GENERAL ELECTRIC (NYSE:GE) Fits Minervini’s Trend Template with Strong Growth Momentum

GENERAL ELECTRIC (NYSE:GE) has become an attractive option for investors following Mark Minervini’s trend-following strategy, which blends technical strength with strong growth fundamentals. The Minervini Trend Template spots stocks in clear uptrends, while the High Growth Momentum (HGM) rating confirms the company shows rising earnings and revenue growth, important for lasting price gains.

Why GE Matches the Minervini Trend Template

The Trend Template helps identify stocks in clear uptrends by checking strict technical rules. GE meets these requirements:

• Price Above Key Moving Averages: The stock trades at $270.31, above its 50-day ($249.57), 150-day ($212.92), and 200-day ($204.45) moving averages, confirming bullish trends in both short and long terms.
• Rising Averages: The 50-day, 150-day, and 200-day MAs are all moving up, supporting the stock’s momentum.
• Strong Relative Strength: With a ChartMill Relative Strength (CRS) score of 91.69, GE beats 91% of the market, a sign of leadership.
• Near Highs: The stock is within 1.3% of its 52-week high ($273.80) and 80% above its 52-week low ($150.20), showing steady demand.

These points match Minervini’s focus on stocks with steady upward momentum, as explained in our introduction to the Trend Template.

High Growth Momentum Fundamentals

Beyond technicals, GE shows solid fundamental growth, a key for momentum investors:

• Earnings Growth:
  • EPS grew 45.2% YoY (TTM), with recent quarterly growth rising to 38.3% (Q2Q).
  • The company has topped EPS estimates in 3 of the last 4 quarters, averaging an 11.9% surprise.
• Revenue Growth:
  • Revenue climbed 13% YoY (TTM), with the latest quarter up 23.4%.
  • Forward estimates suggest more growth, with next-quarter sales expected to increase 18.3%.
• Profit Margins:
  • Margins stay strong at 18.4% (latest quarter), showing efficiency.

These numbers show GE is not just technically sound but also backed by better profits and demand, important for growth-focused investors.

Technical Breakout Potential

ChartMill’s technical report gives GE a perfect Technical Rating of 10, reflecting its strong trend across timeframes. The setup rating of 6 hints at a pause near highs, with support at $265.30 acting as a logical stop-loss level. Key points:

• Support Zones: Multiple support levels (e.g., $265.31–$265.53) provide downside protection.
• Resistance: A move above $271.60 could signal more upside.
• Volume: Liquidity is good, with an average daily volume of 7 million shares.

Next Steps for Investors

For traders using the Minervini approach, GE offers a high-chance setup: clear trend, solid fundamentals, and a defined risk/reward plan. To find similar high-growth momentum stocks, try our High Growth Momentum + Trend Template screener.

Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Always conduct your own research and consider risk management strategies before trading. Read our full disclaimer here.