GE Aerospace (GNE.PA) Fundamental Analysis & Valuation

EPA:GNE • US3696043013

158 EUR
-1 (-0.63%)
Last: Jul 24, 2024, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership

This GNE.PA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

4

Taking everything into account, GNE scores 4 out of 10 in our fundamental rating. GNE was compared to 49 industry peers in the Aerospace & Defense industry. GNE has an average financial health and profitability rating. GNE has a expensive valuation and it also scores bad on growth.


Dividend Valuation Growth Profitability Health

5

1. GNE.PA Profitability Analysis

1.1 Basic Checks

  • GNE had positive earnings in the past year.
  • GNE had a positive operating cash flow in the past year.
  • In multiple years GNE reported negative net income over the last 5 years.
  • In the past 5 years GNE always reported a positive cash flow from operatings.
GNE.PA Yearly Net Income VS EBIT VS OCF VS FCFGNE.PA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 -10B -20B

1.2 Ratios

  • The Return On Assets of GNE (3.78%) is comparable to the rest of the industry.
  • GNE's Return On Equity of 25.03% is amongst the best of the industry. GNE outperforms 86.84% of its industry peers.
  • GNE has a Return On Invested Capital of 4.02%. This is in the lower half of the industry: GNE underperforms 73.68% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for GNE is significantly below the industry average of 9.91%.
  • The last Return On Invested Capital (4.02%) for GNE is above the 3 year average (1.62%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 3.78%
ROE 25.03%
ROIC 4.02%
ROA(3y)0.62%
ROA(5y)0.36%
ROE(3y)5.52%
ROE(5y)2.32%
ROIC(3y)1.62%
ROIC(5y)N/A
GNE.PA Yearly ROA, ROE, ROICGNE.PA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 0 20 -20 -40 -60

1.3 Margins

  • GNE has a Profit Margin of 8.49%. This is in the better half of the industry: GNE outperforms 76.32% of its industry peers.
  • GNE's Profit Margin has improved in the last couple of years.
  • The Operating Margin of GNE (8.57%) is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of GNE has declined.
  • With a Gross Margin value of 27.76%, GNE perfoms like the industry average, outperforming 44.74% of the companies in the same industry.
  • In the last couple of years the Gross Margin of GNE has remained more or less at the same level.
Industry RankSector Rank
OM 8.57%
PM (TTM) 8.49%
GM 27.76%
OM growth 3YN/A
OM growth 5Y-7.03%
PM growth 3Y26.48%
PM growth 5YN/A
GM growth 3Y4%
GM growth 5Y1.27%
GNE.PA Yearly Profit, Operating, Gross MarginsGNE.PA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 0 10 -10 20 -20

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. GNE.PA Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GNE is destroying value.
  • GNE has about the same amout of shares outstanding than it did 1 year ago.
  • The debt/assets ratio for GNE has been reduced compared to a year ago.
GNE.PA Yearly Shares OutstandingGNE.PA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B
GNE.PA Yearly Total Debt VS Total AssetsGNE.PA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 100B 200B 300B

2.2 Solvency

  • An Altman-Z score of 2.57 indicates that GNE is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 2.57, GNE is in the better half of the industry, outperforming 68.42% of the companies in the same industry.
  • The Debt to FCF ratio of GNE is 3.62, which is a good value as it means it would take GNE, 3.62 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 3.62, GNE is in the better half of the industry, outperforming 71.05% of the companies in the same industry.
  • GNE has a Debt/Equity ratio of 0.97. This is a neutral value indicating GNE is somewhat dependend on debt financing.
  • GNE's Debt to Equity ratio of 0.97 is on the low side compared to the rest of the industry. GNE is outperformed by 65.79% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.97
Debt/FCF 3.62
Altman-Z 2.57
ROIC/WACC0.5
WACC8.11%
GNE.PA Yearly LT Debt VS Equity VS FCFGNE.PA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 20B 40B 60B 80B 100B

2.3 Liquidity

  • A Current Ratio of 1.14 indicates that GNE should not have too much problems paying its short term obligations.
  • The Current ratio of GNE (1.14) is worse than 63.16% of its industry peers.
  • GNE has a Quick Ratio of 1.14. This is a bad value and indicates that GNE is not financially healthy enough and could expect problems in meeting its short term obligations.
  • GNE has a Quick ratio of 0.85. This is comparable to the rest of the industry: GNE outperforms 57.89% of its industry peers.
Industry RankSector Rank
Current Ratio 1.14
Quick Ratio 0.85
GNE.PA Yearly Current Assets VS Current LiabilitesGNE.PA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 20B 40B 60B 80B 100B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. GNE.PA Growth Analysis

