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General Electric Company (GEC.L)

LSE - LSE Delayed price. Currency in USD
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105.000.00 (0.00%)
As of 07:07PM BST. Market open.
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  • C
    Charles
    When it comes to investing,we want our money to grow with the highest rates of return,and the lowest risk possible.While there are no shortcuts to getting rich,but there are smart ways to go about it...
  • g
    gene
    GE new ONSHORE wind platform announced
    GE today announced the SIERRA ONSHORE wind platform.

    General Electric said they have received 1 Gigawatt of orders for this new
    and much improved wind turbine.

    It will replace the Cypress wind turbine that GE introduced in 2017.

    What is so different?

    The Sierra turbine designed especially for the US ad the ONSHORE wind industry
    - which GE had led in sales for several years.

    The new Sierra turbine is a 3-3.4MW turbine when the standard has in the past been the 2MW turbine

    The rotor blades are 140 meters (about 460 feet) size.

    The height is now up to 500 feet which is higher than the cypress.

    The blade is the GE 2 piece blade, and offers improved logistics and more energy.

    They had two prototypes operating - one in Lubbock, Texas and one in Kamataka, India.

    Production will take place in the GE Pensacola, Florida plant.

    Their General Electric LM WindPower blade plants in the USA will produce the blades
    along with the USA TPI plants- making transportation easier.

    Gene
  • T
    Tony
    Not able to understand the reaction for yesterday and today. Everyone knew that the interest rates are going up by 50 basis points. Why the markets went up 3% after the FED announcement and then came down 5% the next day? Makes absolutely no sense. It looks like as if we got hit by something unexpected. One thing is sure the market will keep swinging wildly before it sets a direction.
  • A
    Anonymous
    I worked 25 years for GE in their Healthcare, Aviation and Defense business. GE's R&D resources are worth over $25 a share - it's the future. R&D doesn't get enough visibility. and recognition.
  • g
    gene
    GE just spent $50 million investing in home ultrasound

    GE just committed $50 million to buy rights and market a very new and unusual product
    made by Pulsenmore, an Israeli company

    Pulsenmore technology allows patients to self-scan their body by connecting their own smartphone
    to a novel ultrasound cradle.
    Scans are automatically sent for remote clinical assessment by healthcare professionals.

    The results can be discussed with an online clinician.

    One obvious use is in pregnancy when a woman can scan and get early information.
    It gives a prenatal ultrasound and other diagnostic results like the fetal heartbeat.
    It eliminates unnecessary clinic visits.

    Numerous other areas in medicine benefiting by a home handheld ultrasound are being explored.

    For example, in heart pressure it should be applicable for early diagnostics.

    GE is planning to get FDA approval for the software and procedure.
    GE also has a large reach into medical clinics and hospitals - where a doctor can suggest getting
    the device for use by their patient - much like a prescription.

    It is GE's first move into the home healthcare $667 billion market and is a good entry point.

    Although the joining with Pulsenmore promoting the home ultrasound is not yet a merger,
    General Electric has added a new component to its future growth.

    This just plain new procedure is an important step forward into new, different health markets.

    Although nothing is said about future rights to purchase Pulsenmore- it is a most likely possibility.
    GE spent $50 million and it wasn't just for a simple ultrasound sales program.
    It may have a first right of refusal or a stages of performance agreement tied to the deal.

    Culp appears to be doing exactly the same thing he did at Danaher -
    buying into exciting new technology.

    Gene
  • g
    gene
    General Electric Gave An Insight to next 7 months

    Carolyn Dybeck Happy, CFO, spoke at the Goldman Sacks Industrial Conference Thursday.

    She said the company is well-positioned to deal with the supply chain and inflation situation.
    She sees business improving in the second half of 2021 (starting in starting in 7 weeks from now).

    GE is sourcing new parts, seeking alternative suppliers, and showing better productivity.
    GE is also raising prices on many parts of their business.
    The company has invoked escalation clauses in its service contracts.

    THE SECOND HALF
    She says the first half will generate 45% revenues and the second half will have 55% of sales.
    That would indicate sales exceeding $21 billion in each of Q3 and Q4.

    Dybeck says profits will be 65% of total in the second half of the year.
    That would mean 2/3rds of the profit results are expected in the second half.

    She said earning would be 75% to 80% which will be earned in the second half.
    That means 4/5th of the GE results are ahead in the second half - starting July 1st.
    Profits are projected to be $2.80 to $3.50 a share ($3 billion to $3.8 billion).

    Free Cash Flow remains projected at somewhere between $5.5 billion and $6.5 billion.
    She did not indicate where it might land.
    The FCF will depend on how strongly the customer base is buying in the second half.

    She says all the Free Cash Flow will be generated in the second half of the year.

