and critical care centers around the world spotlight that some of the rules are unnecessary.“If Covid did not create a learning platform for people, then it’s a missed opportunity,” Flaherty said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Bloomberg
Zoom Shot to Coronavirus Fame But It’s Got Company
(Bloomberg Opinion) -- These days, someone proposing a remote meeting or virtual happy hour is very likely to say, “Let’s Zoom.” While the coronavirus-induced lockdown has made Zoom Video Communications Inc. synonymous with video calls, it has also created a broader market, and whet investor appetite for stocks well placed to profit from the move to working from home. Pexip Holding ASA has satisfied some of that demand with Europe’s biggest technology initial public offering this year. The Thursday listing valued the Oslo-based company at some 9 billion Norwegian krone ($880 million) – not shabby for a business with just 370 million krone in revenue last year.The company is trading at a discount to its bigger, better-known competitor. If Pexip grows at the same pace for the rest of this year as it did in the first quarter, and profitability is consistent with previous years, then the listing gives it an enterprise value of more than 70 times forward Ebitda (a measure of a company's operating performance). Zoom is considerably pricier, with a valuation on the same basis of more than 370 times.If this were primarily a classic consumer-facing market, then investors would have to weigh up the prospect of a winner-takes-all battle. After all, that’s how things have tended to pan out for online services: Alphabet Inc.’s Google took search, Facebook Inc. dominates social media, Microsoft Corp.’s LinkedIn has professional contacts and so on. And Zoom has already entered the lexicon as a verb in much the same way as google or tweet.But the video-conferencing business model differs from those advertising-driven offerings: Most of the money is to be made from companies paying for premium services. Chief technology officers care less about what’s in vogue than about the best solution for their needs from both a technical and cost perspective. So while Pexip’s valuation is still punchy, there is room for multiple players. Concentrating on a business-to-business solution is far more likely to build a sustainable concern built on rational purchases — Pexip already boasts customers such as Vodafone Group Plc, General Electric Co. and Accenture Plc and annual recurring revenue from multi-year contracts jumped 50% in the first quarter. With 1.1 billion krone in IPO proceeds, it now has capital to accelerate that pace of growth.There’s significant demand to capitalize on the work-from-home trend. Shares in TeamViewer AG, a German maker of software that facilitates remote working, have climbed 33% this year, while the benchmark DAX Index has fallen 22%. Even at enterprise software giant SAP SE, Chief Executive Officer Christian Klein told Bloomberg News this week he’d love to have a video-conferencing solution in the company’s portfolio right now.Pexip must do a lot to justify its valuation, which prices in a huge increase in earnings over the next few years. It may be telling that many of its investors are using the offering as an opportunity to sell their stakes: The company will have a free float of some 80% of the share capital. Perhaps they’re sensing an opportunity to make hay while the sun shines. But if work from home is here to stay, then there will likely be plenty of seats around the (dining room) table.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Alex Webb is a Bloomberg Opinion columnist covering Europe's technology, media and communications industries. He previously covered Apple and other technology companies for Bloomberg News in San Francisco.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Zacks
The Zacks Analyst Blog Highlights: Amazon, AstraZeneca, CME, Cisco and General Electric
The Zacks Analyst Blog Highlights: Amazon, AstraZeneca, CME, Cisco and General Electric
- Motley Fool
Could General Electric Be a Millionaire Maker Stock?
It's a question that might seem comical to younger investors, but there was once a time when General Electric (NYSE: GE) really was a millionaire maker stock. In a post-COVID-19 world, is commercial aviation set to return to multi-year growth in line with the previous decade? Is there a future for the use of gas as a source for electricity production in light of the growth of renewable energy?
- Investor's Business Daily
More Boeing 737 Max Orders Evaporate, Sending Backlog Below Key Level
The Boeing 737 Max saw 108 additional net order cancellations, as airlines rush into survival mode during the collapse in air travel.
- Barrons.com
Switzerland’s Central Bank Bought Up Apple, GE, and Disney Stock. It Also Loaded Up on a Marijuana Stock.