3.1 Past

  • GNE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.63%, which is quite impressive.
  • The earnings per share for GNE have been decreasing by -11.91% on average. This is quite bad
  • Looking at the last year, GNE shows a very negative growth in Revenue. The Revenue has decreased by -18.72% in the last year.
  • GNE shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.87% yearly.
EPS 1Y (TTM)31.63%
EPS 3Y106.06%
EPS 5Y-11.91%
EPS Q2Q%76.47%
Revenue 1Y (TTM)-18.72%
Revenue growth 3Y-3.59%
Revenue growth 5Y-6.87%
Sales Q2Q%-50.76%

3.2 Future

  • The Earnings Per Share is expected to grow by 22.91% on average over the next years. This is a very strong growth
  • GNE is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.44% yearly.
EPS Next Y49.74%
EPS Next 2Y36.38%
EPS Next 3Y30.47%
EPS Next 5Y22.91%
Revenue Next Year-43.97%
Revenue Next 2Y-20.62%
Revenue Next 3Y-11.38%
Revenue Next 5Y-6.44%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
GNE.PA Yearly Revenue VS EstimatesGNE.PA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 20B 40B 60B 80B 100B
GNE.PA Yearly EPS VS EstimatesGNE.PA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2 4 6 8 10

More info and screens

Find the best growth stocksShow best growing peers

2

4. GNE.PA Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 44.01, the valuation of GNE can be described as expensive.
  • Based on the Price/Earnings ratio, GNE is valued a bit more expensive than 76.32% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.74. GNE is valued rather expensively when compared to this.
  • The Price/Forward Earnings ratio is 32.73, which means the current valuation is very expensive for GNE.
  • GNE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. GNE is more expensive than 76.32% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of GNE to the average of the S&P500 Index (24.82), we can say GNE is valued slightly more expensively.
Industry RankSector Rank
PE 44.01
Fwd PE 32.73
GNE.PA Price Earnings VS Forward Price EarningsGNE.PA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, GNE is valued a bit more expensive than the industry average as 78.95% of the companies are valued more cheaply.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of GNE is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 34.31
EV/EBITDA 29.61
GNE.PA Per share dataGNE.PA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • GNE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • GNE's earnings are expected to grow with 30.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y36.38%
EPS Next 3Y30.47%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

2

5. GNE.PA Dividend Analysis

5.1 Amount

  • GNE has a yearly dividend return of 0.66%, which is pretty low.
  • GNE's Dividend Yield is slightly below the industry average, which is at 0.77.
  • Compared to an average S&P500 Dividend Yield of 1.82, GNE's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.66%

5.2 History

  • The dividend of GNE decreases each year by -33.36%.
Dividend Growth(5Y)-33.36%
Div Incr Years0
Div Non Decr Years4
GNE.PA Yearly Dividends per shareGNE.PA Yearly Dividends per shareYearly Dividends per share 2018 2019 2020 2021 2022 2023 2024 0.5 1 1.5

5.3 Sustainability

  • 13.60% of the earnings are spent on dividend by GNE. This is a low number and sustainable payout ratio.
DP13.6%
EPS Next 2Y36.38%
EPS Next 3Y30.47%
GNE.PA Yearly Income VS Free CF VS DividendGNE.PA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 0 -10B -20B
GNE.PA Dividend Payout.GNE.PA Dividend Payout, showing the Payout Ratio.GNE.PA Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

GNE.PA Fundamentals: All Metrics, Ratios and Statistics

GE Aerospace

EPA:GNE (7/24/2024, 7:00:00 PM)