    Dybeck-Happe said 2023 Free Cash Flow is expected to hit $7 billion.
    If they reach the $6.5 billion FCF this year, GE will expect a higher than $7 billion in 2023.

    The China lockdown is still a wild card but she say so far it is not significant.
    overall it was very optimistic and in the near future.

    Steve Tusa, per usual, reiterated earlier this week a $55 price causing the stock todownward swoon.
    That is how he sells his investment services - negative on General Electric.

    But Friday the market was very encouraged by the Dybeck-Happe verification things are looking up.

    The stock market was upward Friday and GE showed well..
    And only 5 million shares trade Friday and that indicated a healthy wait-and-see attitude on investors.

    It is a giant tug-of-war between the believers and the doubters in owning and holding GE Stock.

    Gene
  • g
    gene
    whosumw
    You asked about the Chinese wind turbine manufacturers.
    The only three of interest are

    GoldWind - 1st place (biggest)
    Envision - 2nd place
    Ming Young - 3rd place

    Most of their wind turbine work is for the Chinese government and they do a good job in that market.

    But they sorely lack any real international work.
    GoldWind does have a foothold in Australia, but almost nothing in Europe.

    GoldWind just finished a pilot project in Taranto Italy hoping to start a new chapter, but so far
    the three Chinese firms only do 3% of the world wind power and they "hope" to reach 5% by 2025.

    Seimens president just said that the leading firm GoldWind, while a fine company, could not meet the
    expectations of their western customer base.

    In floating OFFSHORE technology, GoldWind is sorely behind with a very small 12MW OFFSHORE
    turbine that is not very successful so far.

    GoldWind only has yearly sales of $8 billion. with a $500 million profit.
    But remember they are working mainly for the socialist Chinese government
    who guarantees them a fair return and a lot of work to keep them alive.

    As the biggest Chinese wind company, they still lack manufacturing outside China.
    So transportation of finished products would be a huge problem.

    I doubt if the Chinese firms offer much to worry about for General Electric.

    But you can follow the GoldWind stock on the Yahoo Board which is very cheap.

    Now there is the actual wind customer to consider who is spending a lot of borrowed money.
    Banks need to finance and buyers need to feel ok with their choice of manufacturers.
    When it comes to wind power - reliability is far more important to them than "cheap'"

    But - In time the Chinese might maybe catch up.
    The world will need so much wind power from electricity that there will be enough for all to share.

    The above and a lot more are why you seldom hear much concern about the Chinese taking over the
    wind turbine electricity generating industry.

    It is just not in the cards in the near future and a even bigger question mark in 5 years.

    Gene
  • w
    whosunw
    Sorry, Yahoo has set AI filter to delete perfectly good business discussion posts. I'm not going to bother wasting time to figure out what their AI's doing to get around that. I invite serious GE investors to move over to SA for more intelligent discussions.

    tks for the exchangers with those that seriously answered any of my posts. who out.
  • g
    gene
    A Hidden Asset

    In an inflation period all debt is not the same.

    Some debt is variable and the lender can raise you.
    Think car loans, variable mortgages, credit cards.

    Some debt is fixed. Think mortgages.

    Long term low interest debt is actually a hidden asset.
    Your house will be worth a lot more in 20 years than now.
    So you have a hidden asset - the appreciation of the house.

    It works the same way with low interest - long term bonds.

    What so do I mean in relationship to General Electric's debt?

    General Electric debt is extremely long term and at very low fixed interest.

    Their bonds are
    current bonds for 2022 are $927 million
    1-5 years GE only has $3.8 billion in bonds.
    5-10 years GE only has 6.2 billion in bonds.
    10- outward to 2055 GE has the majority of their bonds at $21.2 billion.
    Total 32.1 long term bonds


    As anyone can see, these bonds at such a low yield and out so far in time as to make them an asset.
    These bonds can usually be called in at a steep discount to the bond holder on payoff.
    The bondholder wants cash to buy much higher yielding bonds elsewhere and will take a discount.

    So Ge has the enviable position of either paying them off at a discount
    or keeping the long term and paying no higher interest that 3.75%
    or lower - depending on the bond.

    That is a very strong an enviable position to be in.

    Gene
  • A
    Anonymous
    Wednesday: Dow Down, S&P Down, Nasdaq Down. These three indices are in free fall. GE Up.
  • A
    Anonymous
    Apple and Microsoft dropped again. Both companies YTD are down over 20%. GE was up yesterday and YTD down 22%. Not a great story for investors however the downturn is primarily based on market sentiment and not company fundamentals.
  • A
    Anonymous
    @jj - Sorry I'm too old school. I will never get into crypto currency!
  • A
    Anonymous
    "Housing" is not a human right. Housing is something you have to work for. Same with student loans that should be paid for.
  • g
    gene
    Louis
    There is a lot of good to look at in General Electric over just the past 2 years

    Everyone knows GE stock presently is near bottom.
    Any intelligent investor knows GE is not alone..
    A lot of stocks are stressed and at much lower pricing.
    GE may or may not be worse than others - but they are not alone.

