Business Magazine

General Electric Company - GE

Posted on the 26 December 2011 by Divstkforcomman @DivStkForComMan
General Electric Company, stock ticker GE, is a diversified technology and financial services corporation. GE's products and services range from aircraft engines, power generation, water processing, and household appliances to medical imaging, business and consumer financing and industrial products. As of January 28th, 2011 they held a 49 percent interest in a media entity that includes the NBC Universal businesses (click here to learn more about GE's NBC ownership). GE's business segments include energy infrastructure, technology infrastructure, NBC Universal, GE Capital and Home & Business Solutions. Effective January 1, 2011, GE reorganized technology infrastructure segment into three segments: Aviation, Health care and Transportation.
- GE traces its beginnings to Thomas A. Edison, who established Edison Electric Light Company in 1878. In 1892, a merger of Edison General Electric Company and Thomson-Houston Electric Company created General Electric Company.
- GE is the only company listed in the Dow Jones Industrial Index today that was also included in the original index in 1896.
- In 2010, GE ranked #1 in health care and #19 overall on Fast Company's list of the world's top 50 most innovative companies.
- In 2010, GE was named in Ethisphere's list of the world's most ethical companies.
- In 2010, GE was named in Business Week's list of the world's 25 most inventive companies.
- In 2010, GE ranked among Fortune magazine's listing of the Most Admired Companies in the World for its 5th consecutive year.
Recent acquisitions:
- On February 1, 2011, acquired Dresser, Inc.
- On February 3, 2011, acquired Wellstream PLC.
- In September 2011, launched a new entity, Research Circle Technology Inc. (RCT).
- In October 2011, the Company's GE Energy Financial Services unit bought a 58% interest in Lightfoot Capital Partners L.P.
I love GE because they are a legendary American company and have been around since my grandfather was a little boy. Yes, that doesn't mean they will be around forever but you would think the Great Depression and Recession would have terminated them by now! Their financials are consistent. GE's stock price was hit hard during the Great Recession and still has not gone back to their historic levels. GE currently pays a 17 cent dividend, which is a 3.73% dividend yield. You can't beat that with a bat!
I believe that if the global market is going into or already in recession (at any level) when it comes out GE will be a front runner. They will continue to pay a good dividend until then and financial side is coming out of the banking issues successfully. GE possesses a strong profile in many different industries. The corporation also has potential growth through its leading position in aspects of alternative energy. A streamlined and downsized GE Capital has vastly improved prospects; the market has especially not taken this into account.
Dividends were recently increased, and a dividend increase seems likely in another year or two. GE Capital is finally coming around and looking much more stable than in 2010 or 2011. 2012 looks outstanding for the GE! It is hard to imagine a scenario where the American economy turns around and GE does not. GE has a decent PE and as previously stated, a growing dividend! Their EPS is expected to double in the next couple years.
Investors are still punishing GE for the sins of the past, however their strong holdings and a strong balance sheet make this a deal at $18.23 (GE share price as of 12/26/11). Upcoming energy efficient releases will continue to drive the top line. I think GE is poised to make a 10 to 15 percent profit year over year for the Common Man investor. Currently with a 3.73% dividend GE is a good wait and see opportunity in the short term. Long term, you will win and reap the benefits of a great decision in 2011.
With room to grow the dividend around 8% a year, I could see GE either doubling or at least hitting $23.00 fair market value in 2012. Please visit GE's website, here, and also their Investor Relations page, here. Check out the videos below to learn more about this classic dividend payer. Don't be afraid to take a chance on a company Reinvest those dividends for maximum gains! I hope you have a great day!

You Might Also Like :

Back to Featured Articles on Logo Paperblog

These articles might interest you :

  • I Still Managed To Shop These In Mauritius!

    Still Managed Shop These Mauritius!

    Travelling to Mauritius? Thinking of what you should buy? Here is a list that SSU contributor Sakshi bought and she has some honest take on Mauritius markets.... Read more

    The 22 April 2018 by   Shoppingaholic
  • Food Review: Katz’s Delicatessen, New York City

    Katz’s katzenjammer sandwich Katz’s deli in the lower East side of New York comes recommended by most guidebooks and travel websites, and someone we know said... Read more

    The 22 April 2018 by   Emma
  • Healthy Lunch Salad!

    Healthy Lunch Salad!

    Yesterday, I invented this lovely healthy lunch or dinner. I even eat it like breakfast this morning! So good, So yummy! You can eat it just like this but I wil... Read more

    The 22 April 2018 by   Sophies Foodie
  • Skincare Empties #8

    Skincare Empties

    Hi All,According to the Instagram polls am posting an empties post first. I am so into powder cleansers that I ended up using two of them both are my favorites. Read more

    The 22 April 2018 by   Skincarevilla
  • The Most Important Mission Of The Modern Mormon Church

    Most Important Mission Modern Mormon Church

    Previously: A Plea Unto Every Latter-day Saint On the shelf directly behind me is a hefty Dictionary of Early Christian Beliefs, which I like to browse now and... Read more

    The 22 April 2018 by   Rockwaterman
  • 6 Ways To Be A Business Leader As Well As A Developer

    Ways Business Leader Well Developer

    Almost every entrepreneur starts their journey by developing a solution, based on their idea of a new technology or required service. These idea and developer... Read more

    The 22 April 2018 by   Martin Zwilling
  • Salone 2018 & Milan - Impressions

    Salone 2018 Milan Impressions

    A glimpse to the atmosphere and my impressions. Central Station Milan Beautiful details Along with the centuries old architectural beauties it is also the... Read more

    The 22 April 2018 by   Trendoffice