General Electric (GE - Free Report) closed the most recent trading day at $9.58, moving +1.32% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.21%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.18%.
Prior to today's trading, shares of the industrial conglomerate had lost 6.06% over the past month. This has lagged the Conglomerates sector's gain of 3.05% and the S&P 500's gain of 1.81% in that time.
Wall Street will be looking for positivity from GE as it approaches its next earnings report date. On that day, GE is projected to report earnings of $0.11 per share, which would represent a year-over-year decline of 33.33%. Our most recent consensus estimate is calling for quarterly revenue of $27.79 billion, down 3.02% from the year-ago period.
GE's full-year Zacks Consensus Estimates are calling for earnings of $0.65 per share and revenue of $120.54 billion. These results would represent year-over-year changes of +0.26% and -0.89%, respectively.
Investors should also note any recent changes to analyst estimates for GE. These revisions help to show the ever-changing nature of 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.51% higher within the past month. GE currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, GE is holding a Forward P/E ratio of 14.5. This valuation marks a discount compared to its industry's average Forward P/E of 15.83.
Investors should also note that GE has a PEG ratio of 3.22 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Diversified Operations was holding an average PEG ratio of 1.81 at yesterday's closing price.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 31, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
You can find more information on all of these metrics, and much more, on Zacks.com.