    For those with short memories just 24 months ago the market was moving at a radical zig-zag -
    as much as $1,500 dollars up and down daily on the Dow Jones index.
    History always repeats so this should not be anything new.

    For those with short memories, GE stock was at around $5.8-$7 in Aug 2000 and seldom got much higher.

    For those with short memories the market periodically swoons downward.
    If you come back 6-12 months later it is all kumbatya - warm fuzzy memories and
    the stocks are much higher.

    An for the amnesia crowd (short memories) - just 24 months ago the GE debt was at an incredible
    chocking $122 billion owed.
    GE debt is now at $35 billion - $31 billion in long term fixed bonds maturing out to the year 2055
    and just $4 billion in short term bonds and all fixed interest.
    All bonds are no higher than $3.7% interest.

    GE at the end of March reported $12.8 billion cash, $10.8 in securities,
    $16 billion in receivables and $16.5 billion in inventories.

    GE at the end of March had $15 billion in property, $10.8 free equity in Baker and Aercap stock.

    Tell me which CEO in ANY COMPANY can shed $87 billion debt in 2 years.

    For those with short memories last year GE was chocking on GE CAPITAL and FACTORING
    debt and all that has disappeared and they are no longer relevant.

    For those with short memories please remember GE led the US Wind Renewables
    both in 2019 and 2022 in sales.

    They also pioneered OFFSHORE wind and landed Dogger Bank 1,2 &3 contracts to electrify Britain.
    And in December they replace Vestas with being awarded 62 Haliade 13W wind turbines for the
    Vinyards project in Massachussettes, and also landed projects in New York and New Jersey.

    Too many are forgetting (short memories) - GE cashed in their BIOPOL and GECAS divisions
    and got amazingly high amounts of money in cash for them with little loss.
    At the same time GE has made 4 strategic acquisitions and more will foow.

    An lastly (because the list is really lot longer than this) GE has started a pilot
    nuclear deal with Terrapower, Gates and Buffet (in Wyoming), gotten rid of their losing
    EDF French nuclear plant at Belmont, made it through a worldwide covid pandemic,
    a blistering inflation with labor and materials shortage, faced a worldwide airplane
    slowdown and recovered, is working through a Russian-Ukraine war,
    and in many ways has not only survived - but bettered their position.

    Sure GE stock is down.
    Sure a lot of GE believers are now doubter.
    The stock is trading in a close down range.
    How many are meme traders, shorters, or just plain computer trading is unclear.

    But if you are an investor and not a stock "flipper" you immediately can see the GE improvement.

    GE under Culp is in the best shape it has been since pre Jack Welch.
    It is a bit smaller, has lower debt, much more focused product mix, an energized employee base
    half the size of 2 years ago, and in many ways is exactly what I would look for if the world
    heads into tough economic times.

    Having low long term debt at low fixed interest is actually a huge benefit.

    Any reasonable investor knows the Wind RENEWABLE sector will get better because this planet cannot keep going the way it has,

    I know this Board is filled with nay-sayers who shout absurd things about Culp, GE,
    potential bankruptcy,
    and lot of pure fantasies.
    I also know i am a target for abuse and ridicule and truth deniers.
    That comes with telling truths - not lies.

    The reality is, however, that GE has never been in a better position to weather this storm.

    As they come out the other side, they will be an awesome company.
    It takes time to build a house and it certainly takes a lot of time and effort to rebuild a company.

    and

    I am tired of Freddie telling us "well the stock is lower than it was when Culp took over".

    So what? Medicine takes time to cure the patient.
    Building new car takes tie.
    Getting job raise in pay takes time.
    Driving to the grocery store takes time.

    So it get old and extremely abrasive to hear all these Board kids screaming and
    shouting in their playpen.
    They add no new facts or thoughts.

    How about they just leave and go into some other room where they can wail as much as they want.

    Gene
  • c
    carlo
    THE FOLLOWING QUOTE COMES FROM AN ARTICLE RIGHT HERE ON YAHOO FINANCE IN WHICH GE SOLAR AND WIND WAS LISTED AS THE #1 SOLAR AND WIND BUSINESS. ALL YOU HAVE TO DO IS READ THE FIRST SENTENCE TO UNDERSTAND THAT THE ANALYST IS TELLING YOU.

    HIS COMPANY SOLD GE AFTER THEY HAD HELD IT LONG LIKE GENE CONSTANTLY ADVOCATES THAT READERS DO. WHEN THERE IS NO BEEF IN THE LONG TERM, COMPANIES CUT THEIR LOSSES AND SELL.