Swiss National Bank dramatically raised its investment in Aurora Cannabis stock in the first quarter.
- Investor's Business Daily
Raytheon Sees Slow Aviation Recovery But Backs Dividend As Earnings Crush Views
Dow Jones stock Raytheon Technologies reaffirmed its commitment to paying dividends and crushed Q1 earnings views, but joined customer Boeing and jet-engine rival General Electric in seeing a slow aviation recovery. Raytheon stock reversed lower. The earnings report is the first since United Technologies and Raytheon completed their merger and spun off Carrier Global and Otis Worldwide to become an aerospace pure-play stock.
- Business Wire
GE Capital Announces Debt Issuance and Tender Offer
GE (NYSE:GE) today announced multiple transactions to extend its GE Capital debt maturities and enhance its liquidity profile, following a series of recent steps the Company has taken to solidify its financial position.
- Benzinga
Today's Pickup: Idelic Integrates Samsara ELD, Camera Data Into Platform
Good day,Idelic's Safety Suite driver management platform is now capable of collecting electronic logging device (ELD) and camera data generated by Samsara's technology. Customers using Safety Suite can automatically upload their ELD and camera data and have that driver information seamlessly pushed back to Samsara."Capturing data through devices that Samsara provides is incredibly helpful in understanding driver behavior. Integrating that data into the wide breadth of driver information held within Safety Suite is essential to gaining a comprehensive view of driver risk." Hayden Cardiff, founder and co-CEO of Idelic, said. "Doing so allows fleets to leverage our robust predictive analytics to provide impactful insights into driver risk and inform decisions on how to train and help drivers."As a result of this integration, all Samsara-collected driver data will be accessible alongside all other driver data in Safety Suite, giving fleets a 360-degree view of their drivers, Idelic said.The result is a more proactive management approach based on "data-driven decisions," according to Idelic, which provides predictive analytics. Did you know? FreightWaves LIVE@HOME kicked off today and runs through Thursday, May 7. The virtual event is packed with speakers, company product demonstrations, and much more. It also includes a live Slack channel where viewers can engage in real time. And best of all, the entire event is free and available at www.freightwaveslive.com.Quotable: "When there is a crisis, leaders are supposed to lead. We should be part of addressing the supply chain crisis. We not only know how to help but want to help." – Shirish Pareek, managing director of AMG Partners, on the formation of the Manufacturing Coalition, which includes more than 200 manufacturers banding together to address supply chain gaps and increase production of essential supplies.In other news: GE to cut 25% of jobs in aviation divisionThe COVID-19 pandemic has crippled airline travel and General Electric Company (NYSE: GE) is responding by cutting 25% of its engine manufacturing workforce. (Wall Street Journal) Amazon exec quits over treatment of protestorsAn Amazon.com, Inc. (NASDAQ: AMZN) vice president quit yesterday, citing the firing of warehouse workers who were protesting working conditions and employee safety. (Washington Post)Road funding takes a hitWith fewer travelers buying less gas, tax revenue is falling for states and that is impacting infrastructure projects, experts said.(USA Today)US DOT gives Port of Long Beach loanThe U.S. Department of Transportation is providing a $500 million loan to the Port of Long Beach to conduct a bridge replacement project. (US Department of Transportation)5-year-old supports delivery driversA 5-year-old boy loves delivery drivers so much, he has created a "refreshment stand" to hand out drinks and snacks to the drivers traversing his neighborhood. (Times Union)Final thoughts The American Transportation Research Institute and the Owner-Operator Independent Driver Association Foundation have completed a study on the impact of COVID-19 on trucking. The groups said that local trips under 100 miles have increased 100% and nearly 70% of specialized and tank truck operations were negatively impacted. Small fleets and owner-operators reported more detention delays. Most noteworthy, though, is that 80% of small fleets and owner-operators do not have any type of plan for managing through a disaster. It is this last point that is most concerning, as without a plan, managing through a crisis is difficult and can lead to slow and even bad decisions that could cost them their business.Hammer down, everyone!See more from Benzinga * ArcBest Reports Strong Q1, April Revenue Down 20% * Weekly Fuel Report: May 4, 2020 * Uber Freight Has Moved Tens Of Thousands Of Touchless Loads(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
- BBC
GE to cut up to quarter of its aviation staff
The air travel industry is preparing for a prolonged slowdown.
