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General Electric Q2 Profit Beats, but Revenue Falls Short (GE)
Multinational manufacturing conglomerate General Electric Company ( GE ) on Friday posted a better-than-expected second quarter profit, but its revenue fell short of analysts' view, sending its shares lower in premarket trading.
The Fairfield, CT-based company reported a second quarter profit of $3.03 billion, or 30 cents per share, compared with $2.61 billion, or 27 cents per share, in the year-ago period.
Revenue fell 4.3% from last year, to $37.44 billion.
On average, Wall Street analysts expected a smaller profit of 27 cents per share, albeit on higher revenue of $38.37.
CEO Immelt noted in a statement that "GE's economic environment continues to improve." Investors weren't as optimistic on the stock, however - GE shares fell 19 cents, or -1.3%, in premarket trading Friday.
The Bottom Line
We recently removed shares of GE from our recommended list back on June 8, when the stock was trading at $15.41. The company has a 2.62% dividend yield, based on Friday's closing stock price of $15.25. The stock has technical support in the $13 price area. If the shares can firm up, we see overhead resistance around the $16-$17 price levels. We would remain on the sidelines for now.
General Electric Company ( GE ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.