General Electric Company (NYSE:GE) shares traded lower over the last trading session, losing -0.36% on 06/07/21. The shares fell to a low of $13.86 before closing at $13.91. Intraday shares traded counted 37.26 million, which was 49.1% higher than its 30-day average trading volume of 73.19M. GE’s previous close was $13.96 while the outstanding shares total 8.77B. The firm has a beta of 1.08. The stock’s Relative Strength Index (RSI) is 58.18, with weekly volatility at 1.99% and ATR at 0.32. The GE stock’s 52-week price range has touched low of $5.93 and a $14.41 high.
Investors have identified the Specialty Industrial Machinery company General Electric Company as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $123.25 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
General Electric Company (GE) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For GE, the company has in raw cash 31.78 billion on their books with 4.47 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 113.2 billion total, with 57.68 billion as their total liabilities.
GE were able to record -2.29 billion as free cash flow during the 07/16/2021 quarter of the year, this saw their quarterly net cash flow reduce by -3.49 billion. In cash movements, the company had a total of -1.96 billion as operating cash flow.
Potential earnings growth for General Electric Company (GE)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/16/2021 quarter of the year, General Electric Company recorded a total of 17.12 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -13.86% coming in sequential stages and their sales for the 07/16/2021 quarter reducing by -34.14%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 12.54 billion trying to sell their products during the last quarter, with the result yielding a gross income of 4.58 billion. This allows shareholders to hold on to 8.77B with the recently reported earning now reading -0.33 cents per share. This is a figure that compared to analyst’s prediction for their 07/16/2021 (0.03 cents a share).
Having a look at the company’s valuation, the company is expected to record 0.53 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on GE sounds very interesting.
Is the stock of GE attractive?
In related news, Director, Reynolds Paula Rosput bought 5,000 shares of the company’s stock in a transaction that recorded on Mar 12. The purchase was performed at an average price of 12.50, for a total value of 62,500. As the purchase deal closes, the Director, GARDEN EDWARD P now sold 11,586,206 shares of the company’s stock, valued at 72,068,519. Also, Director, GARDEN EDWARD P sold 10,761,857 shares of the company’s stock in a deal that was recorded on Aug 04. The shares were cost at an average price of 6.16 per share, with a total market value of 66,261,830. Following this completion of disposal, the Director, GARDEN EDWARD P now holds 1,542,820 shares of the company’s stock, valued at 9,529,691. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.24%.
12 out of 22 analysts covering the stock have rated it a Buy, while 10 have maintained a Hold recommendation on General Electric Company. 0 analysts has assigned a Sell rating on the GE stock. The 12-month mean consensus price target for the company’s shares has been set at $14.90.