GE shares rise on analyst buy rating
Shares of General Electric popped by 1.3 percent after the market closed on Wednesday on a new analyst recommendation.
New UBS analyst Markus Mittermaier assumes coverage of the stock with a Buy rating and a $14 price target vs. the firm's previous Neutral rating and $11.50 target, according to Barron's.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GE | GE AEROSPACE | 161.26 | +2.07 | +1.30% |
The analyst points to debt repayment and better free cash flow as two main reasons for his bullish view.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Mittermaier points out that both areas are things new CEO Larry Culp has focused on.Mittermaier says GE shares are at a "positive inflection point" into 2020 given the company's successful de-levering, "strong" estimated earnings growth in 2020 and 2021.
He also sees a tripling of free cash flow to $2.3B next year, calling the company a successful transformation.
GE's average Sell Side Rating is Bullish, while both its Seeking Alpha Authors' Rating and Quant Rating are Neutral.
CLICK HERE TO READ MORE ON FOX BUSINESS
GE stock is up about 51 percent year to date and 17 percent over the past three months, but down about 80 percent from all-time highs set back in 2000.