- Motley Fool
GE's Aviation Business to Cut 25% of Workforce
In its first quarter earnings announcement last week, General Electric (NYSE: GE) said it was working on $2 billion of operational cost cuts, as well as $3 billion in cash preservation efforts, to help stem the impacts of the ongoing COVID-19 pandemic. Today, GE Aviation CEO David Joyce detailed some of those cost cutting plans. GE's aviation division is seeking a 25% cut in its global workforce this year.
- Zacks
Timing the Market, Is it Possible? - May 04, 2020
In the long-run, does consistent market timing really matter to be a successful investor?
- MarketWatch
GE's Aviation unit to make 'permanent' job cuts as workforce is reduced 25% this year
General Electric Co.'s Aviation business unit said Monday it is planning "permanent" job cuts that will bring its total workforce reductions to 25% in 2020. GE's stock fell 3.9% in morning trading. GE Aviation said the cuts come as global commercial airline traffic in the second quarter is expected to drop by about 80% from levels seen in early February as a result of the coronavirus pandemic. "Our aircraft manufacturers have announced reduced production schedules that will extend into 2021 and beyond reacting to the projected prolonged recovery," said GE Aviation Chief Executive David Joyce in a business update. "While extremely difficult, I am confident this is the required response to the continued contraction of the industry, and its protracted recovery." GE said last week when it reported first-quarter results that Aviation was developing a plan to cut costs by $1 billion and implement $2 billion of cash actions this year, including anticipated job cuts. GE expects the plans to be ready "over the coming months." GE's stock has shed 50.4% over the past three months while the Dow Jones Industrial Average has lost 18.6%.
- Reuters
GE Aviation to cut workforce by up to 13,000 jobs, or 25%
Last week, Boeing Co <BA.N> said it would cut 10% of its global workforce, or 16,000 jobs, as it has slowed some production rates, while supplier SpiritAero Systems Holdings <SPR.N> said on Friday it is cutting another 1,450 jobs in Kansas. GE shares were down 4% on at $6.23. The GE Aviation job cuts are part of the $3 billion in cost and cash savings announced by the company last month and include previously announced cuts, including a 10% cut to its U.S. workforce announced in March.
- InvestorPlace
Why Tesla Stock Will Roll to New All-Time Highs
Once again, Tesla (NASDAQ:TSLA) stock is rallying after earnings. And, once again, coverage of the report is focusing on chief executive officer Elon Musk.Source: Christopher Lyzcen / Shutterstock.com Musk had another, shall we say, interesting conference call. His commentary included two expletives and an intense criticism of 'stay at home' measures as "fascist."For investors, however, stray remarks from the company's CEO simply don't matter all that much. And the headlines miss the real story from earnings: Tesla keeps rolling on. Its leadership in electric vehicles at this point is self-evident. Its progress toward true autonomous vehicles continues.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 9 Healthcare Stocks to Buy Even After the Coronavirus Fades And while the response to the novel coronavirus is pressuring near-term results for the automaker, it also may have a long-term benefit. As rivals simply focus on getting by, Tesla is staying aggressive. That in turn suggests Tesla's lead in key segments will only widen, which means TSLA stock should move toward all-time highs. Solid EarningsIt's difficult to see Tesla earnings as anything less than positive. Fundamentally, the quarter ticks off a lot of boxes and contradicts many of the bearish arguments aimed at the stock.Deliveries rose an impressive 40% year-over-year, to 88,496 units. Obviously, the Model 3 drove nearly all of that growth. But the higher-priced Model S and Model X lines contributed modestly as well. Bears had argued that S and X sales would plunge after the release of the 3. That hasn't yet happened.Margins impressed as well. Gross profit, in dollars, more than doubled year-over-year. In the automotive