Should I buy General Electric stock in 2025? Complete Guide for South Africa
Is General Electric stock a buy right now?
General Electric (GE Aerospace) currently trades at approximately $244.16 per share (as of late May 2025), sustained by an average daily trading volume of around 7.1 million shares—a testament to robust investor engagement. Following the strategic spin-off of GE Vernova in April 2024, GE Aerospace stands as a pure-play leader in global jet engine innovation and high-margin aviation services. The company has enjoyed a remarkable surge from $150 over the past year, underlining strong investor conviction. Recent results outstripped analyst expectations, with Q1 2024 revenues up 15% and new orders rising 14%. Notably, GE is investing $650 million in cutting-edge facilities, reinforcing its competitive edge in high-growth segments such as LEAP engines and AI-driven systems. Despite a relatively high valuation (PER between 32 and 47), market sentiment remains constructive, bolstered by GE's record order books and a dominant position alongside Rolls-Royce in commercial aerospace. The current market context, where the aerospace sector is buoyed by global air traffic recovery, positions GE as a natural beneficiary. Over 32 national and international banks now project a consensus target price around $317, suggesting substantial medium-term potential. While near-term technical signals hint at possible volatility, these are widely viewed as part of a healthy consolidation after outsized gains.
- ✅Strong earnings and order growth, consistently outperforming analyst forecasts.
- ✅Dominant market position in commercial aircraft engines alongside Rolls-Royce.
- ✅Resilient business model with high-margin, recurring service revenues.
- ✅Significant investment in innovation and advanced technologies such as AI.
- ✅Beneficiary of sustained global air traffic rebound post-pandemic.
- ❌Current valuation (PER 32-47) above sector average, suggesting short-term caution.
- ❌Technical indicators (RSI, MACD) point to possible short-term consolidation.
- ✅Strong earnings and order growth, consistently outperforming analyst forecasts.
- ✅Dominant market position in commercial aircraft engines alongside Rolls-Royce.
- ✅Resilient business model with high-margin, recurring service revenues.
- ✅Significant investment in innovation and advanced technologies such as AI.
- ✅Beneficiary of sustained global air traffic rebound post-pandemic.
Is General Electric stock a buy right now?
- ✅Strong earnings and order growth, consistently outperforming analyst forecasts.
- ✅Dominant market position in commercial aircraft engines alongside Rolls-Royce.
- ✅Resilient business model with high-margin, recurring service revenues.
- ✅Significant investment in innovation and advanced technologies such as AI.
- ✅Beneficiary of sustained global air traffic rebound post-pandemic.
- ❌Current valuation (PER 32-47) above sector average, suggesting short-term caution.
- ❌Technical indicators (RSI, MACD) point to possible short-term consolidation.
- ✅Strong earnings and order growth, consistently outperforming analyst forecasts.
- ✅Dominant market position in commercial aircraft engines alongside Rolls-Royce.
- ✅Resilient business model with high-margin, recurring service revenues.
- ✅Significant investment in innovation and advanced technologies such as AI.
- ✅Beneficiary of sustained global air traffic rebound post-pandemic.
- What is General Electric?
- How much is the General Electric stock?
- Our full analysis on General Electric stock
- How to buy General Electric stock in ZA?
- Spot Buying
- Trading via CFD
- Final Advice
- Our 7 tips for buying General Electric stock
- The latest news about General Electric
- FAQ
- On the same topic
What is General Electric?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | United States | US-based, giving access to a large and established capital market. |
💼 Market | NYSE (New York Stock Exchange) | Traded on a major global exchange, ensuring good liquidity. |
🏛️ ISIN code | US3696043013 | Unique identifier for trading and compliance purposes worldwide. |
👤 CEO | H. Lawrence Culp, Jr. | Highly regarded CEO, known for strategic turnarounds and operational focus. |
🏢 Market cap | $260.37 billion | Large-cap stock, indicating stability and strong investor interest. |
📈 Revenue | $10.8 billion (Q4 2024) | Demonstrates solid sales growth—up 14% year-on-year in latest quarter. |
💹 EBITDA | $9.60 billion (2024) | Healthy EBITDA, underlining strong operating performance and profitability. |
📊 P/E Ratio (Price/Earnings) | 32.4 – 47.2 | High valuation suggests optimism but limits margin for error or setbacks. |
How much is the General Electric stock?
