GENERAL ELECTRIC (1GE.MI) Stock Fundamental Analysis
BIT:1GE - Euronext Milan - US3696041033 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to 1GE. 1GE was compared to 45 industry peers in the Aerospace & Defense industry. 1GE has an excellent profitability rating, but there are some minor concerns on its financial health. 1GE is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1GE was profitable.
1GE had a positive operating cash flow in the past year.
Of the past 5 years 1GE 4 years were profitable.
Each year in the past 5 years 1GE had a positive operating cash flow.
1.2 Ratios
1GE's Return On Assets of 5.64% is fine compared to the rest of the industry. 1GE outperforms 80.00% of its industry peers.
1GE has a Return On Equity of 36.34%. This is amongst the best in the industry. 1GE outperforms 95.56% of its industry peers.
1GE has a Return On Invested Capital of 6.47%. This is comparable to the rest of the industry: 1GE outperforms 48.89% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1GE is significantly below the industry average of 8.61%.
The 3 year average ROIC (3.20%) for 1GE is below the current ROIC(6.47%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.64% | ||
| ROE | 36.34% | ||
| ROIC | 6.47% |
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
1GE's Profit Margin of 17.63% is amongst the best of the industry. 1GE outperforms 95.56% of its industry peers.
1GE has a Operating Margin of 16.35%. This is amongst the best in the industry. 1GE outperforms 91.11% of its industry peers.
In the last couple of years the Operating Margin of 1GE has grown nicely.
1GE has a Gross Margin (35.83%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1GE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.35% | ||
| PM (TTM) | 17.63% | ||
| GM | 35.83% |
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
1GE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
1GE has less shares outstanding than it did 1 year ago.
1GE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1GE has a worse debt to assets ratio.
2.2 Solvency
1GE has an Altman-Z score of 3.02. This indicates that 1GE is financially healthy and has little risk of bankruptcy at the moment.
1GE has a better Altman-Z score (3.02) than 73.33% of its industry peers.
The Debt to FCF ratio of 1GE is 4.44, which is a neutral value as it means it would take 1GE, 4.44 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1GE (4.44) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.91 indicates that 1GE is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.91, 1GE is not doing good in the industry: 68.89% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 4.44 | ||
| Altman-Z | 3.02 |
ROIC/WACC0.65
WACC10.01%
2.3 Liquidity
1GE has a Current Ratio of 1.08. This is a normal value and indicates that 1GE is financially healthy and should not expect problems in meeting its short term obligations.
1GE has a Current ratio of 1.08. This is in the lower half of the industry: 1GE underperforms 64.44% of its industry peers.
A Quick Ratio of 0.77 indicates that 1GE may have some problems paying its short term obligations.
With a Quick ratio value of 0.77, 1GE perfoms like the industry average, outperforming 51.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
1GE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 54.03%, which is quite impressive.
The Earnings Per Share has been decreasing by -1.65% on average over the past years.
Looking at the last year, 1GE shows a quite strong growth in Revenue. The Revenue has grown by 8.81% in the last year.
Measured over the past years, 1GE shows a very negative growth in Revenue. The Revenue has been decreasing by -15.57% on average per year.
EPS 1Y (TTM)54.03%
EPS 3Y28.22%
EPS 5Y-1.65%
EPS Q2Q%81.71%
Revenue 1Y (TTM)8.81%
Revenue growth 3Y-11.83%
Revenue growth 5Y-15.57%
Sales Q2Q%-40.68%
3.2 Future
1GE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.90% yearly.
Based on estimates for the next years, 1GE will show a quite strong growth in Revenue. The Revenue will grow by 9.30% on average per year.
EPS Next Y27.6%
EPS Next 2Y22%
EPS Next 3Y20.12%
EPS Next 5Y15.9%
Revenue Next Year14.17%
Revenue Next 2Y12.39%
Revenue Next 3Y11.29%
Revenue Next 5Y9.3%
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.
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
With a Price/Earnings ratio of 50.00, 1GE can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as 1GE.
Compared to an average S&P500 Price/Earnings ratio of 27.45, 1GE is valued quite expensively.
The Price/Forward Earnings ratio is 38.61, which means the current valuation is very expensive for 1GE.
1GE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. 1GE is more expensive than 64.44% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.90, 1GE is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50 | ||
| Fwd PE | 38.61 |
4.2 Price Multiples
1GE's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1GE is more expensive than 77.78% of the companies in the same industry.
1GE's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 1GE is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 62.41 | ||
| EV/EBITDA | 37.63 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of 1GE may justify a higher PE ratio.
