GENERAL ELECTRIC (GE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GE - US3696041033 - Common Stock
317.73 USD
+9.7 (+3.15%)
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 is not valued too expensively and it also shows a decent 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.
GE had positive earnings in 4 of the past 5 years.
GE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GE has a better Return On Assets (6.29%) than 76.06% 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.
With a decent Return On Invested Capital value of 7.55%, GE is doing good in the industry, outperforming 64.79% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GE is significantly below the industry average of 8.60%.
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
The Profit Margin of GE (18.34%) is better than 98.59% of its industry peers.
GE has a better Operating Margin (17.60%) than 87.32% of its industry peers.
GE's Operating Margin has improved in the last couple of years.
GE's Gross Margin of 35.88% is fine compared to the rest of the industry. GE outperforms 76.06% of its industry peers.
GE's Gross Margin has improved in the last couple of years.
| 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
Compared to 5 years ago, GE has less shares outstanding
Compared to 1 year ago, GE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.28 indicates that GE is not in any danger for bankruptcy at the moment.
GE has a Altman-Z score (3.28) which is in line with its industry peers.
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.
The Debt to FCF ratio of GE (3.23) is better than 83.10% of its industry peers.
GE has a Debt/Equity ratio of 1.00. This is a neutral value indicating GE is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.00, GE is doing worse than 76.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 3.28 |
ROIC/WACC0.77
WACC9.75%
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.
GE has a worse Current ratio (1.08) than 88.73% of its industry peers.
A Quick Ratio of 0.76 indicates that GE may have some problems paying its short term obligations.
With a Quick ratio value of 0.76, GE is not doing good in the industry: 81.69% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
GE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.95%, which is quite impressive.
Measured over the past years, GE shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.65% on average per year.
Looking at the last year, GE shows a quite strong growth in Revenue. The Revenue has grown by 17.68% in the last year.
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
GE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.52% yearly.
The Revenue is expected to grow by 11.59% on average over the next years. This is quite good.
EPS Next Y43.27%
EPS Next 2Y28.6%
EPS Next 3Y24.52%
EPS Next 5Y19.52%
Revenue Next Year20.02%
Revenue Next 2Y15.86%
Revenue Next 3Y13.81%
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
The Price/Earnings ratio is 51.83, which means the current valuation is very expensive for GE.
GE's Price/Earnings ratio is in line with the industry average.
GE's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.51.
A Price/Forward Earnings ratio of 42.79 indicates a quite expensive valuation of GE.
GE's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of GE to the average of the S&P500 Index (23.13), we can say GE is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.83 | ||
| Fwd PE | 42.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GE is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, GE is valued a bit cheaper than the industry average as 64.79% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52 | ||
| EV/EBITDA | 37.03 |
4.3 Compensation for Growth
GE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of GE may justify a higher PE ratio.
A more expensive valuation may be justified as GE's earnings are expected to grow with 24.52% in the coming years.
PEG (NY)1.2
PEG (5Y)N/A
EPS Next 2Y28.6%
EPS Next 3Y24.52%
5. Dividend
5.1 Amount
GE has a yearly dividend return of 0.45%, which is pretty low.
Compared to an average industry Dividend Yield of 0.39, GE pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.45, GE pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
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
17.08% of the earnings are spent on dividend by GE. This is a low number and sustainable payout ratio.
GE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP17.08%
EPS Next 2Y28.6%
EPS Next 3Y24.52%
NYSE:GE (1/2/2026, 3:11:07 PM)
317.73
+9.7 (+3.15%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners80.12%
Inst Owner Change2.17%
Ins Owners0.15%
Ins Owner Change0.31%
Market Cap335.14B
Revenue(TTM)43.95B
Net Income(TTM)8.06B
Analysts81.48
Price Target350.41 (10.29%)
Short Float %1.37%
Short Ratio3.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
Yearly Dividend0.93
Dividend Growth(5Y)9.39%
DP17.08%
Div Incr Years2
Div Non Decr Years4
Ex-DateN/A
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)0.4%
PT rev (3m)14.58%
EPS NQ rev (1m)0.66%
EPS NQ rev (3m)8.05%
EPS NY rev (1m)0.43%
EPS NY rev (3m)5.78%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)0.8%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)1.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.83 | ||
| Fwd PE | 42.79 | ||
| P/S | 7.63 | ||
| P/FCF | 52 | ||
| P/OCF | 44.37 | ||
| P/B | 17.82 | ||
| P/tB | 61.07 | ||
| EV/EBITDA | 37.03 |
EPS(TTM)6.13
EY1.93%
EPS(NY)7.43
Fwd EY2.34%
FCF(TTM)6.11
FCFY1.92%
OCF(TTM)7.16
OCFY2.25%
SpS41.66
BVpS17.83
TBVpS5.2
PEG (NY)1.2
PEG (5Y)N/A
Graham Number49.6
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 | 3.28 |
F-Score6
WACC9.75%
ROIC/WACC0.77
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 Y43.27%
EPS Next 2Y28.6%
EPS Next 3Y24.52%
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 Year20.02%
Revenue Next 2Y15.86%
Revenue Next 3Y13.81%
Revenue Next 5Y11.59%
EBIT growth 1Y63.06%
EBIT growth 3Y338.1%
EBIT growth 5Y10.46%
EBIT Next Year46.21%
EBIT Next 3Y22.96%
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.
Can you provide the valuation status for GENERAL ELECTRIC?
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.
How financially healthy is GENERAL ELECTRIC?
The financial health rating of GENERAL ELECTRIC (GE) is 5 / 10.
What is the expected EPS growth for GENERAL ELECTRIC (GE) stock?
The Earnings per Share (EPS) of GENERAL ELECTRIC (GE) is expected to grow by 43.27% in the next year.