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General Electric (GE) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, General Electric (GE - Free Report) closed at $104.12, marking a -0.28% move from the previous day. This change lagged the S&P 500's 0.34% gain on the day.
Heading into today, shares of the industrial conglomerate had gained 3.92% over the past month, outpacing the Conglomerates sector's loss of 2.45% and the S&P 500's loss of 0.12% in that time.
Investors will be hoping for strength from GE as it approaches its next earnings release, which is expected to be October 26, 2021. The company is expected to report EPS of $0.43, down 10.42% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $19.13 billion, down 1.5% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.89 per share and revenue of $76.56 billion, which would represent changes of +2262.5% and -3.84%, respectively, from the prior year.
Any recent changes to analyst estimates for GE should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 5.12% lower within the past month. GE is currently a Zacks Rank #4 (Sell).
In terms of valuation, GE is currently trading at a Forward P/E ratio of 55.39. This valuation marks a premium compared to its industry's average Forward P/E of 18.62.
We can also see that GE currently has a PEG ratio of 10.39. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Diversified Operations stocks are, on average, holding a PEG ratio of 1.78 based on yesterday's closing prices.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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General Electric (GE) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, General Electric (GE - Free Report) closed at $104.12, marking a -0.28% move from the previous day. This change lagged the S&P 500's 0.34% gain on the day.
Heading into today, shares of the industrial conglomerate had gained 3.92% over the past month, outpacing the Conglomerates sector's loss of 2.45% and the S&P 500's loss of 0.12% in that time.
Investors will be hoping for strength from GE as it approaches its next earnings release, which is expected to be October 26, 2021. The company is expected to report EPS of $0.43, down 10.42% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $19.13 billion, down 1.5% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.89 per share and revenue of $76.56 billion, which would represent changes of +2262.5% and -3.84%, respectively, from the prior year.
Any recent changes to analyst estimates for GE should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 5.12% lower within the past month. GE is currently a Zacks Rank #4 (Sell).
In terms of valuation, GE is currently trading at a Forward P/E ratio of 55.39. This valuation marks a premium compared to its industry's average Forward P/E of 18.62.
We can also see that GE currently has a PEG ratio of 10.39. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Diversified Operations stocks are, on average, holding a PEG ratio of 1.78 based on yesterday's closing prices.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.