158

-1 (-0.63%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)07-23
Earnings (Next)10-22
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap172.95B
Revenue(TTM)54.82B
Net Income(TTM)4.66B
Analysts84.62
Price Target171.03 (8.25%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.66%
Yearly Dividend0.54
Dividend Growth(5Y)-33.36%
DP13.6%
Div Incr Years0
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.85%
Min EPS beat(2)18.24%
Max EPS beat(2)21.46%
EPS beat(4)4
Avg EPS beat(4)22.98%
Min EPS beat(4)10.12%
Max EPS beat(4)42.1%
EPS beat(8)8
Avg EPS beat(8)36.13%
EPS beat(12)12
Avg EPS beat(12)37.45%
EPS beat(16)15
Avg EPS beat(16)51.43%
Revenue beat(2)0
Avg Revenue beat(2)-4.18%
Min Revenue beat(2)-5.66%
Max Revenue beat(2)-2.71%
Revenue beat(4)2
Avg Revenue beat(4)1.76%
Min Revenue beat(4)-5.66%
Max Revenue beat(4)8.27%
Revenue beat(8)4
Avg Revenue beat(8)-0.78%
Revenue beat(12)4
Avg Revenue beat(12)-5.83%
Revenue beat(16)4
Avg Revenue beat(16)-5.51%
PT rev (1m)-3.24%
PT rev (3m)6.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.66%
EPS NY rev (1m)0%
EPS NY rev (3m)3.08%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.2%
Valuation
Industry RankSector Rank
PE 44.01
Fwd PE 32.73
P/S 3.4
P/FCF 34.31
P/OCF 27.16
P/B 10.03
P/tB 34.91
EV/EBITDA 29.61
EPS(TTM)3.59
EY2.27%
EPS(NY)4.83
Fwd EY3.06%
FCF(TTM)4.6
FCFY2.91%
OCF(TTM)5.82
OCFY3.68%
SpS46.42
BVpS15.75
TBVpS4.53
PEG (NY)0.88
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 3.78%
ROE 25.03%
ROCE 5.19%
ROIC 4.02%
ROICexc 4.85%
ROICexgc 5.89%
OM 8.57%
PM (TTM) 8.49%
GM 27.76%
FCFM 9.92%
ROA(3y)0.62%
ROA(5y)0.36%
ROE(3y)5.52%
ROE(5y)2.32%
ROIC(3y)1.62%
ROIC(5y)N/A
ROICexc(3y)1.96%
ROICexc(5y)N/A
ROICexgc(3y)2.44%
ROICexgc(5y)N/A
ROCE(3y)2.1%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y-7.73%
ROICexc growth 3YN/A
ROICexc growth 5Y-4.81%
OM growth 3YN/A
OM growth 5Y-7.03%
PM growth 3Y26.48%
PM growth 5YN/A
GM growth 3Y4%
GM growth 5Y1.27%
F-Score6
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 0.97
Debt/FCF 3.62
Debt/EBITDA 2.84
Cap/Depr 87.58%
Cap/Sales 2.61%
Interest Coverage 250
Cash Conversion 108.5%
Profit Quality 116.82%
Current Ratio 1.14
Quick Ratio 0.85
Altman-Z 2.57
F-Score6
WACC8.11%
ROIC/WACC0.5
Cap/Depr(3y)54.61%
Cap/Depr(5y)56.86%
Cap/Sales(3y)2.04%
Cap/Sales(5y)2.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.63%
EPS 3Y106.06%
EPS 5Y-11.91%
EPS Q2Q%76.47%
EPS Next Y49.74%
EPS Next 2Y36.38%
EPS Next 3Y30.47%
EPS Next 5Y22.91%
Revenue 1Y (TTM)-18.72%
Revenue growth 3Y-3.59%
Revenue growth 5Y-6.87%
Sales Q2Q%-50.76%
Revenue Next Year-43.97%
Revenue Next 2Y-20.62%
Revenue Next 3Y-11.38%
Revenue Next 5Y-6.44%
EBIT growth 1Y95.63%
EBIT growth 3YN/A
EBIT growth 5Y-13.42%
EBIT Next Year40.12%
EBIT Next 3Y22.24%
EBIT Next 5Y16.48%
FCF growth 1Y62.47%
FCF growth 3Y24.97%
FCF growth 5YN/A
OCF growth 1Y44.06%
OCF growth 3Y13.24%
OCF growth 5Y0.79%

GE Aerospace / GNE.PA FAQ

What is the fundamental rating for GNE stock?

ChartMill assigns a fundamental rating of 4 / 10 to GNE.PA.


What is the valuation status of GE Aerospace (GNE.PA) stock?

ChartMill assigns a valuation rating of 2 / 10 to GE Aerospace (GNE.PA). This can be considered as Overvalued.


What is the profitability of GNE stock?

GE Aerospace (GNE.PA) has a profitability rating of 5 / 10.


What is the expected EPS growth for GE Aerospace (GNE.PA) stock?

The Earnings per Share (EPS) of GE Aerospace (GNE.PA) is expected to grow by 49.74% in the next year.


Is the dividend of GE Aerospace sustainable?

The dividend rating of GE Aerospace (GNE.PA) is 2 / 10 and the dividend payout ratio is 13.6%.