The price of General Electric stock is rising this week. Currently, GE trades at $244.16, with a 24-hour gain of $0.49 (+0.20%) and a strong weekly advance from last week's prices.
The company stands at a market capitalization of $260.37 billion, and the average three-month daily volume reaches around 7.14 million shares.
Metric | Value |
---|---|
Price-to-earnings ratio | 32.4 – 47.2 |
Dividend yield | 0.59% – 0.67% |
Beta | 1.31 |
This combination of performance and momentum could offer both opportunities and risks for ZA investors watching global blue-chips.
Compare the best brokers in South Africa!Compare brokersOur full analysis on General Electric stock
Having thoroughly reviewed General Electric (GE Aerospace)’s latest financial results and analyzed its robust price trajectory over the past three years, we have synthesized a multitude of financial indicators, technical signals, peer comparisons, and market data through our proprietary algorithms. The convergence of GE’s structural realignment, sector leadership, and renewed earnings momentum points to substantial investment relevance as we approach 2025. So, why might General Electric stock once again become a strategic entry point into the aerospace and advanced manufacturing sector for investors seeking both resilience and innovation-driven growth?
Recent Performance and Market Context
General Electric’s transformation into GE Aerospace has been nothing short of remarkable, with the stock surging from $150 to $244.16 over the past year (as of 30 May 2025)—a gain that underscores both structural improvement and resurgent market confidence. The company’s successful spin-off of GE Vernova in April 2024 marked a critical strategic inflection, allowing GE Aerospace to sharpen its focus on propulsion systems and aviation technologies. Annualized, this robust ascent reflects sustained operational advances, notably in commercial aviation’s global recovery post-pandemic, and has firmly positioned GE as a sectoral outperformer.
- The Q1 2025 results handily exceeded consensus estimates, highlighting a 15% revenue growth and operational margins that continue to expand.
- Major investments of $650 million in new facilities and innovation centres, emphasizing forward-looking capital deployment.
- A fresh multi-year guidance confirming earnings per share (EPS) between $5.10 and $5.45 for 2025—emphasizing stability and visible pipeline visibility.
- Broader market tailwinds: The global aerospace and defense sector has enjoyed a multiyear uptrend amid pent-up travel demand, advanced military programs, and a renewed focus on supply chain resilience.
Amid these dynamics, GE Aerospace’s market cap now stands at $260.37 billion, cementing its role as a structural pillar of US and global industry.
Technical Analysis
From a technical standpoint, GE currently demonstrates powerful underlying momentum. Price action has steadily ascended across all major timeframes, confirming bullish structure:
- Moving averages: GE’s 5-, 20-, 50-, 100-, and 200-day moving averages ($236.41, $222.36, $204.74, $199.76, $187.99) are all trending higher and below the current share price, generating consistent “buy” signals—underscoring persistent institutional accumulation.
- Relative Strength Index (RSI): At 79.31, the 14-day RSI does indicate short-term overbought conditions; however, such readings, within a strong uptrend, suggest any corrective phases may offer compelling re-entry points rather than structural reversals.
- MACD: The MACD (12,26,9) sits at 10.98—signalling strong underlying trend momentum, even as the indicator implies a brief pause or consolidation may be imminent.
- Support and resistance: Key technical support is seen near $232.54 (Fibonacci level), with immediate resistance at $246.90. The breakout towards new highs, accompanied by robust volume (over 7M average daily shares), signals that any dips to support could represent attractive medium-term entry points.
- Overall consensus: Technical algorithms classify GE as a “Strong Buy” based on moving averages and market structure, with the possibility of near-term retracements presenting advantageous risk/reward setups.
In summary, the technical configuration remains decisively positive, reinforcing the notion that the stock is still in the midst of a medium- to long-term bullish phase.
