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GE vs GHM

GE
GE Aerospace
NEUTRAL
Price
$303.60
Market Cap
$320.24B
Sector
Industrials
AI Confidence
85%
GHM
Graham Corporation
BEARISH
Price
$94.66
Market Cap
$1.05B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
GE
37.71
GHM
70.12
Forward P/E
GE
35.2
GHM
47.57
P/B Ratio
GE
17.05
GHM
7.92
P/S Ratio
GE
6.98
GHM
4.41
EV/EBITDA
GE
30.66
GHM
43.71

Profitability

Gross Margin
GE
31.5%
GHM
24.63%
Operating Margin
GE
19.55%
GHM
7.02%
Profit Margin
GE
18.98%
GHM
6.28%
ROE
GE
44.69%
GHM
12.15%
ROA
GE
4.68%
GHM
3.79%

Growth

Revenue Growth
GE
17.6%
GHM
20.5%
Earnings Growth
GE
37.4%
GHM
78.6%

Financial Health

Debt/Equity
GE
1.14
GHM
0.05
Current Ratio
GE
1.04
GHM
1.06
Quick Ratio
GE
0.69
GHM
0.72

Dividends

Dividend Yield
GE
0.62%
GHM
--
Payout Ratio
GE
17.89%
GHM
0.0%

AI Verdict

GE NEUTRAL

GE Aerospace exhibits a stark divergence between its operational growth and its deterministic financial health, highlighted by a weak Piotroski F-Score of 3/9. While the company delivers impressive earnings growth (37.4% YoY) and high ROE (44.69%), it trades at a significant premium to both its Graham Number ($56.79) and Intrinsic Value ($237.48). The valuation is stretched with a PEG ratio of 5.24, suggesting that current price levels have priced in aggressive future success. Despite strong analyst 'strong_buy' recommendations, the combination of poor deterministic health and bearish insider activity warrants a cautious approach.

Strengths
Exceptional Return on Equity (ROE) of 44.69%
Strong earnings track record with consistent beats and high average surprise (25.12%)
Robust revenue growth (17.6% YoY) and earnings growth (37.4% YoY)
Risks
Weak deterministic health indicated by a Piotroski F-Score of 3/9
Extreme valuation metrics, specifically a PEG ratio of 5.24 and P/B of 17.05
Tight liquidity position with a Quick Ratio of 0.69
GHM BEARISH

GHM exhibits a severe disconnect between its market price ($94.66) and its deterministic value, with a Piotroski F-Score of 3/9 indicating weak operational health and a Graham Number of $19.05 suggesting extreme overvaluation. While the company shows explosive earnings growth (78.6% YoY) and maintains a very low debt-to-equity ratio (0.05), the valuation metrics (P/E 70.12, PEG 2.77) are unsustainable. The bearish technical trend (10/100) combined with a low quick ratio (0.72) suggests the stock is priced for perfection and vulnerable to a significant correction.

Strengths
Exceptional earnings growth (78.6% YoY)
Strong revenue growth (20.5% YoY)
Negligible debt levels (Debt/Equity 0.05)
Risks
Extreme valuation premium over intrinsic and Graham values
Weak operational health as indicated by Piotroski F-Score (3/9)
Poor short-term liquidity (Quick Ratio 0.72)

Compare Another Pair

GE vs GHM: Head-to-Head Comparison

This page compares GE Aerospace (GE) and Graham Corporation (GHM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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