segment, gross margin cleared 25% -- a key level.This, too, dispels a bearish argument that Tesla wouldn't be profitable with the lower-priced Model 3 line. The 3 accounted for 86% of deliveries in the quarter. Yet Tesla posted gross margins that would be the envy of traditional automakers like Ford (NYSE:F) and General Motors (NYSE:GM).And while those companies were seeing weak earnings even before this crisis, Tesla's profits continue to grow. Adjusted earnings per share of $1.24 continue the company's move into profitability.Cash flow was negative, but due almost solely to inventory build. And Tesla closed the quarter with over $8 billion in cash. That's more than enough to get the company through a potential short-term dip in demand -- and answers another bearish concern that the company would need to raise more capital just to survive. The Story Behind TSLA StockOf course, TSLA stock is about much more than a single quarter. (That should be true for all stocks, but it's especially true here.) The long-term bull case for Tesla is based on its growing lineup of electric vehicles and its head start in self-driving cars.The quarter seems to strongly support the bull case. Production of the Model Y, unveiled last year, began in the first quarter. The ramp at the Gigafactory in Shanghai is on schedule.The launch of the Tesla Semi has been pushed back a year, but that's not a surprise given the external environment. If anything, the delay will allow Tesla to fine-tune that product before release. Tesla already has some 2,000 orders for the product. Customers already include Anheuser-Busch InBev (NYSE:BUD) and PepsiCo (NASDAQ:PEP).Tesla is taking another step toward self-driving cars as well. Stop sign and traffic light recognition was enabled for the wider public.With the exception of the Semi delay, Tesla is delivering on its promises. And the numbers show it's delivering on its potential, too. The broader case for TSLA stock is based on the idea that the company can and will lead the automotive industry for decades to come. Q1 supports that case. Look AroundThis current crisis has highlighted -- and amplified -- the relative position of major companies heading into 2020. We've seen companies that clearly have been forced to react to short-term disruption by shrinking their businesses and slashing their costs.Retailers that were struggling to begin with are furloughing employees. Former titans like Alcoa (NYSE:AA) and General Electric (NYSE:GE) seem like they're hanging on for dear life.But stronger companies that lead their industries can get aggressive. As weaker rivals struggle, their balance sheets and pricing power provide even greater advantages. Alibaba (NYSE:BABA) is a good example, as it invests $28 billion to cement its cloud dominance.Tesla has a similar opportunity. Traditional automakers are facing significant plunges in short-term demand, which is going to require caution across their businesses. And so a company like General Motors may well have to pull back on its aggressive plans to compete in electric and autonomous vehicles.Tesla, meanwhile, is going full bore. As Musk put it on the earnings call, "We're absolutely pedal to the metal on new products and expanding the company."The hopes that legacy automakers could catch up to Tesla's innovation seemed thin to begin with. They're even dimmer now. Tesla is leading. Nearly all of its rivals are simply reacting.That's a key edge for the company. And it's a key part of the bull case for TSLA stock. No, the stock is not cheap -- but it shouldn't be. Q1 shows why that is and why Tesla stock should keep gaining to all-time highs of $969 and beyond.Matthew McCall left Wall Street to actually help investors -- by getting them into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA) and +1,044% in Tesla (TSLA), just to name a few. Click here to see what Matt has up his sleeve now. Matt does not directly own the aforementioned securities. More From InvestorPlace * America's 1 Stock Picker Reveals Next 1,000% Winner * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post Why Tesla Stock Will Roll to New All-Time Highs appeared first on InvestorPlace.
