GE Aerospace
Find Ratings ReportsGENERAL ELECTRIC CO's gross profit margin for the fourth quarter of its fiscal year 2023 is essentially unchanged when compared to the same period a year ago. Even though sales increased, the net income has decreased. GENERAL ELECTRIC CO has weak liquidity. Currently, the Quick Ratio is 0.78 which shows a lack of ability to cover short-term cash needs. The liquidity decreased from the same period a year ago, despite already having weak liquidity to begin with. This would indicate deteriorating cash flow.
During the same period, stockholders' equity ("net worth") has decreased by 24.71% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 19424.0 | 16828.0 |
EBITDA ($mil) | 1977.0 | 1652.0 |
EBIT ($mil) | 1443.0 | 1072.0 |
Net Income ($mil) | 1592.0 | 2197.0 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 22673.0 | 24871.0 |
Total Assets ($mil) | 163045.0 | 187788.0 |
Total Debt ($mil) | 22937.0 | 34743.0 |
Equity ($mil) | 27378.0 | 36366.0 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 24.94 | 25.34 |
EBITDA Margin | 10.17 | 9.81 |
Operating Margin | 7.43 | 6.37 |
Sales Turnover | 0.42 | 0.31 |
Return on Assets | 5.81 | 0.18 |
Return on Equity | 32.04 | -3.02 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.18 | 1.16 |
Debt/Capital | 0.46 | 0.49 |
Interest Expense | 296.0 | 347.0 |
Interest Coverage | 4.88 | 3.09 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 1088.42 | 1089.11 |
Div / share | 0.08 | 0.08 |
EPS | 1.44 | 1.53 |
Book value / share | 25.15 | 33.39 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 5639293.0 | 4775287.0 |
BUY. The current P/E ratio indicates a significant discount compared to an average of 6250.09 for the Conglomerates subsector and a discount compared to the S&P 500 average of 27.95. To use another comparison, its price-to-book ratio of 6.63 indicates a significant premium versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 1031.10. The price-to-sales ratio is below the S&P 500 average and is well below the subsector average, indicating a discount. Upon assessment of these and other key valuation criteria, GENERAL ELECTRIC CO proves to trade at a discount to investment alternatives.
Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
GE 20.87 | Peers 6250.09 | GE 35.04 | Peers 11833.11 | |||||||||||||||||||||
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. GE is trading at a significant discount to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. GE is trading at a significant discount to its peers. |
|||||||||||||||||||||||
Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
GE 27.88 | Peers 12.21 | GE NM | Peers 0.11 | |||||||||||||||||||||
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. GE is trading at a significant premium to its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. GE's negative PEG ratio makes this valuation measure meaningless. |
|||||||||||||||||||||||
Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
GE 6.63 | Peers 1031.10 | GE 868.26 | Peers 534.55 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. GE is trading at a significant discount to its peers. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. GE is expected to have an earnings growth rate that significantly exceeds its peers. |
|||||||||||||||||||||||
Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
GE 2.67 | Peers 1326.42 | GE 16.96 | Peers 76.71 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. GE is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. GE significantly trails its peers on the basis of sales growth. |
|||||||||||||||||||||||