📊 GE Key Takeaways
Is General Electric Co (GE) a Good Investment?
GE demonstrates strong revenue growth (+18.5% YoY) and exceptional profitability metrics with 19.0% net margin and 46.6% ROE, indicating efficient capital deployment. However, deteriorating liquidity (1.04x current ratio, 0.74x quick ratio) and concerning interest coverage (0.8x) reveal financial stress that undermines the quality of earnings despite solid operational performance.
General Electric shows strong fundamental momentum with double-digit revenue growth, very strong operating profitability, and robust free cash flow generation. EPS growth materially outpaced net income growth, suggesting improved capital structure efficiency, but flat net income, weak interest coverage, and a thin liquidity buffer keep the profile from being top-tier.
Why Buy General Electric Co Stock? GE Key Strengths
- Strong revenue growth at 18.5% YoY with $45.9B top-line expansion
- Exceptional net margin of 19.0% and operating margin of 21.8% indicating pricing power and operational efficiency
- Solid free cash flow generation of $7.3B with 15.8% FCF margin demonstrating cash conversion quality
- High ROE of 46.6% indicating efficient shareholder capital deployment
- Substantial cash position of $12.4B providing operational flexibility
- Revenue growth of 18.5% YoY indicates strong underlying business demand and execution
- Operating margin of 21.8% and free cash flow margin of 15.8% reflect high earnings quality and cash conversion
- Free cash flow of $7.26B and cash balance of $12.39B provide meaningful financial flexibility
GE Stock Risks: General Electric Co Investment Risks
- Critical interest coverage ratio of 0.8x signals inability to service debt from operating income, indicating refinancing or restructuring risk
- Deteriorating liquidity with current ratio of 1.04x and quick ratio of 0.74x below prudent thresholds
- High leverage with debt-to-equity of 1.10x and total liabilities of $111.3B against only $18.7B equity, limiting financial flexibility
- Net income flatlined YoY (+0.0%) despite 18.5% revenue growth, suggesting margin compression or non-operating headwinds
- Elevated long-term debt of $20.5B relative to equity base creates balance sheet vulnerability
- Interest coverage of 0.8x is a major concern and suggests limited cushion against financing pressure
- Current ratio of 1.04x and quick ratio of 0.74x indicate tight short-term liquidity
- Net income was flat despite strong revenue growth, which may imply margin mix pressure or non-operating offsets
Key Metrics to Watch
- Interest coverage ratio trajectory - any deterioration below 0.8x signals acute distress
- Free cash flow sustainability - must maintain >$7B annually to service debt
- Debt-to-equity ratio - any increase above 1.10x indicates financial deterioration
- Current ratio movement - recovery toward 1.5x+ needed to restore liquidity confidence
- Operating margin maintenance - verify 21.8% level is sustainable
- Interest coverage improvement
- Net income growth relative to revenue growth
General Electric Co (GE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
General Electric Co presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
GE Profit Margin, ROE & Profitability Analysis
GE vs Technology Sector: How General Electric Co Compares
How General Electric Co compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is General Electric Co Stock Overvalued? GE Valuation Analysis 2026
Based on fundamental analysis, General Electric Co has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
General Electric Co Balance Sheet: GE Debt, Cash & Liquidity
GE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: General Electric Co's revenue has declined by 91% over the 5-year period, indicating business contraction. The most recent EPS of $8.36 reflects profitable operations.
GE Revenue Growth, EPS Growth & YoY Performance
GE Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $9.8B | $1.9B | $1.70 |
| Q2 2025 | $9.1B | $1.3B | $1.15 |
| Q1 2025 | $9.0B | $1.5B | $1.40 |
| Q3 2024 | $9.3B | $352.0M | $0.24 |
| Q2 2024 | $8.8B | $33.0M | $-0.02 |
| Q1 2024 | $14.5B | $1.5B | $1.39 |
| Q3 2023 | $14.5B | $161.0M | $0.08 |
| Q2 2023 | $14.1B | $35.0M | $-0.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
General Electric Co Dividends, Buybacks & Capital Allocation
GE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for General Electric Co (CIK: 0000040545)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GE
What is the AI rating for GE?
General Electric Co (GE) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 70% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GE's key strengths?
Claude: Strong revenue growth at 18.5% YoY with $45.9B top-line expansion. Exceptional net margin of 19.0% and operating margin of 21.8% indicating pricing power and operational efficiency. ChatGPT: Revenue growth of 18.5% YoY indicates strong underlying business demand and execution. Operating margin of 21.8% and free cash flow margin of 15.8% reflect high earnings quality and cash conversion.
What are the risks of investing in GE?
Claude: Critical interest coverage ratio of 0.8x signals inability to service debt from operating income, indicating refinancing or restructuring risk. Deteriorating liquidity with current ratio of 1.04x and quick ratio of 0.74x below prudent thresholds. ChatGPT: Interest coverage of 0.8x is a major concern and suggests limited cushion against financing pressure. Current ratio of 1.04x and quick ratio of 0.74x indicate tight short-term liquidity.
What is GE's revenue and growth?
General Electric Co reported revenue of $45.9B.
Does GE pay dividends?
General Electric Co does not currently pay dividends.
Where can I find GE SEC filings?
Official SEC filings for General Electric Co (CIK: 0000040545) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GE's EPS?
General Electric Co has a diluted EPS of $8.14.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GE a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, General Electric Co has a BUY rating with 70% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is GE stock overvalued or undervalued?
Valuation metrics for GE: ROE of 46.6% (sector avg: 22%), net margin of 19.0% (sector avg: 18%). Higher ROE suggests strong returns relative to peers.
Should I buy GE stock in 2026?
Our dual AI analysis gives General Electric Co a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is GE's free cash flow?
General Electric Co's operating cash flow is $8.5B, with capital expenditures of $1.3B. FCF margin is 15.8%.
How does GE compare to other Technology stocks?
Vs Technology sector averages: Net margin 19.0% (avg: 18%), ROE 46.6% (avg: 22%), current ratio 1.04 (avg: 2.5).
Why is GE's return on equity (ROE) so high?
General Electric Co has a return on equity of 46.6%, significantly above the Technology sector average of 22%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 19.0% net margin.