We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
General Electric (GE) & Xignux's JV Unit to Buy SPX Transformer
Read MoreHide Full Article
GE-Prolec Transformers, Inc. — a subsidiary of General Electric Company (GE - Free Report) and Xignux, S.A. de C.V.’s joint venture unit — recently entered into a deal with SPX Corporation (SPXC - Free Report) to buy SPX Transformer Solutions business. The buyout, which is expected to be completed by 2021-end subject to certain regulatory approvals, is valued at $645 million in cash.
Prolec GE is the joint venture between General Electric and Xignux.
SPX Transformer Solutions is engaged in providing power transformers in the United States as well as transformer services solutions and components. It is recognized for Waukesha transformers, as well as services and components. Notably, the company’s manufacturing facilities are based in Waukesha, WI, Goldsboro, NC, and Dallas, TX.
Benefits of the Buyout
The acquisition will enable Prolec GE to strengthen its position in electric power transmission, and distribution solutions space in the Americas. Notably, the combination of SPX Transformer Solutions’ proficiency in mid-sized transformer technology and Prolec GE’s expertise in small and larger-sized transformers will enable the latter to offer a comprehensive suite of sustainable energy solutions to its customers.
Separately, General Electric’s business unit GE Digital announced that its Smallworld Physical Network Inventory solution has been implemented by National Broadband Ireland. Notably, the solution has been implemented to model, manage, as well as streamline the execution of Ireland’s telecommunications project — the National Broadband Plan.
Zacks Rank, Price Performance and Earnings Estimate Trend
The company, with $122-billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is poised to gain from its portfolio-restructuring program, expansion in digital business and efforts to deleverage balance sheet in the quarters ahead. However, the persistence of market-related challenges in Aviation as well as weakness in the onshore wind market in the United States might be concerning in the near term.
General Electric’s shares have gained 11.9% compared with 9.7% growth recorded by the industry in the past three months.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for second-quarter 2021 earnings has increased 33.3% to 4 cents in the past 60 days. Also, estimates for 2021 have increased 8.3% to 26 cents during the same period.
Griffon delivered an earnings surprise of 50.00% in the last reported quarter.
Macquarie delivered an earnings surprise of 25.00% in the last reported quarter.
Bitcoin, Like the Internet Itself, Could Change Everything
Blockchain and cryptocurrency has sparked one of the most exciting discussion topics of a generation. Some call it the “Internet of Money” and predict it could change the way money works forever. If true, it could do to banks what Netflix did to Blockbuster and Amazon did to Sears. Experts agree we’re still in the early stages of this technology, and as it grows, it will create several investing opportunities.
Zacks’ has just revealed 3 companies that can help investors capitalize on the explosive profit potential of Bitcoin and the other cryptocurrencies with significantly less volatility than buying them directly.
Image: Bigstock
General Electric (GE) & Xignux's JV Unit to Buy SPX Transformer
GE-Prolec Transformers, Inc. — a subsidiary of General Electric Company (GE - Free Report) and Xignux, S.A. de C.V.’s joint venture unit — recently entered into a deal with SPX Corporation (SPXC - Free Report) to buy SPX Transformer Solutions business. The buyout, which is expected to be completed by 2021-end subject to certain regulatory approvals, is valued at $645 million in cash.
Prolec GE is the joint venture between General Electric and Xignux.
SPX Transformer Solutions is engaged in providing power transformers in the United States as well as transformer services solutions and components. It is recognized for Waukesha transformers, as well as services and components. Notably, the company’s manufacturing facilities are based in Waukesha, WI, Goldsboro, NC, and Dallas, TX.
Benefits of the Buyout
The acquisition will enable Prolec GE to strengthen its position in electric power transmission, and distribution solutions space in the Americas. Notably, the combination of SPX Transformer Solutions’ proficiency in mid-sized transformer technology and Prolec GE’s expertise in small and larger-sized transformers will enable the latter to offer a comprehensive suite of sustainable energy solutions to its customers.
Separately, General Electric’s business unit GE Digital announced that its Smallworld Physical Network Inventory solution has been implemented by National Broadband Ireland. Notably, the solution has been implemented to model, manage, as well as streamline the execution of Ireland’s telecommunications project — the National Broadband Plan.
Zacks Rank, Price Performance and Earnings Estimate Trend
The company, with $122-billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is poised to gain from its portfolio-restructuring program, expansion in digital business and efforts to deleverage balance sheet in the quarters ahead. However, the persistence of market-related challenges in Aviation as well as weakness in the onshore wind market in the United States might be concerning in the near term.
General Electric’s shares have gained 11.9% compared with 9.7% growth recorded by the industry in the past three months.
The Zacks Consensus Estimate for second-quarter 2021 earnings has increased 33.3% to 4 cents in the past 60 days. Also, estimates for 2021 have increased 8.3% to 26 cents during the same period.
Key Picks
A couple of better-ranked stocks from the same space are Griffon Corporation (GFF - Free Report) and Macquarie Infrastructure Company , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Griffon delivered an earnings surprise of 50.00% in the last reported quarter.
Macquarie delivered an earnings surprise of 25.00% in the last reported quarter.
Bitcoin, Like the Internet Itself, Could Change Everything
Blockchain and cryptocurrency has sparked one of the most exciting discussion topics of a generation. Some call it the “Internet of Money” and predict it could change the way money works forever. If true, it could do to banks what Netflix did to Blockbuster and Amazon did to Sears. Experts agree we’re still in the early stages of this technology, and as it grows, it will create several investing opportunities.
Zacks’ has just revealed 3 companies that can help investors capitalize on the explosive profit potential of Bitcoin and the other cryptocurrencies with significantly less volatility than buying them directly.
See 3 crypto-related stocks now >>