GENERAL ELECTRIC (GE) Stock Fundamental Analysis
USA - NYSE:GE - US3696041033 - Common Stock
305.88 USD
+5.06 (+1.68%)
Taking everything into account, GE scores 5 out of 10 in our fundamental rating. GE was compared to 71 industry peers in the Aerospace & Defense industry. While GE has a great profitability rating, there are some minor concerns on its financial health. GE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GE had positive earnings in the past year.
GE had a positive operating cash flow in the past year.
Of the past 5 years GE 4 years were profitable.
In the past 5 years GE always reported a positive cash flow from operatings.
1.2 Ratios
GE has a better Return On Assets (6.29%) than 74.65% of its industry peers.
Looking at the Return On Equity, with a value of 42.86%, GE belongs to the top of the industry, outperforming 98.59% of the companies in the same industry.
The Return On Invested Capital of GE (7.55%) is better than 69.01% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GE is significantly below the industry average of 8.47%.
The 3 year average ROIC (3.20%) for GE is below the current ROIC(7.55%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.29% | ||
| ROE | 42.86% | ||
| ROIC | 7.55% |
ROA(3y)3.55%
ROA(5y)1.86%
ROE(3y)22.52%
ROE(5y)13.1%
ROIC(3y)3.2%
ROIC(5y)N/A
1.3 Margins
GE has a Profit Margin of 18.34%. This is amongst the best in the industry. GE outperforms 98.59% of its industry peers.
With an excellent Operating Margin value of 17.60%, GE belongs to the best of the industry, outperforming 87.32% of the companies in the same industry.
In the last couple of years the Operating Margin of GE has grown nicely.
GE has a better Gross Margin (35.88%) than 76.06% of its industry peers.
In the last couple of years the Gross Margin of GE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.6% | ||
| PM (TTM) | 18.34% | ||
| GM | 35.88% |
OM growth 3Y396.9%
OM growth 5Y30.84%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.73%
GM growth 5Y6.44%
2. Health
2.1 Basic Checks
GE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, GE has less shares outstanding
GE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, GE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.25 indicates that GE is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.25, GE perfoms like the industry average, outperforming 47.89% of the companies in the same industry.
GE has a debt to FCF ratio of 3.23. This is a good value and a sign of high solvency as GE would need 3.23 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.23, GE belongs to the top of the industry, outperforming 84.51% of the companies in the same industry.
A Debt/Equity ratio of 1.00 indicates that GE is somewhat dependend on debt financing.
The Debt to Equity ratio of GE (1.00) is worse than 77.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 3.25 |
ROIC/WACC0.78
WACC9.66%
2.3 Liquidity
GE has a Current Ratio of 1.08. This is a normal value and indicates that GE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.08, GE is doing worse than 84.51% of the companies in the same industry.
A Quick Ratio of 0.76 indicates that GE may have some problems paying its short term obligations.
GE's Quick ratio of 0.76 is on the low side compared to the rest of the industry. GE is outperformed by 80.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 45.95% over the past year.
GE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.65% yearly.
GE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.68%.
GE shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -15.57% yearly.
EPS 1Y (TTM)45.95%
EPS 3Y28.22%
EPS 5Y-1.65%
EPS Q2Q%44.35%
Revenue 1Y (TTM)17.68%
Revenue growth 3Y-11.83%
Revenue growth 5Y-15.57%
Sales Q2Q%26.41%
3.2 Future
The Earnings Per Share is expected to grow by 19.52% on average over the next years. This is quite good.
Based on estimates for the next years, GE will show a quite strong growth in Revenue. The Revenue will grow by 11.59% on average per year.
EPS Next Y42.66%
EPS Next 2Y28.2%
EPS Next 3Y24.42%
EPS Next 5Y19.52%
Revenue Next Year19.98%
Revenue Next 2Y15.82%
Revenue Next 3Y13.76%
Revenue Next 5Y11.59%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 49.90 indicates a quite expensive valuation of GE.
GE's Price/Earnings is on the same level as the industry average.
GE is valuated expensively when we compare the Price/Earnings ratio to 25.47, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 41.45, the valuation of GE can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GE is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 35.42. GE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.9 | ||
| Fwd PE | 41.45 |
4.2 Price Multiples
GE's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GE indicates a somewhat cheap valuation: GE is cheaper than 61.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 50.33 | ||
| EV/EBITDA | 36.37 |
4.3 Compensation for Growth
GE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
GE has a very decent profitability rating, which may justify a higher PE ratio.
GE's earnings are expected to grow with 24.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y28.2%
EPS Next 3Y24.42%
5. Dividend
5.1 Amount
GE has a yearly dividend return of 0.49%, which is pretty low.
GE's Dividend Yield is a higher than the industry average which is at 1.37.
With a Dividend Yield of 0.49, GE pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
5.2 History
On average, the dividend of GE grows each year by 9.39%, which is quite nice.
GE has been paying a dividend for at least 10 years, so it has a reliable track record.
GE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)9.39%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
GE pays out 17.08% of its income as dividend. This is a sustainable payout ratio.
