General Electric Makes Progress on Cost-Cutting

Closing Indexes Summary July 21

CFRA analyst Jim Corridore throws in the towel, downgrading shares to Hold from Buy, cutting his price target to $27 from $36 as well as his 2018 EPS estimate to $1.80 from a previous forecast of $1.85.

GE is under increasing pressure to show that its pivot away from financial services and renewed focus on making jet engines, power turbines and other industrial businesses will be good for investors.

John Flannery, who takes over from CEO Jeff Immelt on August 1, will update targets that now include earning $2 a share in 2018. CFO Jeffrey Bornstein sees FY 2017 EPS trending toward the lower-end of its previously stated $1.60-$1.70 range.

GE's shares suffered when Wall Street opened and its latest earnings report sunk in, falling 3.44% to lead the fallers on the Dow Jones as of 16:01 BST. "Despite what we view as generally solid results in the quarter".

It hasn't assisted, because although GE hasn't missed profit expectations for two years, the stock has declined on the day results were revealed in the past six quarters.

The company said Flannery will provide an update on GE's 2018 possible predictions later in the year.

Operating earnings in 2017 will be $1.60 to $1.70, GE said, reaffirming an earlier forecast.

Corporate Earnings Report July 21
Data courtesy of Trade-Alert

Mr. Flannery is meeting with investors and visiting the business units of the complex company.

"I'm not anxious about internal paralysis", Flannery told analysts and investors during the Boston-based company's quarterly earnings call on Friday, June 21. The company backed its full-year target of $12 billion to $14 billion, and Mr. Immelt said the company expects cash flow to continue to improve throughout the year. It has cut $670 million so far this year. Of that total $242.6 billion is services backlog and $84.2 billion is equipment.

Aviation and slid 3 percent in the oil and gas unit, which has struggled amid the plunge and sluggish recovery of crude prices.

The General Electric Q2 2017 earnings and Moody's Q2 2017 earnings reports were released before opening bell this morning. Much of the drop came from a year-ago boost from the sale of its home appliances business. Earnings, adjusted for non-recurring costs and to account for discontinued operations, were 28 cents per share.

General Electric said Friday it recorded a 12 percent decline in overall revenues, with its oil and gas division taking a toll on the company's financials. The company reported 30 cents per share in earnings on $33.49 billion in revenue.

Imani Moise contributed to this article.

Related News:

  • If granted parole, OJ Simpson could be moving to Florida

    If granted parole, OJ Simpson could be moving to Florida

    The Nevada Parole Board has created an official website to share information about Simpson's parole hearing . Now 70 years old, Simpson will make his case to Nevada's parole board on Thursday.
    Euro holds below 14-month highs before European Central Bank  decision

    Euro holds below 14-month highs before European Central Bank decision

    Euro area annual HICP inflation was 1.3% in June, down slightly from 1.4% in May, mainly due to lower energy price inflation. On the one hand, the current positive cyclical momentum increases the chances of a stronger than expected economic upswing.

    Justice Department announces 'largest darknet takedown in history'

    The 26-year-old was arrested the day after the site disappeared and was reportedly later found hanged in his jail cell in Bangkok. Europol said that the closure of AlphaBay and Hansa will lead to hundreds of new investigations in Europe alone.
  • Exxon Says

    Exxon Says "Egregious" Sanctions Violations Were Just a Misunderstanding

    Tillerson, who has deep ties to Russian Federation and received an Order of Friendship from Moscow, left the firm to become U.S. The State Department declined to comment on Tillerson's role, referring all questions to Exxon.
    GIRLS TRIP Is A Laugh-Out-Loud, Good Time of A Voyage

    GIRLS TRIP Is A Laugh-Out-Loud, Good Time of A Voyage

    Meanwhile, during her interview Jada also spoke about how she loved reuniting with her Set It Off co-star Latifah on Girls Trip . Smith said she met the rapper during the end of her drug dealing days, around the same time Pac was getting into that life.
    Reliance Industries Q1 profit up 28 per cent

    Reliance Industries Q1 profit up 28 per cent

    Reliance Jio Infocomm plans to raise ₹20,000 crore by way of a rights issue, the company said in a filing. Ambani said retail business witnessed accelerated growth momentum with YoY revenue growth of 74 percent.
  • BBC stars' pay revealed in annual review

    BBC stars' pay revealed in annual review

    Match Of The Day host Gary Lineker is the second highest earner and is placed in the £1,750,000 to £1,799,999 bracket. Apart from Chris Evans , Radio 2's Steve Wright is the corporation's most expensive DJ, netting over £500,000 a year.
    Anticipate New Harry Potter Books This Year

    Anticipate New Harry Potter Books This Year

    Fans of Harry Potter then eagerly expressed their joy on Twitter, since the winks did not escape them, as you can see above. Check out more info on the British Library's Harry Potter exhibit right here.
    Audi Advert Criticised In China For Being Sexist

    Audi Advert Criticised In China For Being Sexist

    Luxury auto maker Audi has been slammed for a "sexist" advert aired in China which appears to compare women to second hand cars. This commercial aired in theaters and on television in China before Audi pulled it and apologized, according to Reuters .
  • DiNardo Claims He Killed Before

    DiNardo Claims He Killed Before

    DiNardo is behind bars after confessing to the murders of Dean Finocchiaro, Mark Sturgis, Tom Meo and Jimi Patrick last week. She says on Twitter he's charged with very serious crimes he and his family take very seriously.
    House committee advances budget resolution

    House committee advances budget resolution

    Members demanding tax reform details before agreeing to vote for the budget "isn't a fair understanding of the process", Rep. The House plan also contains a key element of Trump's agenda in his first year: tax giveaways to the wealthy.
    Terminally ill British baby Charlie Gard granted U.S.  'legal permanent residency'

    Terminally ill British baby Charlie Gard granted U.S. 'legal permanent residency'

    He added that if the hospital did change its mind to allow the baby to go, he would be "bound to agree". They argue that will give a definite answer whether Charlie's brain damage is irreversible or not.


Most liked

UK's Liberal Democrats make Vince Cable party leader
Accepting his new role this afternoon, he pledged to become Britain's second biggest party by membership. Cable previously served as business secretary during the Conservative-Lib Dem coalition government.

Watch William give George and Charlotte a helicopter tour
George and Charlotte , who did not join William and Kate today, were spotted Monday departing the plane with their parents. The family will depart Poland for Berlin, Germany , on Wednesday.

Celtic brush Linfield aside to set up meeting with Rosenborg
The club has been consistent in condemning such conduct on the very few occasions in the past when it has occurred at Celtic Park. Griffiths is accused of provoking spectators when he tied a Celtic scarf to a goalpost after the final whistle.

JD Martinez: West coast trip turned Detroit Tigers to sellers
Vogt caught the throw home and tried to make a sweeping tag when Kuhl inadvertently bowled him over. "Me and Al go way back". Martinez is hitting.474 against left-handed pitching this year with six of his 16 home runs coming off southpaws.