NEW YORK ( TheStreet)-- General Electric (GE) saw three analysts raise their target prices on the company Friday, a day after the company raised sales targets for its industrial unit during a meeting with investors.
Barclays analyst Scott Davis and Nomura's Shannon O'Callaghan both upped their target prices to $25, according to data compiled by Bloomberg. O'Callaghan, whose previous target was $22, maintained a buy rating on the stock. Davis, whose previous target was $24, maintained his overweight rating. Also raising his target price was Markus Friebel of Independent Research Gmbh--to $23.5 from $23. Friebel maintained a hold recommendation, however. GE shares, which gained 2.85% Thursday as the meeting went on, were up another 0.57% to $22.86 shortly after Friday's opening bell.
O'Callaghan argues industrial margin improvement and better-than-peer organic growth, a smaller financial unit, large backlogs, buybacks, dividend growth and acquisitions of $1-3 billion, as well as higher multiples for financial stocks generally, suggest GE should trade at a higher price-to-earnings multiple than it does currently.
JPMorgan analyst Steve Tusa, while leaving his target price unchanged Friday, called Thursday's meeting "incrementally better than high expectations, reaffirming a differentiated story that shows 10%+ industrial earnings growth, best in class organic growth, and margin expansion."The reports from Friebel and Davis could not immediately be obtained. -- Written by Dan Freed in New York. Follow this writer on Twitter.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV