General Electric Revenue vs. Current Valuation

GE
 Stock
  

USD 85.47  2.67  3.03%   

For General Electric profitability analysis, we use financial ratios and fundamental drivers that measure the ability of General Electric to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well General Electric utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between General Electric's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of General Electric over time as well as its relative position and ranking within its peers. Please check Risk vs Return Analysis.
  
General Electric Sales per Share is projected to drop slightly based on the last few years of reporting. The past year's Sales per Share was at 67.57. General Electric Preferred Dividends Income Statement Impact is projected to increase significantly based on the last few years of reporting. The past year's Preferred Dividends Income Statement Impact was at 474 Million.

General Electric Revenues

110.13 Billion

Is General Electric's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of General Electric. If investors know General will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about General Electric listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
3.95
Market Capitalization
96.3 B
Quarterly Revenue Growth YOY
0.028
Return On Assets
0.0115
Return On Equity
(0.14) 
The market value of General Electric is measured differently than its book value, which is the value of General that is recorded on the company's balance sheet. Investors also form their own opinion of General Electric's value that differs from its market value or its book value, called intrinsic value, which is General Electric's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because General Electric's market value can be influenced by many factors that don't directly affect General Electric's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between General Electric's value and its price as these two are different measures arrived at by different means. Investors typically determine General Electric value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, General Electric's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

General Electric Current Valuation vs. Revenue Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining General Electric's current stock value. Our valuation model uses many indicators to compare General Electric value to that of its competitors to determine the firm's financial worth.
General Electric is rated as one of the top companies in revenue category among related companies. It is rated as one of the top companies in current valuation category among related companies reporting about  1.48  of Current Valuation per Revenue. General Electric Revenues is projected to decrease significantly based on the last few years of reporting. The past year's Revenues was at 74.2 Billion. Comparative valuation analysis is a catch-all model that can be used if you cannot value General Electric by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for General Electric's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the General Electric's earnings, one of the primary drivers of an investment's value.

General Revenue vs. Competition

General Electric is rated as one of the top companies in revenue category among related companies. Market size based on revenue of Specialty Industrial Machinery industry is currently estimated at about 194.61 Billion. General Electric totals roughly 75.07 Billion in revenue claiming about 39% of equities listed under Specialty Industrial Machinery industry.

General Current Valuation vs. Revenue

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
General Electric 
Revenue 
 = 
Money Received 
Discounts and Returns 
75.07 B
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
General Electric 
Enterprise Value 
 = 
Market Cap + Debt 
-  
Cash 
111.4 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.

General Current Valuation vs Competition

General Electric is rated as one of the top companies in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Specialty Industrial Machinery industry is currently estimated at about 464.57 Billion. General Electric totals roughly 111.4 Billion in current valuation claiming about 24% of equities listed under Specialty Industrial Machinery industry.

General Electric Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in General Electric, profitability is also one of the essential criteria for including it into their portfolios because, without profit, General Electric will eventually generate negative long term returns. The profitability progress is the general direction of General Electric's change in net profit over the period of time. It can combine multiple indicators of General Electric, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.

General Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on General Electric. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of General Electric position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the General Electric's important profitability drivers and their relationship over time.

Use General Electric in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if General Electric position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in General Electric will appreciate offsetting losses from the drop in the long position's value.

General Electric Pair Trading

General Electric Pair Trading Analysis

The ability to find closely correlated positions to General Electric could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace General Electric when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back General Electric - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling General Electric to buy it.
The correlation of General Electric is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as General Electric moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if General Electric moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for General Electric can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your General Electric position

In addition to having General Electric in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Utilities Thematic Idea Now

Utilities
Utilities Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Utilities theme has 27 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Utilities Theme or any other thematic opportunities.
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Please check Risk vs Return Analysis. Note that the General Electric information on this page should be used as a complementary analysis to other General Electric's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.

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When running General Electric price analysis, check to measure General Electric's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy General Electric is operating at the current time. Most of General Electric's value examination focuses on studying past and present price action to predict the probability of General Electric's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move General Electric's price. Additionally, you may evaluate how the addition of General Electric to your portfolios can decrease your overall portfolio volatility.
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To fully project General Electric's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of General Electric at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include General Electric's income statement, its balance sheet, and the statement of cash flows.
Potential General Electric investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although General Electric investors may work on each financial statement separately, they are all related. The changes in General Electric's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on General Electric's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.