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General Electric (GE) Arm Wins Wind Turbine Deal From Iberdrola

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General Electric Company’s (GE - Free Report) business unit, GE Renewable Energy, recently secured a contract from Iberdrola Australia for the delivery and installation of onshore wind turbines. The financial terms of the contract have been kept under wraps.

General Electric’s share price gained 2.5% yesterday, eventually closing the trading session at $94.70.

Iberdrola Australia provides renewable energy solutions to households and industrial consumers in Australia. The company currently operates solar, wind and storage batteries with a capacity of more than 800 MW in the country. It also boasts a strong project portfolio, of which 453 MW are in the construction phase.

Inside the Headline

GE Renewable Energy will be responsible for supplying 38 units of its 3.8 MW wind turbines, carrying 137m of rotor diameter. The turbines will be set up at the Flyers Creek wind farm, which is under the development stage near Orange in New South Wales, Australia. The deal will likely help the 145.5 MW wind farm to generate sufficient power for 86,000 households, thus catering to the increasing demand for renewable and sustainable energy.

It’s worth noting that the Flyers Creek wind farm project is expected to be completed in 2023, and General Electric will be responsible for providing operational services in the facility for 10 years.

The latest contract is a testimony to the growing popularity of General Electric’s onshore wind turbine platform. Designed to operate at variable speeds, the company’s 3.8 MW wind turbines feature a higher efficiency in service ability and an improved level of annual energy production, thus delivering significant value to its customers.

Zacks Rank, Price Performance and Estimate Trend

General Electric, with a $104.1-billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is poised to benefit from its portfolio-restructuring plans, expansion in the digital business, product innovation and efforts to deleverage the balance sheet in the quarters ahead. However, supply-chain constraints and inflationary pressure are likely to adversely impact GE’s performance in the near term.

Zacks Investment Research
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In the past three months, General Electric’s share price has increased 5.2% against the industry’s decline of 7.1%.

In the past 30 days, the Zacks Consensus Estimate for the company’s 2022 earnings has decreased from $3.42 to $3.23, owing to four downward estimate revisions versus one upward. Also, the consensus estimate for its 2023 earnings has gone down from $5.05 to $5.03 due to three downward estimate revisions against two upward.

Stocks to Consider

Some better-ranked companies are discussed below.

Griffon Corporation (GFF - Free Report) presently sports a Zacks Rank #1 (Strong Buy). It delivered a four-quarter earnings surprise of 56.7%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.

Griffon’s earnings estimates increased 9% for fiscal 2022 (ending September 2022) in the past 30 days. GFF’s shares have lost 9.8% in the past three months.

Franklin Electric Co., Inc. (FELE - Free Report) presently has a Zacks Rank #2 (Buy). Its earnings surprise in the last four quarters was 17.4%, on average.

In the past 30 days, Franklin Electric’s earnings estimates have been raised 10.9% for 2022. FELE’s shares have lost 5% in the past three months.

Carlisle Companies Incorporated (CSL - Free Report) presently carries a Zacks Rank #2. Its earnings surprise in the last four quarters was 35.1%, on average.

Carlisle’s earnings estimates have increased 3.8% for 2022 in the past 30 days. CSL’s shares have gained 6.3% in the past three months.

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