Industrial goods manufacturer General Electric Company (GE - Free Report) is actively pursuing its massive restructuring program in order to create a simpler and nimbler firm with a re-focus on core operations. From a classic conglomerate with diversified business interests in financial services, media, industrial and technology-based operations, the company is pruning its operating portfolio to focus on core manufacturing businesses with a digital edge.
GE has been selectively acquiring assets to boost its Industrial Internet vision. Such opportune transactions are likely to improve the top line of the company. In addition, GE has also inked a definitive agreement with Baker Hughes Incorporated to merge its Oil & Gas business with the latter to form an industry leader with an unrivalled mix of service and equipment capabilities. However, for a company as large as GE, additional revenues needed for growth are quite large, posing a challenge in developing businesses on such a vast scale. In the last four trailing quarters, GE has reported a positive average earnings surprise of 4.5%, beating estimates thrice.
Earnings estimate revisions have remained static in the last month as investors retain a neutral stance about the performance of the company. Currently, GE has a Zacks Rank #3 (Hold), but that could definitely change following fourth-quarter 2016 earnings report, which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: GE operating earnings matches estimates. The Zacks Consensus Estimate called for EPS of 46 cents, and the company reported operating+verticals EPS of 46 cents as well.
Revenue: Quarterly revenues miss estimates. GE posted consolidated revenues of $33,088 million, compared with Zacks Consensus Estimate of $34,150 million.
Key Stats to Note: GE has offered a bullish guidance for 2017 with industrial operating+vertical EPS expected in the range of $1.60–$1.70, representing organic growth of 3–5%, and remains confident to return $19–$21 billion to shareholders.
Stock Price: Shares were relative flat in pre-market trading following the release at the time of write-up as investors probably looked for a healthier earnings beat.
Check back our full write up on this GE earnings report later!
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Industrial goods manufacturer General Electric Company (GE - Free Report) is actively pursuing its massive restructuring program in order to create a simpler and nimbler firm with a re-focus on core operations. From a classic conglomerate with diversified business interests in financial services, media, industrial and technology-based operations, the company is pruning its operating portfolio to focus on core manufacturing businesses with a digital edge.
GE has been selectively acquiring assets to boost its Industrial Internet vision. Such opportune transactions are likely to improve the top line of the company. In addition, GE has also inked a definitive agreement with Baker Hughes Incorporated to merge its Oil & Gas business with the latter to form an industry leader with an unrivalled mix of service and equipment capabilities. However, for a company as large as GE, additional revenues needed for growth are quite large, posing a challenge in developing businesses on such a vast scale. In the last four trailing quarters, GE has reported a positive average earnings surprise of 4.5%, beating estimates thrice.
Earnings estimate revisions have remained static in the last month as investors retain a neutral stance about the performance of the company. Currently, GE has a Zacks Rank #3 (Hold), but that could definitely change following fourth-quarter 2016 earnings report, which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: GE operating earnings matches estimates. The Zacks Consensus Estimate called for EPS of 46 cents, and the company reported operating+verticals EPS of 46 cents as well.
Revenue: Quarterly revenues miss estimates. GE posted consolidated revenues of $33,088 million, compared with Zacks Consensus Estimate of $34,150 million.
Key Stats to Note: GE has offered a bullish guidance for 2017 with industrial operating+vertical EPS expected in the range of $1.60–$1.70, representing organic growth of 3–5%, and remains confident to return $19–$21 billion to shareholders.
Stock Price: Shares were relative flat in pre-market trading following the release at the time of write-up as investors probably looked for a healthier earnings beat.
Check back our full write up on this GE earnings report later!
The Best Place to Start Your Stock Search
Today, you are invited to download the full, up-to-the-minute list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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