- InvestorPlace
Should You Buy General Electric Stock at Historic Lows? Not So Fast
In the Covid-19 pandemic while people are locked inside, many pundits push the narrative that a great number of airline, cruise line, and oil and energy stocks are on a clear path toward filing for bankruptcy. And one stock that a lot of people are looking at now is General Electric (NYSE:GE).Source: Sundry Photography / Shutterstock.com Of course, travel has cratered during the pandemic. The U.S. Travel Association estimates that this could equate to $910 billion in losses to the travel industry and potentially cost 4.6 million Americans their jobs.Most planes are grounded, cruise ships are anchored in ports, people aren't moving around, and the oil that turns the gears of the U.S. economy isn't being burned.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut all of this doesn't mean that every airline, travel company, and oil stock is doomed. Likewise, significant exposure in the aforementioned industries does not indicate certain bankruptcy. GE Stock Is Worth a LookIf we look at GE from the perspective of its performance of late, and balance that with expectations post-Covid-19 there is a cautious case for adding GE to your portfolio. * 7 Smart Stocks to Buy Even During Coronavirus-Induced Volatility Before the world got turned upside down, GE was making a steady comeback based on sound management principles. In late 2018 CEO Larry Culp took over at GE. He and his management team sold off many underperforming assets to pay down debt, beat predicted earnings per share quarter after quarter, and focused on shrinking GE into a leaner, more efficient, profitable company. GE was going in the right direction.GE was doing what all of the analysts believed they should have been doing; selling off weaker businesses, paying down debt to strengthen their leverage situation, and shedding inefficient legacy units from its business.The net effect was a good 2019. It translated to General Electric's stock rising. GE Fundamentals Told a Good StoryIn the first quarter of 2019, GE beat the consensus earnings per-share estimate of 9 cents by 3 cents, and, in Q2 and Q3, GE beat EPS estimates again, this time by 4 cents each quarter, and then they finished 2019 with another earnings beat of 3 cents. That's very solid. And if investors solely consider GE's EPS performance, it's tempting to label General Electric a strong buy.During 2019, GE was a strong stock and provided a strong return. Many market analysts attributed this to CEO Larry Culp and the strategic direction in which he had been taking GE. And that was with the grounding of the Boeing (NYSE:BA) 737 planes that utilized GE's LEAP engines.And while GE's 2019 was laudable, investors looking to buy GE now need to weigh several important factors. But GE Has Problems that Can't Be Fixed OvernightAs it stands right now, the business comprises Power, Renewable Energy, Healthcare, Aviation and GE Capital. GE Power has long had problems that GE has been struggling to fix. Renewable Energy spent a lot of cash in 2019, and like many players in that sector, struggles to fulfill the promise of profitable green energy.Of the other 3 units; Aviation, Healthcare and GE Capital, it's likely that only Healthcare will emerge stronger in the wake of the pandemic. It has been working non-stop producing ventilators and there should be demand for other high-value products from the division in the near term. It seems robust. Aviation and GE Capital on the other hand, face serious current and longer-term issues.Combine the 737 groundings of 2019 with the disaster that has occurred in travel in 2020 and it's clear that GE Aviation has lean days -- and lean years -- ahead. None of this is a boon to the stock price.GE Capital already had pension problems to deal with prior to the problems travel shuttering has caused. The unit includes the largest commercial airline financing company in the world, which is bad for its stock since not many companies are looking to finance planes now or any time soon.All that said, watch for CEO Larry Culp and his management team to tackle these problems head-on. How that plays out will be interesting to watch and will have an effect on GE's stock price as GE moves forward. How Can Investors Value General Electric?Despite the problems that GE's business units face, management is strong. GE will continue to become leaner.And at a current price near $6.25/share, the company is garnering serious market interest. Many see this as an inflection point and expect a correction upward. Remember, this does look a bit like Q1 2009 when GE was trading at $6.40 and quickly rose to $10 per share to then finish the year over $14. That was during a crisis. We also saw a price increase from $6.45 a share in mid-December 2018 followed by a sharp rise to over $10 by the following February.So there is potential to make money off of a market correction, but there is also significant volatility and risk. Especially in the short term.If I had General Electric's stock currently underwater, I'd hope for a correction so that I might be able to sell it off and break even. Otherwise, if you're long-term bullish on GE, now may be the time to load up as the stock is at historic lows, considering its stock price eclipsed $30 back in 2016.For everyone else, there's many other opportunities to buy cheap stocks that don't have GE's problems and have greater upside.As of this writing, Alex Sirois did not hold a position in any of the aforementioned securities. More From InvestorPlace * America's 1 Stock Picker Reveals Next 1,000% Winner * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post Should You Buy General Electric Stock at Historic Lows? Not So Fast appeared first on InvestorPlace.
