General Electric Stock Investment Guide 2025: Price, History & Latest Updates

Considering investing in General Electric (GE)? Here’s an updated overview to help you understand this industrial giant's business model, history, and recent developments.

General Electric Company (GE) is a multinational conglomerate with diversified operations spanning power generation, renewable energy, aviation, healthcare, and financial services. Serving clients across more than 170 countries, GE has undergone significant transformation in recent years, including multiple divestitures and spin-offs of various business segments such as energy services, lighting, transportation, appliances, and aviation services.

Founded by the visionary inventor Thomas A. Edison in 1892 through the merger of Edison General Electric Co. and Thomson-Houston Co., GE pioneered the incandescent light bulb and advanced lighting systems. Over the decades, GE expanded into hydroelectric power, gas and wind turbines, jet engines, healthcare technologies, manufacturing, and industrial internet solutions. The company’s shares have been publicly traded since at least May 26, 1896, making it one of the original twelve companies in the Dow Jones Industrial Average.

Headquartered in Boston, Massachusetts, GE has been led by Chairman and CEO H. Lawrence Culp Jr. since September 2018. Although classified primarily within the industrials sector, GE competes across multiple industries against companies like Honeywell International Inc. (HON), 3M Co. (MMM), Siemens AG (SIEGY), and Schneider Electric SE (SBGSF). For fiscal year 2021, GE reported a consolidated net loss of $6.8 billion on revenues of $74.2 billion, reflecting ongoing restructuring efforts.

Key Highlights

• GE operates in power, renewable energy, aviation, healthcare, and financial services sectors.
• Major competitors include Honeywell, 3M, Siemens, and Schneider Electric.
• In FY 2020, GE posted $5.2 billion in net earnings on $79.6 billion in revenue.
• In November 2021, GE announced a strategic split into three independent companies and finalized the combination of GE Capital Aviation Services with AerCap Holdings N.V.

Recent Milestones and Strategic Moves

• May 16, 2022: Secured a turbine order for a 1.6 GW power plant project in Vietnam.
• May 12, 2022: CFO Carolina Dybeck Happe projected significant growth driven by pricing strategies and cost efficiencies in H2 2022.
• May 3, 2022: CEO Larry Culp increased his personal stake by purchasing 65,000 shares, totaling over 210,000 shares.
• April 26, 2022: Reported Q1 FY 2022 revenue of $17 billion with adjusted EPS up 85% year-over-year to $0.24.
• November 9, 2021: Announced the plan to split GE into three focused public companies by 2024.
• November 1, 2021: Completed merger of GE Capital Aviation Services with AerCap Holdings, receiving over $30 billion in proceeds to reduce corporate debt.

Understanding GE’s Upcoming Split

By 2024, GE will transform into three distinct publicly traded companies specializing in aviation, healthcare, and energy. GE Healthcare is expected to spin off tax-free by early 2023. The energy segment—comprising GE Renewable Energy, GE Power, and GE Digital—will consolidate and spin off in early 2024. The remaining entity will focus on aviation. The restructuring is anticipated to incur a one-time charge of approximately $2 billion plus tax costs under $500 million.

Overview of GE’s Spin-Offs and Divestitures

GE’s subsidiaries include GE Additive, GE Aviation, GE Capital, GE Digital, GE Healthcare, GE Power, GE Renewable Energy, and GE Research. The company has actively streamlined its portfolio by spinning off or selling numerous divisions:

• 2013: Sold remaining 49% interest in NBCUniversal joint venture to Comcast for $18.1 billion.
• 2016: Sold appliance business to Haier Group for $5.6 billion.
• 2019: Completed spinoff and merger of transportation business with Wabtec Corp., receiving $2.9 billion in cash and 24.9% ownership.
• 2020: Sold legacy Lighting business to Savant Systems for $250 million.
• 2019: Sold BioPharma division to Danaher Corp. for about $20 billion.
• 2021: Acquired BK Medical for $1.5 billion to strengthen healthcare segment.

GE and Baker Hughes Partnership

In 2017, GE merged its Oil & Gas division with Baker Hughes, forming Baker Hughes, a GE company (BHGE). GE gradually reduced its stake, selling $4 billion in shares by 2018 and transitioning to a minority owner by 2019. By 2020, GE announced plans to fully divest from Baker Hughes within three years.

Frequently Asked Questions

Has GE Ever Split Its Stock?

GE has executed seven stock splits and one reverse split over its history:

• June 8, 1971: 2-for-1 split
• June 2, 1983: 2-for-1 split
• May 26, 1987: 2-for-1 split
• May 16, 1994: 2-for-1 split
• May 12, 1997: 2-for-1 split
• May 8, 2000: 3-for-1 split
• February 26, 2019: 104-for-100 split
• August 2, 2021: 1-for-8 reverse split

Does GE Pay Dividends?

Yes, GE pays quarterly dividends. The latest dividend was $0.08 per share, paid on October 25, 2021, to shareholders recorded by September 27, 2021.

How Many Shares of GE Stock Are Outstanding?

As of March 31, 2022, GE had approximately 1.1 billion shares of common stock outstanding.

Who Is the Current CEO of GE?

H. Lawrence Culp Jr. has served as GE’s Chairman and CEO since October 2018. He joined the board in April 2018 and previously led Danaher Corp. from 2000 to 2014.

When Was GE Removed from the Dow Jones Industrial Average?

GE, a founding member of the Dow Jones Industrial Average, has been removed three times: in 1898 (rejoined 1899), in 1901 (rejoined 1907), and most recently in June 2018.

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