General Electric Company Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component General Electric Company (NYSE:GE) will unveil its latest earnings on Friday, July 22, 2011. General Electric Co. is an advanced technology, services and finance company that provides services ranging from aircraft engines to business and consumer financing.

General Electric Company Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 32 cents per share, a rise of 6.7% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 33 cents. Between one and three months ago, the average estimate moved down, but it has been unchanged at 32 cents during the last month. For the year, analysts are projecting profit of $1.37 per share, a rise of 19.1% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 3 cents, reporting net income of 31 cents per share against a mean estimate of profit of 28 cents per share.

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Wall St. Revenue Expectations: On average, analysts predict $34.72 billion in revenue this quarter, a decline of 7.3% from the year ago quarter. Analysts are forecasting total revenue of $145.24 billion for the year, a decline of 3.3% from last year’s revenue of $150.21 billion.

Analyst Ratings: nine out of 13 analysts surveyed (69.2%) have a buy rating on General Electric Company.. This is below the mean analyst rating of 10 competitors, which average 75% buy ratings.

Key Stats:

A year-over-year revenue increase in the first quarter snaps a streak of three consecutive quarters of revenue declines. Revenue rose 5% in the first quarter and fell 2.8% in the fourth quarter of the last fiscal year, 5.1% in the third quarter of the last fiscal year and 4.2% in the second quarter of the last fiscal year.

The company has now seen net income rise in two straight quarters. In the first quarter, net income rose 76.5% from the year earlier. In the fourth quarter of the last fiscal year, the figure rose 50.5%.

Competitors to Watch: Siemens AG (NYSE:SI), 3M Company (NYSE:MMM), Hitachi, Ltd. (NYSE:HIT), United Technologies Corp. (NYSE:UTX), Koninklijke Philips Electronics NV (NYSE:PHG), Honeywell Intl. Inc. (NYSE:HON), Danaher Corporation (NYSE:DHR), Textron Inc. (NYSE:TXT), OSI Systems, Inc. (NASDAQ:OSIS), and Bio-Rad Laboratories, Inc. (NYSE:BIO).

Stock Price Performance: During April 20, 2011 to July 18, 2011, the stock price had fallen $1.94 (-9.6%) from $20.23 to $18.29. The stock price saw one of its best stretches over the last year between August 31, 2010 and September 13, 2010 when shares rose for nine-straight days, rising 12.2% (+$1.71) over that span. It saw one of its worst periods between November 5, 2010 and November 17, 2010 when shares fell for nine-straight days, falling 5.5% (-90 cents) over that span. Shares are up 27 cents (+1.5%) year to date.

(Source: Xignite Financials)

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