- TheStreet.com
Morning Bell With Jim Cramer: Gilead, Remdesivir Gives Hope
Jim Cramer shares stock market news before the opening bell including Gilead's positive drug trials, General Electric, Boeing, and caution to investors.
- Thomson Reuters StreetEvents
Edited Transcript of GE earnings conference call or presentation 29-Apr-20 12:00pm GMT
Q1 2020 General Electric Co Earnings Call
- TheStreet.com
Here's Key General Electric Support After Underwhelming Profit Report
General Electric shares are roughly flat after the industrial group reported earnings. Here's how to trade the stock now.
- Yahoo Finance Video
Earnings Chat: Boeing, GE, Ford earnings take hit from coronavirus fallout
Yahoo Finance’s Adam Shapiro and Julie Hyman break down the latest earnings reports from Boeing, General Electric, and Ford.
- Motley Fool
GE Reports a Revenue Drop and Expects it Will Get Worse
The company said first quarter was impacted by COVID-19, but second quarter will have even more pandemic impacts.
- Benzinga
While GE's Q1 Print Reflects Coronavirus Impact, BofA Applauds Actions Taken To Preserve Liquidity
General Electric Company (NYSE: GE) reported first-quarter earnings Wednesday that fell short of Street expectations.Although the coronavirus pandemic affected the quarterly results and has impaired visibility, the company's steps to strengthen the balance sheet are encouraging, according to BofA Securities.The GE Analyst Andrew Obin maintained a Buy rating on General Electric with an $11 price target. The GE Thesis General Electric's free cash flow reflected a $1-billion drag from COVID-19, Obin said in a Wednesday note. (See his track record here.)GE is taking actions to preserve the company's cash, with more than $2 billion saved by lowering costs and over $1 billion saved from lower capital expenditure and working capital, the analyst said. General Electric reported adjusted earnings 5 cents per share, short of the Street's forecast of 7 cents per share. Although GE Industrial's organic revenue fell 5% year-over-year, this was better than BofA's estimate of a 9% decline, he said.View more earnings on GEThe Power segment's earnings were short, driven by lower revenue growth and weaker margins, Obin said. Despite revenue growth, the Renewable Energy segment recorded an earnings miss, mainly due to a weaker margin, the analyst said, adding that health care delivered an earnings beat on the back of higher revenue growth and a stronger margin.Aviation's earnings were in-line, with lower-than-expected declines in revenue offset by weaker margins, Obin said. GE Capital delivered an earnings beat of 2 cents per share, with lower interest expense.GE Price Action Shares of General Electric were trading down by 1.62% at $6.69 at the time of publication.Photo by Bubba73 via Wikimedia. Latest Ratings for GE DateFirmActionFromTo Apr 2020UBSMaintainsBuy Apr 2020CitigroupMaintainsBuy Apr 2020Deutsche BankMaintainsHold View More Analyst Ratings for GE View the Latest Analyst Ratings See more from Benzinga * Analyst Cuts Murphy Oil Rating On Valuation, Ahead Of A Tougher 2021 * Workhorse Has Huge Opportunity With USPS, Analyst Says In Bullish Initiation * BofA On A Possible Macy's B Debt Raise: 'Taking The Right Steps'(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
- Zacks
Positive Data for Gilead's (GILD) Remdesivir; Plus Q1 for BA, GE
This is obviously remarkably good news for COVID-19 suffers, the general public in the throes of this pandemic, and of course Gilead itself.