Fundamental Analysis
The transformation of General Electric into a pure-play aerospace leader has markedly enhanced its investment profile:
- Revenue and profitability: GE delivered 15% year-on-year revenue growth in Q1 2025 ($8.1 billion), with operational profit margins expanding and EBITDA for 2024 reaching $9.60 billion (+12.5% YoY). Order books continue to swell, with Q1 and Q4 orders up 14% and 46%, respectively.
- Valuation: While GE trades at a forward P/E between 32.4 and 47.2—above traditional sector norms—this premium valuation is justified by superior growth rates, high-margin services, and a defensible competitive moat. The PEG ratio remains attractive in the context of high expected compound annual EPS growth.
- Market share and innovation: As the world’s largest producer (alongside Rolls-Royce) of large commercial engines, GE benefits from near-monopolistic market share—over 3 billion passengers were transported using GE technology in 2024. The sizable, recurring services segment underpins cash flow visibility, while advances in AI-enabled systems and digital twin technology support further margin improvement.
- Balance sheet and return profile: The dividend yield is a modest 0.59-0.67%, but the payout ratio (c. 18-23%) signals room for future increases. Guidance for 2025 is robust, underscoring management’s confidence in sustainable expansion.
Altogether, these factors present a rare combination: high visibility, strong organic growth, and ample innovation—all of which bolster the case for renewed interest in the stock at these levels.
Volume and Liquidity
Trading volumes remain both deep and consistent, with a three-month average daily turnover near 7.14 million shares. This liquidity ensures low transaction costs and flexibility for institutional and retail participants alike—parameters particularly advantageous for South African and international investors seeking to access US blue-chip equities. The public float (~1.07 billion shares) is large enough to avoid any “crowding out” effect, while the ongoing ascent in average volumes further testifies to persistent market confidence.
Importantly, this active trading environment not only enables dynamic price discovery but also facilitates tactical allocations for those seeking to build positions ahead of further catalysts.
Catalysts and Positive Outlook
Looking forward, several structural and cyclical drivers appear poised to sustain GE’s outperformance:
- Innovation pipeline: GE is heavily investing in state-of-the-art manufacturing processes, AI-driven aviation systems, and net-zero propulsion—ahead of incoming regulatory shifts and rising ESG scrutiny.
- Commercial momentum: After the pandemic, commercial air traffic has rebounded sharply, driving a steady increase in orders for LEAP engines, where GE holds dominant share. The announced 15-20% increase in engine deliveries for 2025 positions the company for sustained top-line growth.
- Defense and resilience: Heightened geopolitical tensions and increased global defense spending provide additional runway, particularly as GE’s military propulsion footprint expands.
- Digital transformation: Digital twin, predictive analytics, and aggressive adoption of AI in maintenance platforms enhance service margins and stickiness.
- ESG and sustainability: GE’s commitment to clean aviation technologies, substantial investments in decarbonization, and robust governance standards further differentiate the company for long-term industry relevance—and for inclusion in ESG-focused portfolios.
Against this backdrop, analyst sentiment remains overwhelmingly positive: of twelve major coverage analysts, eleven assign a “Buy” rating. The market’s posture is unambiguously optimistic, reinforcing the growth thesis.
Investment Strategies
The current technical and fundamental landscape suggests GE may offer attractive entry points across various time horizons:
- Short-term approach: Given the elevated RSI, patient investors may watch for price consolidation or a pullback towards the $232-235 support band to initiate positions at a more advantageous price.
- Medium-term tactic: The sustained uptrend, underpinned by record order books and margin trajectory, makes this an ideal moment to accumulate shares ahead of scheduled LEAP engine delivery increases and subsequent earnings releases.
- Long-term horizon: GE's structural strengths, innovation commitment, dominant market share, and digital transformation create a compelling long-run case, particularly for those seeking resilient, blue-chip US industrial exposure embedded with technology-driven growth.
Building a position on technical retracements or prior to major catalysts appears to be a prudent method, with stop-loss levels (for trading accounts) set just below the $232 support, and optional partial profit-taking as the stock approaches major resistance near $246.90.
Is It the Right Time to Buy General Electric?
