GE Aerospace (NYSE:GE) Stock Price Down 3.6% – Should You Sell?

GE Aerospace (NYSE:GE) fell 3.6% during mid-day trading on Thursday. The stock traded as low as $329.60 and last traded at $330.5570. Approximately 4,377,664 shares traded hands during trading, a decline of 15% from the average session volume of 5,131,213 shares. The stock had previously closed at $342.75.

Latest GE Aerospace News

Investors following GE have been watching these news items:

• Positive Sentiment: A State Street industrial-sector ETF added GE to its portfolio on Nov. 9, offering a modest indication of institutional fund demand; the article did not disclose the amount allocated specifically to GE. State Street ETF article
• Positive Sentiment: Coverage also emphasizes GE’s installed engine base and aftermarket business, which can generate revenue beyond sales of new aircraft and may benefit as aerospace production ramps up. The Motley Fool article
• Neutral Sentiment: Doncasters acquired a 50% stake in Montana Precision Products, becoming a 50/50 partner with Unison Industries, a GE Aerospace company. MPP supplies precision components for GE engine platforms; the new ownership could affect supplier coordination, but no direct financial effect or change to supply arrangements was reported. Yahoo Finance article

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on the stock. UBS Group restated a “buy” rating and issued a $380.00 price objective (up from $377.00) on shares of GE Aerospace in a research report on Wednesday, October 21st. Wells Fargo & Company decreased their price target on shares of GE Aerospace from $390.00 to $380.00 and set an “overweight” rating on the stock in a research note on Wednesday, September 30th. Royal Bank Of Canada set a $376.00 price target on shares of GE Aerospace in a report on Friday, October 23rd. JPMorgan Chase & Co. dropped their price objective on shares of GE Aerospace from $400.00 to $375.00 and set an “overweight” rating for the company in a research report on Wednesday, October 21st. Finally, Morgan Stanley restated an “overweight” rating and issued a $375.00 price objective (down from $400.00) on shares of GE Aerospace in a research report on Wednesday, October 21st. Sixteen research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $373.45.

GE Aerospace Stock Performance

The stock has a 50-day moving average of $314.82 and a 200 day moving average of $323.67. The company has a debt-to-equity ratio of 0.96, a current ratio of 0.98 and a quick ratio of 0.68. The stock has a market capitalization of $341.58 billion, a price-to-earnings ratio of 38.13, a price-to-earnings-growth ratio of 2.30 and a beta of 1.43.

GE Aerospace (NYSE:GE) last released its earnings results on Tuesday, October 20th. The company reported $2.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.01 by $0.24. The company had revenue of $13.29 billion for the quarter, compared to the consensus estimate of $12.88 billion. GE Aerospace had a net margin of 17.31% and a return on equity of 44.43%. The company’s revenue was up 24.7% compared to the same quarter last year. During the same period in the prior year, the company posted $1.66 EPS. On average, analysts expect that GE Aerospace will post 8.16 EPS for the current year.

GE Aerospace Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, October 26th. Shareholders of record on Monday, October 5th were issued a dividend of $0.47 per share. This represents a $1.88 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Monday, October 5th. GE Aerospace’s payout ratio is currently 21.68%.

Insiders Place Their Bets

In related news, VP Robert Giglietti sold 14,796 shares of the business’s stock in a transaction that occurred on Wednesday, November 4th. The shares were sold at an average price of $332.54, for a total transaction of $4,920,261.84. Following the completion of the transaction, the vice president owned 20,201 shares in the company, valued at approximately $6,717,640.54. The trade was a 42.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.19% of the stock is owned by insiders.

Institutional Investors Weigh In On GE Aerospace

Hedge funds have recently bought and sold shares of the company. Meeder Advisory Services Inc. lifted its holdings in shares of GE Aerospace by 4.2% during the 3rd quarter. Meeder Advisory Services Inc. now owns 31,753 shares of the company’s stock valued at $9,916,000 after purchasing an additional 1,282 shares in the last quarter. Benjamin Edwards Inc. increased its stake in GE Aerospace by 3.9% during the 3rd quarter. Benjamin Edwards Inc. now owns 39,011 shares of the company’s stock worth $12,184,000 after purchasing an additional 1,481 shares in the last quarter. BNP Paribas raised its holdings in GE Aerospace by 3.3% during the 3rd quarter. BNP Paribas now owns 3,220 shares of the company’s stock worth $1,006,000 after buying an additional 104 shares during the period. Texas Yale Capital Corp. raised its holdings in GE Aerospace by 16.3% during the 3rd quarter. Texas Yale Capital Corp. now owns 891 shares of the company’s stock worth $278,000 after buying an additional 125 shares during the period. Finally, Sumitomo Mitsui Financial Group Inc. raised its holdings in GE Aerospace by 6.3% during the 3rd quarter. Sumitomo Mitsui Financial Group Inc. now owns 133,983 shares of the company’s stock worth $41,842,000 after buying an additional 7,917 shares during the period. 74.77% of the stock is currently owned by institutional investors and hedge funds.

GE Aerospace Company Profile

GE Aerospace (NYSE: GE) designs, manufactures and services engines and related systems for commercial and military aircraft. Its offerings include aircraft engines, components, avionics and other integrated systems, along with maintenance, repair and overhaul services and digital solutions that support aircraft operations. The company serves airlines, aircraft manufacturers, governments and defense organizations around the world. Its business combines original equipment production with long-term aftermarket support, including parts and technical services for engines already in operation.