1GE's earnings are expected to grow with 20.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.81
PEG (5Y)N/A
EPS Next 2Y22%
EPS Next 3Y20.12%
5. Dividend
5.1 Amount
1GE has a yearly dividend return of 0.61%, which is pretty low.
1GE's Dividend Yield is comparable with the industry average which is at 1.20.
With a Dividend Yield of 0.61, 1GE pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.61% |
5.2 History
The dividend of 1GE is nicely growing with an annual growth rate of 9.39%!
Dividend Growth(5Y)9.39%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
17.50% of the earnings are spent on dividend by 1GE. This is a low number and sustainable payout ratio.
1GE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP17.5%
EPS Next 2Y22%
EPS Next 3Y20.12%
BIT:1GE (6/27/2025, 7:00:00 PM)
219.5
+2 (+0.92%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners79.98%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap234.07B
Analysts82.76
Price Target216.95 (-1.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.61% |
Yearly Dividend0.81
Dividend Growth(5Y)9.39%
DP17.5%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.35%
Min EPS beat(2)13.68%
Max EPS beat(2)23.03%
EPS beat(4)3
Avg EPS beat(4)13.3%
Min EPS beat(4)-1.74%
Max EPS beat(4)23.03%
EPS beat(8)7
Avg EPS beat(8)21.19%
EPS beat(12)11
Avg EPS beat(12)35.48%
EPS beat(16)15
Avg EPS beat(16)32.75%
Revenue beat(2)1
Avg Revenue beat(2)-1.05%
Min Revenue beat(2)-2.98%
Max Revenue beat(2)0.87%
Revenue beat(4)1
Avg Revenue beat(4)-2.88%
Min Revenue beat(4)-5.66%
Max Revenue beat(4)0.87%
Revenue beat(8)4
Avg Revenue beat(8)1.15%
Revenue beat(12)4
Avg Revenue beat(12)-19.58%
Revenue beat(16)4
Avg Revenue beat(16)-22.45%
PT rev (1m)2.14%
PT rev (3m)-3.22%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)6.48%
EPS NY rev (1m)0.48%
EPS NY rev (3m)2.23%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)1.39%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50 | ||
| Fwd PE | 38.61 | ||
| P/S | 6.93 | ||
| P/FCF | 62.41 | ||
| P/OCF | 52.63 | ||
| P/B | 14.29 | ||
| P/tB | 43.83 | ||
| EV/EBITDA | 37.63 |
EPS(TTM)4.39
EY2%
EPS(NY)5.69
Fwd EY2.59%
FCF(TTM)3.52
FCFY1.6%
OCF(TTM)4.17
OCFY1.9%
SpS31.65
BVpS15.36
TBVpS5.01
PEG (NY)1.81
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.64% | ||
| ROE | 36.34% | ||
| ROCE | 7.28% | ||
| ROIC | 6.47% | ||
| ROICexc | 7.62% | ||
| ROICexgc | 9.19% | ||
| OM | 16.35% | ||
| PM (TTM) | 17.63% | ||
| GM | 35.83% | ||
| FCFM | 11.11% |
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
ROICexcg growth 3Y385.39%
ROICexcg 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 Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 4.44 | ||
| Debt/EBITDA | 2.35 | ||
| Cap/Depr | 85.31% | ||
| Cap/Sales | 2.06% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.18% | ||
| Profit Quality | 63.03% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 3.02 |
F-Score6
WACC10.01%
ROIC/WACC0.65
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)54.03%
EPS 3Y28.22%
EPS 5Y-1.65%
EPS Q2Q%81.71%
EPS Next Y27.6%
EPS Next 2Y22%
EPS Next 3Y20.12%
EPS Next 5Y15.9%
Revenue 1Y (TTM)8.81%
Revenue growth 3Y-11.83%
Revenue growth 5Y-15.57%
Sales Q2Q%-40.68%
Revenue Next Year14.17%
Revenue Next 2Y12.39%
Revenue Next 3Y11.29%
Revenue Next 5Y9.3%
EBIT growth 1Y61.62%
EBIT growth 3Y338.1%
EBIT growth 5Y10.46%
EBIT Next Year36.34%
EBIT Next 3Y19.37%
EBIT Next 5Y13.76%
FCF growth 1Y-8.05%
FCF growth 3Y23.11%
FCF growth 5Y-10.02%
OCF growth 1Y-15.88%
OCF growth 3Y12.23%
OCF growth 5Y-11.62%