In the recent trading session, General Electric stock (NYSE:GE) finished at $64.46, reflecting a -0.02% change from the previous day. This move fell behind the daily increase of 1.97% for the S&P 500. Aside from that, the Dow advanced by 1.88 percent, while the tech-heavy Nasdaq gained 0.24 percent.
Before trading began today, the shares of the industrial giant had dropped by 14.19% during the course of the previous month. This is lower than the loss of 10.93% that the Conglomerates sector experienced and the loss of 9.93% that the S&P 500 experienced over the same time period.
When General Electric Company (NYSE:GE) draws closer to the date of its next earnings report, Wall Street will be looking for signs of optimism from the company. It is anticipated that this will occur on October 25th, 2022. On that day, it is anticipated that General Electric will post earnings of $0.51 per share, which would represent a decrease of 10.53% compared to the previous year’s results. Our most current average estimate predicts quarterly sales of $19.04 billion, which would represent a 3.29% increase from the previous year.
General Electric Stock Analysis
When considering the entire year, our Zacks Consensus Estimates indicate that analysts anticipate earnings of $2.74 per share and sales of $75.89 billion. From the previous year’s totals, these amounts would represent changes of +29.25% and +2.38%, respectively.
Additionally, investors should be aware of any recent modifications made to the analyst consensus for General Electric stock. More recent revisions frequently reflect the most recent short-term firm dynamics. As a result, upbeat estimate revisions demonstrate the analysts’ positive prognosis for the business operations and profitability.
We feel that these estimate adjustments are closely tied to near-term stock movements based on the study that we have conducted. Utilizing the Zacks Rank is one way for investors to make the most of this situation. This model takes into account the alterations to the estimates and gives a straightforward and actionable scoring system.
The Zacks Rank scale goes from number one (a “Strong Buy”) to number five (Strong Sell). It has a fantastic track record of achievement that has been audited by an independent third party. Since 1988, #1 stocks have delivered an average yearly return of +25%. Over the course of the last month, our consensus prediction for EPS has not changed at all. The Zacks Rank for General Electric stock is presently #3 at the moment (Hold).
Investors should also take General Electric’s current value metrics into account. The company’s Forward P/E ratio of 23.56 is one such figure. This price exhibits a premium when measured against the 14.29 average Forward P/E for its sector.
It’s vital to note that General Electric stock has a PEG ratio of 3.37 as well. This frequent metric resembles the well-known P/E ratio quite a bit; however, the PEG ratio is different from the P/E ratio in that it additionally considers the company’s anticipated profit growth rate. The PEG ratio for businesses in the Diversified Operations industry was, on average, 1.52 as of the end of trade yesterday.
The Conglomerates sector includes the Diversified Operations industry as one of its sub-sectors. This sector is now ranked 90 out of more than 250 different industries by Zacks, which places it in the top 36 percent of all sectors.
The Zacks Industry Rank places industries in the order of best to worst based on the average Zacks Rank of the firms that make up each of these categories. The rank is given in terms of the Zacks Rank. According to the findings of our research, the industries that received ratings in the top 50% do much better than those that received ratings in the bottom 50%.
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