By
Isaac Pino, CPA and Austin Smith
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More Articles
December 10, 2012
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In this video, Motley Fool analysts Austin Smith and Isaac Pino discuss some major opportunities ahead for General Electric.
GE is well-positioned in the energy industry, a segment of its business that it has grown significantly over the years. GE's energy segment alone has grown to the size of Intel in market cap. Ten years ago, it was a small segment at GE.
The company has positioned itself successfully in the natural gas space, particularly with its manufacture of natural gas turbines. It looks to be positioned better in that area than rival Siemans.
With 3 billion people expected to move into the middle class across the globe over the next 10-20 years, GE is aligning perfectly to capitalize on growing worldwide energy demand. GE is the total package: Wide exposure to growing industries, a great dividend, and a fair multiple.
GE's management took advantage of the recent financial crisis to make these strategic bets in energy. If you're a GE investor, you need to understand how these bets could drive this company to become the world's infrastructure leader. At the same time, you need to be aware of the threats to GE's portfolio. To help, we're offering comprehensive coverage for investors in a premium report on General Electric, in which our industrials analyst breaks down GE's multiple businesses. You'll find reasons to buy or sell GE, and you'll receive continuing updates as major events unfold during the year. To get started, click here now.