General Electric Co. (GE, Financial) declared a quarterly dividend on Sept. 7. The company has a forward dividend yield of 4.03% and will pay 24 cents per share on Oct. 25. The ex-dividend date is Sept. 15.
GE’s stock price has been declining in recent months, currently trading at $23.75. CNBC reports on the stock price’s decline, noting it is now at lows reached in 2008 when Lehman Brothers declared bankruptcy.
Catalysts for the declining stock price include poor capital allocation decisions and overpayment for health care and power generation businesses. JPMorgan has also released a negative report with a $22 price target and says further losses are likely ahead with overestimated growth forecasts expected to be revised.
The company will report third-quarter earnings on Oct. 20. In its most recent report released on July 21, it reported revenue of $29.56 billion, decreasing 11.7% year over and beating estimates by $540 million. Net income for the quarter was down 48% year over year at $2.418 billion. Second-quarter earnings per share were 28 cents, beating estimates by three cents.
A breakdown of second-quarter business by segments shows the following results:
Power and aviation generated the most revenue, both with year-over-year increases for the second quarter. Aviation reported 85% of the company’s profit with an 11% year-over-year increase.
The company now has approximately 8.7 billion shares outstanding with 29% ownership from institutional investors and the remainder invested by retail investors.
Disclosure: I do not own any shares of GE.
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