| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 3/6 |
| Past Performance | 0/6 |
| Financial Health | 5/6 |
| Dividends | 0/6 |
GE Stock Overview
General Electric Company operates as a high-tech industrial company in Europe, China, Asia, the Americas, the Middle East, and Africa.
Rewards
Risk Analysis
No risks detected for GE from our risk checks.
General Electric Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$62.03 |
| 52 Week High | US$116.17 |
| 52 Week Low | US$59.93 |
| Beta | 1.02 |
| 1 Month Change | -19.41% |
| 3 Month Change | -31.01% |
| 1 Year Change | -39.99% |
| 3 Year Change | -24.35% |
| 5 Year Change | -70.61% |
| Change since IPO | 39.39% |
Recent News & Updates
General Electric secures $112M Navy contract modification
General Electric (NYSE:GE) was awarded a $112M firm-fixed-price modification to a previously awarded contract. This modification exercises an option to procure 24 Lot 26 full rate production F414-GE-400 engines and devices in support of F/A-18 Super Hornet production aircraft for the Navy. Work is expected to be completed in February 2024. FY22 aircraft procurement funds in the amount of $112M will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command is the contracting activity.
General Electric: The Future Of The Company's Healthcare Division
GE Healthcare will become an independent company in the first quarter of 2023. Pharmaceutical diagnostics revenue was $487 million in Q1 2022, up 2.7% QoQ. General Electric Healthcare has one of the largest profit margins in the GE structure. GE is expanding its business by acquiring companies that develop diagnostic imaging agents and ultrasound equipment.
General Electric: Prepare For Takeoff
GE's EBIT was $584 million in Q1 2022, up 286.8% year-over-year. The company's total debt was $36,313 million in Q1 2022, down 51.3% year-on-year. GE Aviation's revenue was $5.6 billion, up 12% year-over-year. On May 23, 2022, GE Aviation completed successful testing of its long-range Passport engine, which uses sustainable aviation fuel.
Shareholder Returns
| GE | US Industrials | US Market | |
|---|---|---|---|
| 7D | -5.8% | -2.8% | 0.3% |
| 1Y | -40.0% | -30.1% | -18.4% |
Return vs Industry: GE underperformed the US Industrials industry which returned -30.5% over the past year.
Return vs Market: GE underperformed the US Market which returned -19.1% over the past year.
Price Volatility
| GE volatility | |
|---|---|
| GE Average Weekly Movement | 5.7% |
| Industrials Industry Average Movement | 5.7% |
| Market Average Movement | 8.1% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.3% |
Stable Share Price: GE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: GE's weekly volatility (6%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1892 | 168,000 | Larry Culp | https://www.ge.com |
General Electric Company operates as a high-tech industrial company in Europe, China, Asia, the Americas, the Middle East, and Africa. It operates through four segments: Power, Renewable Energy, Aviation, and Healthcare segments. The Power segment offers gas and steam turbines, full balance of plant, upgrade, and service solutions, as well as data-leveraging software for power generation, industrial, government, and other customers.
General Electric Fundamentals Summary
| GE fundamental statistics | |
|---|---|
| Market Cap | US$68.27b |
| Earnings (TTM) | -US$4.40b |
| Revenue (TTM) | US$74.16b |
0.9x
P/S Ratio-15.5x
P/E RatioIs GE overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| GE income statement (TTM) | |
|---|---|
| Revenue | US$74.16b |
| Cost of Revenue | US$53.49b |
| Gross Profit | US$18.47b |
| Other Expenses | US$22.87b |
| Earnings | -US$4.40b |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
Jul 26, 2022
| Earnings per share (EPS) | -3.99 |
| Gross Margin | 24.91% |
| Net Profit Margin | -5.93% |
| Debt/Equity Ratio | 83.5% |
How did GE perform over the long term?
See historical performance and comparisonDividends
0.5%
Current Dividend Yield-8%
Payout RatioValuation
Is GE undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for GE?