    “During the quarter, we sold our positions in General Electric Co. General Electric is a company we followed for a long time. In the past, we removed GE from the MVP list due to management’s poor capital allocation decisions which resulted in value instability. Larry Culp, the former CEO of Danaher, became CEO of General Electric in 2018. The company implemented a vast restructuring program to simplify the industrial side of its business, sold off non-core assets, paid down debt with the proceeds, and drastically shrunk GE Capital. These restructuring activities allowed its world-class jet engine and healthcare businesses to shine through, and improved value stability. As a result, we added the company back to the MVP list. While the pandemic negatively impacted General Electric’s aviation business in the short run, it also gave us the opportunity to buy General Electric in the second quarter of 2020 with a substantial margin of safety. GE is a good example of a competitively entrenched, yet slower growing MVP business. As its stock price rose rapidly over the last year, its value growth did not keep up, and the price to value gap closed quickly. As our margin of safety diminished, we sold our position in GE and allocated to more discounted companies.”
  • g
    gene
    On Friday GE fled an 8-k

    An 8k is required to be filed to notify shareholders
    when an unscheduled event takes place.

    GE stock dropped 1/6th in value in 4 days last week - Tuesday thru Friday.
    It is obvious this is alarming to GE management and necessitated a forward statement.

    In the 8k filing GE said:

    1) first quarter market reaction was "rough".
    2) GE had called key investors asking questions and their answers
    showed a strong need to further amplify results.

    So in the 8k GE reaffirmed publicly:

    AVIATION
    3) GE powers 2/3rds of all worldwide commercial airplane departures.
    4) GE is on the "cusp" of SIGNIFICANT AVIATION MARKET RECOVERY.
    ORDERS First quarter were up 32%
    SERVICE First quarter were up 36%
    There is a "steep ramp" (upward) in shop visits.

    HEALTHCARE
    Demand is strong
    The strong demand is both in their public and private markets. (example: hospitals and clinics)

    POWER

    Continues to improve.
    ORDERS First quarter were up 19%

    RENEWABLES
    ORDERS First quarter SERVICE orders were up 5%
    Near-term factors impacted wind customers buying decisions, particularly in the U.S.
    Long-term market demand is growing as world adds 1,000 gigawatts of wind power in next decade.

    FORWARD VIEW

    GE always has a poor First Quarter, better 2nd Quarter, and the last 2 Qarters are always way more
    profitable with much stronger results.

    OBSERVATIONS BY MYSELF

    A public 8-k filing just 4 days after earnings is totally unusual.
    Hopefully GE understood they did not convey their numbers clearly last Tuesday.

    It is obvious to me that GE management was shaken by the 1/6th drop in stock prices over just 4 days.

    Stock prices plummeted on 50 million shares traded and the price dropped from
    $11.25 ($92) to $9.50 ($75) in just 4 days.

    The Q1 results showed a profit (beat) of 24 cents and decent sales (up 1% but could have
    reached up 7%) due to inventory shortages.

    I am sure all margin buyers were severely hurt by the severe stock price drops.
    The drop had to also trigger a lot of computer trading not expected.

    Confidence in General Electric had to take a hit because of this extreme free-fall.

    Gene
  • g
    gene
    The newest wind technology

    In May 2021 General Electric partnered with Glosten Engineering to
    design a tension-leg platform for future wind turbines.

    The project is named PELASTAR and the firms initially spent $4 million designing
    a floating platform to allow GE wind turbines to be placed anywhere OFFSHORE
    in the world.

    It involves deep-water sea legs like in a deep water drilling project - allowing
    wind turbine providers to deploy in much more turbulent sea conditions like
    drilling oil in the north sea.

    Once successful, it will add 7,000 Twh of wind energy per year worldwide.
    To give an idea of the strength of this - the US CONSUMES 4,000 Twh a year.

    The program is advanced and breakthrough science.

    The research nd development is being supported by the Dept of Energy as part
    of their ATLANTIS program.

    The result will be a 35% lighter floating assembly with much more advanced controls.
    The intended result is to dramatically lower the cost of new wind OFFSHORE turbines.

    The savings of new installations is expected to reduce the cost by 9%.

    In January 2022 the United Kingdom added $13.5 million to the promising program.
    By now the research team included 6 mote partners.

    In 2023 (about 16 months) the first 2MW floating wind turbine installation will be built.
    The location is at Kincadine off the Aberdeen coast of Scotland.

    Once the details are overcome - this is the future of wind and General Electric is on the
    cutting edge of this technology.

    The Chinese 3 wind turbine manufacturers, Vestas, and Siemens are not remotely close
    to developing advanced technology.

    GE is rapidly closing in on becoming the sole source a new generation of
    worldwide wind power generation.

    Gene
  • C
    Chuck and Judy
    Culp pumps the stock to $12 presplit, gets a giant bonus. Now the stock is $9 presplit and we r all holding the bag. Culp has his mansion, yacht, etc.