General Electric Company First Quarter Earnings Sneak Peek

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S&P 500 (NYSE:SPY) component General Electric Company (NYSE:GE) will unveil its latest earnings on Friday, April 20, 2012. General Electric 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 analyst estimate is for net income of 33 cents per share, a rise of 6.5% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved down from 35 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 33 cents during the last month. For the year, analysts are projecting profit of $1.55 per share, a rise of 20.2% from last year.

Past Earnings Performance: Last quarter, the company topped estimates by 0 cents, coming in at net income of 39 cents per share against a mean estimate of profit of 38 cents. The company fell in line with estimates in the third quarter of the last fiscal year.

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Wall St. Revenue Expectations: Analysts predict a decline of 9.9% in revenue from the year-earlier quarter to $34.66 billion.

Analyst Ratings: eight out of 11 analysts surveyed (72.7%) have a buy rating on General Electric Company. This falls short of the analyst rating of 10 competitors, which average 73.2% buy ratings.

A Look Back: In the fourth quarter of the last fiscal year, profit fell 17.8% to $3.73 billion (35 cents a share) from $4.54 billion (42 cents a share) the year earlier, but exceeded analyst expectations. Revenue fell 5.7% to $37.97 billion from $40.27 billion.

Key Stats:

The company is looking to get back on track with this earnings announcement after a profit drop last quarter snapped a positive string of results. Net income rose 76.5% in the first quarter of the last fiscal year, 21.1% in the second quarter of the last fiscal year and 56.9% in the third quarter of the last fiscal year before declining in the fourth quarter of the last fiscal year.

On the top line, the company is hoping to use this earnings announcement to snap a string of three-straight quarters of revenue declines. Revenue fell 4.9% in the second quarter of the last fiscal year and 1.5% in third quarter of the last fiscal year before falling again in the fourth quarter of the last fiscal year of the last fiscal year.

Stock Price Performance: Between March 16, 2012 and April 16, 2012, the stock price dropped $1.30 (-6.4%), from $20.20 to $18.90. The stock price saw one of its best stretches over the last year between March 6, 2012 and March 19, 2012, when shares rose for 10 straight days, increasing 9.7% (+$1.79) over that span. It saw one of its worst periods between March 30, 2012 and April 10, 2012 when shares fell for seven straight days, dropping 6.6% (-$1.33) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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