Turning Around a Legacy Company: GE Stock Surges, Proving It’s Possible

Turning Around a Legacy Company: GE Stock Surges, Proving It’s Possible


It’s challenging to turn a‍ legacy company around. In the ⁢case of over 125-year-old GE (GE), some would say it’s nearly impossible.

Yet ​the industrial giant is less than a⁣ year away from achieving a‌ multiyear turnaround plan that⁤ transforms what was once an iconic but sprawling conglomerate into⁤ an aerospace-focused company. Its slimming down has Wall Street ⁤excited.

Management’s “focus on cash flow, cleaning​ up the ⁤balance sheet, selling off assets, [and] paying down debt,” is why the ⁤stock‍ has recently hit ⁤52-week highs, Argus analyst⁣ John Eade told Yahoo⁣ Finance.

The stock is up 100% over the past year, and 72% higher since the start ⁣of 2023.

Shares rose 6% this past Tuesday after⁢ the company “crushed” second-quarter earnings estimates, as⁢ noted by another analyst, Morningstar’s Joshua Aguilar.

“GE‍ has world ⁣class ​assets, exceptional leadership, and is turning around its businesses,” Aguilar told ​Yahoo Finance.

The Boston-based industrial raised⁤ its⁢ full year guidance after ⁤posting a beat…

2023-07-29 12:30:00
Source from finance.yahoo.com
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