In conclusion, General Electric today represents an impeccable convergence of technical momentum, structural transformation, and innovation-driven upside. The company’s dominant market share in commercial aerospace, exceptional earnings growth, bulging order backlog, and bold advances in AI and sustainability fortify its long-term prospects. While short-term overbought signals are present, these often herald periods where disciplined investors gain entry ahead of the next wave of expansion.
With a strong balance sheet, dynamic liquidity profile, and a globalized investment case appealing to both US and international market participants—including those in South Africa—General Electric stock seems to represent an excellent opportunity for those seeking exposure to resilient growth and transformative technologies in the evolving aerospace and defense sector.
The combination of sectoral leadership, proven innovation, and robust financials justify renewed attention at current levels, and the stock may well be entering a new bullish phase with multiple positive catalysts on the horizon. For discerning investors, General Electric stands as a candidate worthy of serious consideration—an opportunity marked by conviction, resilience, and forward-looking growth potential.
How to buy General Electric stock in ZA?
Investing in General Electric (GE) shares online has never been simpler or more secure for South Africans, thanks to regulated brokers offering intuitive digital platforms. As a retail investor, you can choose between two popular methods: spot (or “cash”) buying, where you directly own GE shares, or trading via Contracts for Difference (CFDs), which let you speculate on price movements without owning the underlying stock. Each approach has its own features and costs, which are compared further down the page using our independent broker comparator.
Spot Buying
A cash purchase means acquiring GE shares directly on the New York Stock Exchange via a licensed broker. You become a shareholder and can benefit from any dividends and long-term capital growth. Typical fees for South African investors include a fixed brokerage commission per order—generally in the range of R70 to R150 (about $4–$8), plus small exchange and custody fees.
Example
Example: Suppose GE trades at $244.16 per share. With a $1,000 (approx. R18,300) investment and a $5 brokerage fee, you can purchase around 4 shares ($1,000 – $5 fee = $995; $995 ÷ $244.16 ≈ 4 shares).
✔️ Gain scenario: If the GE share price rises by 10%, your shares would now be worth $1,100.
Result: +$100 gross gain, or +10% return on your investment.
Trading via CFD
CFD (Contract for Difference) trading lets you speculate on GE’s price fluctuations, without owning the actual shares. Instead, you enter an agreement with your broker to exchange the difference in price between opening and closing your position. CFD fees are typically paid via the spread (the difference between buy and sell prices) and an overnight financing charge if you hold positions for more than one day.
Example
Example: You open a CFD position on GE with a $1,000 margin using 5x leverage, gaining $5,000 in market exposure.
✔️ Gain scenario: If GE rises by 8%, your leveraged position would see a gain of 8% × 5 = 40%.
Result: That’s a $400 profit on your $1,000 (margin), excluding fees.
Final Advice
Before investing, it’s crucial to compare brokers’ rates, platform features, and conditions to find the option that suits your style and objectives. Whether you opt for direct share ownership or prefer flexible CFD trading depends on your risk profile and investment goals. For more guidance, be sure to consult the broker comparison tool available further down this page. Happy investing!
Compare the best brokers in South Africa!Compare brokersOur 7 tips for buying General Electric stock
📊 Step | 📝 Specific tip for General Electric |
---|---|
Analyze the market | Review GE Aerospace’s recent strong financial results and global leadership in aircraft engines, but note current high RSI and valuation—consider timing your entry for when the share price corrects or approaches the $215-220 USD support level. |
Choose the right trading platform | Use a JSE-registered South African broker offering access to international stocks, low forex fees, and robust customer support, to efficiently buy and monitor General Electric shares from South Africa. |
Define your investment budget | Decide on a realistic amount to invest in General Electric, considering the USD/ZAR exchange rate, and ensure you diversify with local and other global stocks to manage risk and currency exposure. |
Choose a strategy (short or long term) | Given GE Aerospace’s ongoing growth in aviation and technology, consider a long-term strategy to benefit from industry expansion, while being aware of periods of volatility. |
Monitor news and financial results | Regularly follow GE Aerospace’s quarterly earnings, global aviation sector trends, and updates on South African-US economic relations and currency movements, which may affect returns. |
Use risk management tools | Set stop-loss and take-profit orders when trading General Electric, and closely track the share’s performance to protect your capital against sudden market swings or currency fluctuations. |
Sell at the right time | Evaluate profit-taking when GE shares reach technical resistance levels or after strong rally periods, and reassess your position ahead of any major company announcements or global events. |
The latest news about General Electric
GE Aerospace reported robust Q1 2024 results, with revenue and new orders both up by double digits. The company achieved an adjusted revenue of $8.1 billion, marking an increase of 15% year-on-year, and new orders surged by 14% to $20.1 billion, significantly outperforming analyst expectations. This performance, underpinned by persistent demand for next-generation aircraft engines—particularly the LEAP engine line—reinforces GE Aerospace's global leadership and strengthens its ability to secure long-term, high-margin service contracts with airlines, including several serving South African and wider African aviation markets.
