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GE vs GNRC

GE
GE Aerospace
NEUTRAL
Price
$303.60
Market Cap
$320.24B
Sector
Industrials
AI Confidence
85%
GNRC
Generac Holdings Inc.
BEARISH
Price
$220.30
Market Cap
$12.93B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
GE
37.71
GNRC
81.9
Forward P/E
GE
35.2
GNRC
21.1
P/B Ratio
GE
17.05
GNRC
4.91
P/S Ratio
GE
6.98
GNRC
3.07
EV/EBITDA
GE
30.66
GNRC
28.88

Profitability

Gross Margin
GE
31.5%
GNRC
38.29%
Operating Margin
GE
19.55%
GNRC
-0.85%
Profit Margin
GE
18.98%
GNRC
3.79%
ROE
GE
44.69%
GNRC
6.28%
ROA
GE
4.68%
GNRC
3.38%

Growth

Revenue Growth
GE
17.6%
GNRC
-11.6%
Earnings Growth
GE
37.4%
GNRC
--

Financial Health

Debt/Equity
GE
1.14
GNRC
0.52
Current Ratio
GE
1.04
GNRC
2.03
Quick Ratio
GE
0.69
GNRC
0.78

Dividends

Dividend Yield
GE
0.62%
GNRC
--
Payout Ratio
GE
17.89%
GNRC
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
GNRC BEARISH

GNRC exhibits a severe disconnect between its current market price ($220.30) and its deterministic value markers, with a Piotroski F-Score of 4/9 indicating only stable health and a Graham Number of $52.11 suggesting massive overvaluation. While the balance sheet remains healthy with low debt and a strong current ratio, the company is facing significant headwinds including negative revenue growth (-11.60%) and a plummeting YoY EPS (-42.5%). The bearish sentiment is further reinforced by aggressive insider selling from the CEO and CFO and a very weak technical trend (10/100). Despite bullish analyst targets, the fundamental data suggests the stock is trading on speculative recovery rather than current performance.

Strengths
Strong liquidity with a Current Ratio of 2.03
Manageable leverage with Debt/Equity at 0.52
Healthy Gross Margin of 38.29%
Risks
Extreme valuation gap compared to Graham Number ($52.11) and Intrinsic Value ($18.83)
Negative revenue growth (-11.60% YoY) and severe EPS contraction (-42.5% YoY)
Negative operating margin (-0.85%) indicating inefficiency in core operations

Compare Another Pair

GE vs GNRC: Head-to-Head Comparison

This page compares GE Aerospace (GE) and Generac Holdings Inc. (GNRC) 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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