The dividend of GE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP17.08%
EPS Next 2Y28.2%
EPS Next 3Y24.42%
NYSE:GE (11/20/2025, 10:07:07 AM)
305.88
+5.06 (+1.68%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners80.56%
Inst Owner Change2.18%
Ins Owners0.15%
Ins Owner Change2.22%
Market Cap324.37B
Revenue(TTM)43.95B
Net Income(TTM)8.06B
Analysts83.08
Price Target349 (14.1%)
Short Float %1.14%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
Yearly Dividend0.93
Dividend Growth(5Y)9.39%
DP17.08%
Div Incr Years2
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.78%
Min EPS beat(2)10.91%
Max EPS beat(2)12.64%
EPS beat(4)4
Avg EPS beat(4)15.06%
Min EPS beat(4)10.91%
Max EPS beat(4)23.03%
EPS beat(8)7
Avg EPS beat(8)13.54%
EPS beat(12)11
Avg EPS beat(12)24.24%
EPS beat(16)15
Avg EPS beat(16)29.91%
Revenue beat(2)2
Avg Revenue beat(2)4.08%
Min Revenue beat(2)2.75%
Max Revenue beat(2)5.4%
Revenue beat(4)3
Avg Revenue beat(4)1.51%
Min Revenue beat(4)-2.98%
Max Revenue beat(4)5.4%
Revenue beat(8)4
Avg Revenue beat(8)0.27%
Revenue beat(12)6
Avg Revenue beat(12)-15.02%
Revenue beat(16)6
Avg Revenue beat(16)-21.4%
PT rev (1m)11.97%
PT rev (3m)18.51%
EPS NQ rev (1m)9.3%
EPS NQ rev (3m)7.79%
EPS NY rev (1m)5.33%
EPS NY rev (3m)11.69%
Revenue NQ rev (1m)1.17%
Revenue NQ rev (3m)0.87%
Revenue NY rev (1m)1.84%
Revenue NY rev (3m)1.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.9 | ||
| Fwd PE | 41.45 | ||
| P/S | 7.38 | ||
| P/FCF | 50.33 | ||
| P/OCF | 42.94 | ||
| P/B | 17.24 | ||
| P/tB | 59.1 | ||
| EV/EBITDA | 36.37 |
EPS(TTM)6.13
EY2%
EPS(NY)7.38
Fwd EY2.41%
FCF(TTM)6.08
FCFY1.99%
OCF(TTM)7.12
OCFY2.33%
SpS41.44
BVpS17.74
TBVpS5.18
PEG (NY)1.17
PEG (5Y)N/A
Graham Number49.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.29% | ||
| ROE | 42.86% | ||
| ROCE | 8.5% | ||
| ROIC | 7.55% | ||
| ROICexc | 8.87% | ||
| ROICexgc | 10.71% | ||
| OM | 17.6% | ||
| PM (TTM) | 18.34% | ||
| GM | 35.88% | ||
| FCFM | 14.67% |
ROA(3y)3.55%
ROA(5y)1.86%
ROE(3y)22.52%
ROE(5y)13.1%
ROIC(3y)3.2%
ROIC(5y)N/A
ROICexc(3y)3.81%
ROICexc(5y)N/A
ROICexgc(3y)4.52%
ROICexgc(5y)N/A
ROCE(3y)3.6%
ROCE(5y)N/A
ROICexgc growth 3Y385.39%
ROICexgc growth 5Y24.01%
ROICexc growth 3Y412.86%
ROICexc growth 5Y26.63%
OM growth 3Y396.9%
OM growth 5Y30.84%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.73%
GM growth 5Y6.44%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 3.23 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 91.58% | ||
| Cap/Sales | 2.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.45% | ||
| Profit Quality | 79.94% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 3.25 |
F-Score6
WACC9.66%
ROIC/WACC0.78
Cap/Depr(3y)67.38%
Cap/Depr(5y)59.46%
Cap/Sales(3y)3.4%
Cap/Sales(5y)2.98%
Profit Quality(3y)3112.18%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)45.95%
EPS 3Y28.22%
EPS 5Y-1.65%
EPS Q2Q%44.35%
EPS Next Y42.66%
EPS Next 2Y28.2%
EPS Next 3Y24.42%
EPS Next 5Y19.52%
Revenue 1Y (TTM)17.68%
Revenue growth 3Y-11.83%
Revenue growth 5Y-15.57%
Sales Q2Q%26.41%
Revenue Next Year19.98%
Revenue Next 2Y15.82%
Revenue Next 3Y13.76%
Revenue Next 5Y11.59%
EBIT growth 1Y63.06%
EBIT growth 3Y338.1%
EBIT growth 5Y10.46%
EBIT Next Year40.19%
EBIT Next 3Y20.83%
EBIT Next 5Y19.74%
FCF growth 1Y17.46%
FCF growth 3Y23.11%
FCF growth 5Y-10.02%
OCF growth 1Y15.36%
OCF growth 3Y12.23%
OCF growth 5Y-11.62%
GENERAL ELECTRIC / GE FAQ
Can you provide the ChartMill fundamental rating for GENERAL ELECTRIC?
ChartMill assigns a fundamental rating of 5 / 10 to GE.
What is the valuation status of GENERAL ELECTRIC (GE) stock?
ChartMill assigns a valuation rating of 4 / 10 to GENERAL ELECTRIC (GE). This can be considered as Fairly Valued.
What is the profitability of GE stock?
GENERAL ELECTRIC (GE) has a profitability rating of 7 / 10.
What is the financial health of GENERAL ELECTRIC (GE) stock?
The financial health rating of GENERAL ELECTRIC (GE) is 5 / 10.
Is the dividend of GENERAL ELECTRIC sustainable?
The dividend rating of GENERAL ELECTRIC (GE) is 5 / 10 and the dividend payout ratio is 17.08%.