GE Stock Analysis, Valuation (NYSE:GE)

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$12.35 $0.1 (0.8%) GE stock closing price Aug 14, 2018 (Closing)

Take a look at Amigobulls GE stock analysis video. Our GE analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

General Electric Company Stock Rating 2.6/5

Amigobulls GE stock analysis uses latest quarter 2018 Q2 financial data like GE revenue growth, profit margins and cash flows. GE valuation forms a crucial part of our stock analysis. Based on a company's historical fundamentals we arrive at GE stock rating which is indicative of the company's financial performance.

Should you buy GE stock?

  • The GE stock currently trades at a price to earnings ratio of 13.6, compared to the sector average of 20.2. We rate this as a positive.
  • When compared with the Multi-Sector Conglomerates sector average PS ratio of 1.7, the price-to-sales ratio of 0.9 for GE stock is attractive.
  • The company has a healthy dividend yield of 4.86.

Should you sell GE stock?

  • GE salesgrew by a marginal 1.8% year over year in 2018-06.
  • Revenue declined at a CAGR of -3.2 over the last 5 years.
  • GE's TTM operating margin of 6.66 was rather poor.
  • Over the last 12 months, GE had an average Net loss of -6.6%.
  • With a debt/equity ratio of 1.81, GE is highly leveraged in comparison to Multi-Sector Conglomerates peers.
  • A negative ROE of -10.3 indicates that the company is not able to generate profits with the money shareholders have invested.

Comments on this video and GE stock

Investors can use Amigobulls GE stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

GE revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Investors could make use of GE technical analysis to check whether the fundamental story is reflected in the market sentiment.