Earnings reports. What better way to wind down the week than by burying your nose in numbers? The Call Levels team enjoys it, and we thought to fill you in this Feature Friday.
GE’s Earnings Keyed to ‘Industrial Internet’ Efforts (Released 21/07/2016)
As General Electric (NYSE: GE) delivers its second-quarter earnings this Friday, investors should keep a close eye on related financials and how GE’s so-called Industrial Internet has affected GE’s fundamentals. GE describes the industrial internet as an effort combining Machine-to-Machine (M2M) communication, industrial Big Data analytics, technology, cyber security and automation,which drives new levels of efficiency and productivity. With an innovative vision that takes GE back to its more industrial roots, GE’s future looks bright. We can best see how that initial step has been received with a look into its earnings reports later.
GE Shares Shine Too Brightly (Released 21/07/2016)
According to the Wall Street Journal, GE’s stock has jumped 9% since late last month when the company’s designation as a “systemically important” financial institution was dropped. As a result, GE’s operational activities won’t be as heavily regulated by the Federal Reserve. Analysts polled by FactSet estimate GE earned 46 cents a share in the second quarter. Revenue is expected to have increased by 8% to $31.8 billion. In its most recent quarterly report, GE’s industrial operating profit fell 7% from a year earlier to $3.3 billion. While GE chief Jeffrey Immelt has said that industrial orders should pick up in the second half of the year, his statement came before Brexit shook financial markets and disrupted the European economy. We advise readers to set several Call Levels pegged to GE in the coming days.
General Electric Company: GE Stock Is Primed for a Blowout (Released 21/7/2016)
GE is expected to report its best earnings and sales growth in five years before the market open, and that should help GM stock build on levels not seen since before the financial crisis. GE is looking at its strongest earnings and sales report in years, and GE stock has plenty of momentum. Accordingly, General Electric stock is up 5% for the year-to-date and about 10% since late June. GE investors are buying the story of GE becoming a dedicated industrial firm with a high-tech twist. If it can deliver another earnings rise and some more upbeat commentary on emerging markets and organic growth, shares should continue to outperform in the months ahead.