General Electric (GE - Free Report) closed at $12.14 in the latest trading session, marking a +1.42% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.35%. Elsewhere, the Dow gained 0.24%, while the tech-heavy Nasdaq added 0.56%.
Prior to today's trading, shares of the industrial conglomerate had gained 10.94% over the past month. This has outpaced the Conglomerates sector's gain of 6.17% and the S&P 500's gain of 4.69% in that time.
Wall Street will be looking for positivity from GE as it approaches its next earnings report date. This is expected to be January 29, 2020. In that report, analysts expect GE to post earnings of $0.18 per share. This would mark year-over-year growth of 5.88%. Meanwhile, our latest consensus estimate is calling for revenue of $26.15 billion, down 21.41% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for GE. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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. Within the past 30 days, our consensus EPS projection has moved 0.81% lower. GE is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, GE is currently trading at a Forward P/E ratio of 17.07. For comparison, its industry has an average Forward P/E of 16.99, which means GE is trading at a premium to the group.
It is also worth noting that GE currently has a PEG ratio of 2.53. 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. The Diversified Operations industry currently had an average PEG ratio of 2.08 as of yesterday's close.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 34% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.