General Electric (GE) Stock Forecast

In 2020, the company reported consolidated earnings on revenues of over $79 billion with over $5 billion from common shareholders. Just recently, in November 2021, it announced that it would split into three major companies. Where does that put future expected stock prices? Let's find out.

Overview: General Electric (GE) Stock

General Electric Co. is one of the oldest companies around, having been incorporated in 1892. The company emerged after the Thomson-Houston Company and the Edison General Electric Company merged. It started with Appliance and Lighting services.

Now, it operates as a finance, infrastructure and technology company worldwide. Its main expertise lies in the following segments:

• Aviation
• Capital
• Healthcare
• Power
• Renewable energy

As of 14 January 2022, its current stock price is $103.16.

Factors Affecting the General Electric (GE) Stock Price

Here are some factors that can influence GE stock exchange price:

• Workforce layoff
• Change in management or operations
• Investors sentiments
• Inflation
• Industry performance
• Announcement of dividends

General Electric Stock Price in the Past

The stock market price started low in the 1960s and 1970s. During these years, GE was a pioneer in laser light technology and medical imaging. Over the next few years, the price started to fluctuate more until it peaked during 2000. In August 2000, it reached a closing price of $480, making it the most valuable company in the world.

However, its price drastically dropped in 2008, when the company encountered a crisis. In 2001, Welch left the company as a $130 billion conglomerate. But in 2008, GE stock dropped 42%, with the capital financial segment being the main reason. Although Warren Buffet invested $3 billion to stabilise and counter this fall, the crisis didn't end.

The following year, the company had to cut its yearly dividend from $1.24 to $0.82 and fell lower in 2010. The price continued to fluctuate through the following years and didn't drop until 2019.

The company had a good year in 2019. H. Lawrence Culp, the new chairman and CEO of the company, made significant improvements and helped the company recover slightly. By the end of 2019, the stock was up at about 50%. He reduced the $55 billion debt to half in 2020. Culp also sold unproductive stakes and subsidiaries.

However, in 2020, the COVID-19 pandemic significantly affected the company's steady price increase from 2019. On 15 May 2020, the GE stock price dropped to about $44, its lowest in two decades. GE's Aviation unit was the most affected since it had to lay off 10%-25% of its workforce in 2020.

Fortunately, the company began to recover in 2021. The stock price started to increase again. It even reached up to three digits in March until May and continued to drop and rise slightly afterwards.

General Electric Stock Technical Analysis

GE stock moved past a buy point on 9 November 2021. According to the MarketSmith Chart analysis, the relative strength line for the stock is lagging again. It also earned an IBD Composite Rating of 34 out of 99 with an RS Rating of 32, which means it outperformed 32% of all stocks for the past year. 

Using pivot points and different indices, here's a summarised technical analysis of NYSE:GE stock:

• A bullish alert on 17 December 2021, after a bearish swing on 16 December 2021.
• The stock is at a short-term and long-term downward trend based on Moving Averages. 
• Bearish trend movement according to 200 DMA and Relative Strength Index.
• With a Neutral score from Oscillators and a Sell from MAs, the GE stock is experiencing slight selling pressure.
• Its strongest support and resistance levels are at 6, 13 and 104.

General Electric Stock Forecast for 2022 by Experts

Experts have done their own analysis on GE's performance for next year to create a GE stock price forecast. Although most of them predicted the stock price to increase in the following year, some say that it wouldn't happen so quickly. The one thing they have in common is that there'd be no massive drop in its price in 2022.

Coin Price Forecast

The forecasted stock price at the end of 2021 is $92.97. It'll then increase by 9% in early 2022, and its price is predicted to reach up to $95.86. In the second half of the year, $0.53 will be added, closing the year at $96.39.

Long Forecast

The Economy Forecast Agency predicts the GE stock price to end this year at $89. It's forecasted that the price will constantly decrease, peaking at a drop by 10.75% in February, not until September 2022, with a 3.23% increase. This would continue to go up until the end of the year with a $106 and 13.98% increase.

AI Pickup

According to Wall Street analysts, slight price growth is expected in January. After that, it'll continue to decline in the year's remaining months, dropping the highest in June 2022. Fortunately, the year will end with the price slightly increasing by 0.03% from its previous predicted price of $54.21.

LeoProphet

From LeoProphet's GE stock forecast, the price will increase rapidly but decrease as well in 2022. Its price will continue to go up until March, then drop until May, and continue to rise again. However, starting from November and until the end of the year, it's expected to drop to $97.57. It's also predicted that the highest market volatility will be experienced in February.

Wallet Investor

Wallet Investor analysts announced a prognosis for the GE stock price to have a stable upward movement in the next year. Although they only range from zero to about a 3% increase, no significant drop is expected. Not until December 2022 where the price will experience a 3.53% reduction.

Short-Term General Electric (GE) Price Prediction for 2022

Many analysts have stated their GE stock predictions in the coming year. Here's a summary of the forecasts for 2022 from five high ranking analysts based on Wall Street:

Most analysts gave a buy trading recommendation for the stock since they expect the price to go higher in 2022, indicated by the positive price change percentages. Most of them also predicted a three-digit stock price next year compared to the two-digit price now.

General Electric Price Forecast for 2023-2025

It's predicted that in the following years, from 2023 to 2025, GE stock price will continue to increase. This means that in 2025, the forecast increase is by 68% compared to the present price.

Long-Term General Electric Stock Price Prediction 2026-2030

Even in 2026, the price will continue to increase. This would continue until 2030 with a 155% increase from the current price. There's no hint of a drop in the forecast as theprice goes up throughout each year.

Conclusion

General Electric stock is starting to get its upward movement again after facing a crisis in 2008. Although they're in debt, it's clear that the company is taking measures to pay it off. The company is doing better now, even after the turbulent pandemic times.

Since it's an old company, this performance shows how the company is managed. Overall, it's a good choice for investment since most GE stock predictions show that its price is likely to increase. The stock is doing pretty well in the market, too, based on its share forecast. However, it's best to do your own research first and then try investing on your own. 

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Disclaimer: The price predictions are all based on gathered data from different sources. It's encouraged not to use this as investmentadvice, and users should perform their own research before investing. Please keep in mind that this article doesn't guarantee the future price of the stock mentioned.