The 10-second takeaway
For the quarter ended March 31 (Q1), General Electric beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped.
Margins dropped across the board.
General Electric logged revenue of $35.18 billion. The 10 analysts polled by S&P Capital IQ looked for net sales of $34.70 billion on the same basis. GAAP reported sales were 8.2% lower than the prior-year quarter's $38.33 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.34. The 14 earnings estimates compiled by S&P Capital IQ predicted $0.33 per share. GAAP EPS of $0.29 for Q1 were 6.5% lower than the prior-year quarter's $0.31 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 35.6%, 650 basis points worse than the prior-year quarter. Operating margin was 11.6%, 830 basis points worse than the prior-year quarter. Net margin was 8.6%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $36.89 billion. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $149.82 billion. The average EPS estimate is $1.55.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 15,436 members out of 16,478 rating the stock outperform, and 1,042 members rating it underperform. Among 3,025 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 2,877 give General Electric a green thumbs-up, and 148 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on General Electric is outperform, with an average price target of $21.94.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.