Oppenheimer Stays Bullish on General Electric; Sees Margin Expansion in 2013 (GE)

Oppenheimer Stays Bullish on General Electric; Sees Margin Expansion in 2013 (GE)

RSS

Multinational conglomerate General Electric Company (GE) late Wednesday received some continued bullish support from analysts at Oppenheimer & Co.

The firm reiterated its “Outperform” rating on GE as well as its $24 price target, which suggests a 14% upside to the stock’s Wednesday closing price of $21.01.

An Oppenheimer analyst commented, “Margins, services execution, and global growth were highlighted as the core execution levers for GE for 2013 and beyond. Complexity was cited as fertile ground for margin improvement, given that evolution of GE’s industrial portfolio over the past decade witnessed mix shift from about two-thirds US to about one-third US and roughly half of revenues now drawing from business GE was not in ten years ago. Services (>80% industrial OP) targets 5%+ revenue growth annually (~5% in 2013) driven by installed base (IB) growth compounded by services value/IB. GE noted 4Q12 slowing across Healthcare and HBS, and some energy pushouts, but expects orders up slightly (exwind) and for backlog to grow ~$2B during 4Q.”

General Electric shares posted small losses in premarket trading Thursday. The stock has gained about 17% year-to-date.

The Bottom Line
Shares of General Electric (GE) have a 3.62% dividend yield, based on last night’s closing stock price of $21.01. The stock has technical support in the $19-$20 price area. If the shares can firm up, we see overhead resistance around the $22-$23 price levels.

General Electric Company (GE) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Free Updates

Join over 100,000 investors who get the latest news from Dividend.com.

Best Dividend Stocks

Looking for stocks that are poised for growth and pay solid dividends? Visit our list of the:

Best Dividend Stocks

Partner Center

Best CD Rates

Sitting on some extra cash and looking for the most current and profitable CD Rates?

Get The Best CD Rates

14 Day Free Trial

Earn more from your dividend portfolio within the next 14 days.

Sign Up Today