Other financial metrics that can be useful for relative valuation.
| What is GE's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$68.27b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.1x |
| Enterprise Value/EBITDA | 12.4x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does GE's PS Ratio compare to its peers?
| GE PS Ratio vs Peers |
|---|
| Company | PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 1.7x | ||
MMM 3M | 2.1x | 4.3% | US$73.5b |
HON Honeywell International | 3.4x | 6.3% | US$117.1b |
IEP Icahn Enterprises | 1.3x | -5.6% | US$15.0b |
BBU Brookfield Business Partners | 0.09x | 8.3% | US$4.5b |
GE General Electric | 0.9x | 6.8% | US$68.3b |
Price-To-Sales vs Peers: GE is good value based on its Price-To-Sales Ratio (0.9x) compared to the peer average (1.7x).
Price to Earnings Ratio vs Industry
How does GE's PE Ratio compare vs other companies in the Global Industrials Industry?
Price-To-Sales vs Industry: GE is good value based on its Price-To-Sales Ratio (0.9x) compared to the US Industrials industry average (0.9x)
Price to Sales Ratio vs Fair Ratio
What is GE's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 0.9x |
| Fair PS Ratio | 2.3x |
Price-To-Sales vs Fair Ratio: GE is good value based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (2.3x).
Share Price vs Fair Value
What is the Fair Price of GE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: GE ($62.03) is trading below our estimate of fair value ($228.81)
Significantly Below Fair Value: GE is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate GE's PEG Ratio to determine if it is good value.
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Future Growth
How is General Electric forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
38.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: GE is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: GE is expected to become profitable in the next 3 years.
Revenue vs Market: GE's revenue (6.8% per year) is forecast to grow slower than the US market (7.8% per year).
High Growth Revenue: GE's revenue (6.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GE's Return on Equity is forecast to be low in 3 years time (13.3%).
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Past Performance
How has General Electric performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
14.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GE is currently unprofitable.
Growing Profit Margin: GE is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: GE is unprofitable, but has reduced losses over the past 5 years at a rate of 14.2% per year.
Accelerating Growth: Unable to compare GE's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: GE is unprofitable, making it difficult to compare its past year earnings growth to the Industrials industry (55.3%).
Return on Equity
High ROE: GE has a negative Return on Equity (-10.48%), as it is currently unprofitable.
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Financial Health
How is General Electric's financial position?
Financial Health Score
5/6Financial Health Score 5/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway
Financial Position Analysis
Short Term Liabilities: GE's short term assets ($63.3B) exceed its short term liabilities ($53.3B).
Long Term Liabilities: GE's short term assets ($63.3B) do not cover its long term liabilities ($98.3B).
Debt to Equity History and Analysis
Debt Level: GE's net debt to equity ratio (31.6%) is considered satisfactory.
Reducing Debt: GE's debt to equity ratio has reduced from 162.7% to 83.5% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable GE has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: GE is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 35.1% per year.
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Dividend
What is General Electric current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
0.52%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GE's dividend (0.52%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.6%).
High Dividend: GE's dividend (0.52%) is low compared to the top 25% of dividend payers in the US market (4.24%).
Stability and Growth of Payments
Stable Dividend: GE is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: GE is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Earnings Payout to Shareholders
Earnings Coverage: GE is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: GE is not paying a notable dividend for the US market.
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Management
How experienced are the management team and are they aligned to shareholders interests?
2.9yrs
Average management tenure
CEO
Larry Culp (59 yo)
3.75yrs
Tenure
US$22,663,449
Compensation
Mr. H. Lawrence Culp, Jr., also known as Larry, serves as Chief Executive Officer of GE Aviation Systems LLC since June 27, 2022. He has been the Chairman and Chief Executive Officer of General Electric Co...
CEO Compensation Analysis
Compensation vs Market: Larry's total compensation ($USD22.66M) is above average for companies of similar size in the US market ($USD13.41M).
Compensation vs Earnings: Larry's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: GE's management team is considered experienced (2.9 years average tenure).
Board Members
Experienced Board: GE's board of directors are considered experienced (4.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GE insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
General Electric Company's employee growth, exchange listings and data sources
Key Information
- Name: General Electric Company
- Ticker: GE
- Exchange: NYSE
- Founded: 1892
- Industry: Industrial Conglomerates
- Sector: Capital Goods
- Implied Market Cap: US$68.274b
- Shares outstanding: 1.10b
- Website: https://www.ge.com
Number of Employees
Location
- General Electric Company
- 5 Necco Street
- Boston
- Massachusetts
- 2210
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/07/05 00:00 |
| End of Day Share Price | 2022/07/05 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.