Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, industrial behemoth General Electric (NYSE: GE ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at GE's business and see what CAPS investors are saying about the stock right now.
GE facts
| Headquarters (founded) |
Fairfield, Conn. (1892) |
| Market Cap |
$167.1 billion |
| Industry |
Industrial conglomerates |
| Trailing-12-Month Revenue |
$147.62 billion |
| Management |
Chairman/CEO Jeffrey Immelt
Vice Chairman/CFO Keith Sherin |
| Return on Equity (average, past 3 years) |
10.8% |
| Cash/Debt |
$91.05 billion / $471.97 billion |
| Dividend Yield |
3.9% |
| Competitors |
Honeywell International (NYSE: HON )
Siemens (NYSE: SI )
United Technologies (NYSE: UTX ) |
Source: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 94% of the 16,220 members who have rated GE believe the stock will outperform the S&P 500 going forward. These bulls include minorgod and All-Star JaysRage, who is ranked in the top 10% of our community.
Late last month, minorgod listed several of GE's positives:
GE has been beat down by the overall market. They have a market cap more than twice that of Bank of America, are more diversified, pay a small dividend and are near a long-term low. They are well diversified into every aspect of the economy and their large financial service interests will improve along with the rest of the banking sector.
Currently, GE even sports a particularly paltry price-to-cash flow of 4.8. That represents a clear discount to fellow industrial conglomerates Honeywell (11.5), Siemens (8.3), and United Tech (11.2).
CAPS All-Star JaysRage elaborates on the bargain opportunity:
Alternative energy has been horrible across the board. With that being a driving factor for their energy sector under-achieving, I feel pretty good about where GE is positioned. GE is in everything, but they are particularly well-positioned in Energy and Health Care Equipment. GE Financials continue to be the boat-anchor, but that business is healing quickly and contributed positively to the bottom line. There is a lot to like about GE at this point in time.
What do you think about GE, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
Interested in another easy way to track GE? Add it to your watchlist.
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