GE Aerospace’s stock has reached new highs, buoyed by strong analyst sentiment and a technical “Strong Buy” rating. The shares closed at $244.16 USD, capping an exceptional 12-month rally from $150, with the price supported by sustained investor demand and positive technical signals from moving averages. Eleven out of twelve leading market analysts now recommend a “Buy,” citing continued air traffic recovery and persistent aftermarket demand. This momentum is particularly relevant for South African investors seeking exposure to resilient global aerospace players active in Africa’s post-pandemic aviation rebound.
Substantial investment in innovation and capacity is planned, supporting future growth in aviation markets worldwide, including Africa. GE Aerospace has committed $650 million in 2024 to new manufacturing capacities and technological upgrades, aimed at expanding production of advanced propulsion systems and leveraging artificial intelligence in engine design and maintenance. These initiatives are aligned with broader industry trends and will enhance support for African carriers operating GE-powered fleets, while also deepening the company’s relationships with key African airline partners.
Following the successful separation of GE Vernova, GE Aerospace is an independent, focused aviation company with a powerful global footprint. The completion of this corporate transformation in April 2024 allows GE Aerospace to direct all resources and strategic initiatives towards core aerospace markets. As a result, its operational agility has improved, which is expected to benefit partners and clients in South Africa, where a number of commercial airlines and MROs (maintenance, repair, and overhaul providers) rely on GE engines and technical expertise.
GE Aerospace maintains a strong outlook, with upward engine delivery targets and reinforced guidance for 2025. The company has raised its projected deliveries for its flagship LEAP engine family by 15–20% for 2025 and reaffirmed guidance for adjusted earnings per share between $5.10 and $5.45. With a world-leading market share in large commercial jet engines and a robust, recurring order book, these factors underscore long-term stability for investors—including those in South Africa looking for exposure to a global aerospace leader with growing commitments to regional airline modernization and safety.
FAQ
What is the latest dividend for General Electric stock?
General Electric currently pays an annual dividend of $1.44 per share. The most recent dividend reflects a yield of around 0.6%, with payouts typically distributed quarterly. Over recent years, GE has maintained a modest but regular dividend policy, supporting its capital allocation strategy while reinvesting heavily in aerospace innovation.
What is the forecast for General Electric stock in 2025, 2026, and 2027?
Based on the current share price, the projected value for General Electric at the end of 2025 is $317.41, $366.24 for the end of 2026, and $488.32 for the end of 2027. These estimates reflect ongoing optimism in the aerospace sector, where GE benefits from robust global air travel demand and a strong order book for its jet engines.
Should I sell my General Electric shares?
Holding on to General Electric shares may be advisable given the company’s strong fundamentals, dominant position in aerospace, and its history of resilience through industry cycles. GE continues to report solid earnings growth and benefits from recurring revenues and high-margin services. The company’s long-term prospects remain favourable, though short-term valuation appears rich, so maintaining exposure could support long-term portfolio goals.
How are dividends and capital gains from General Electric shares taxed in South Africa?
Dividends from General Electric shares are subject to a U.S. withholding tax (generally 30%, but reduced to 15% with treaty benefits), while South African investors must also declare foreign dividends and potential capital gains in their local tax returns. GE stock cannot be held in South African tax-free investment accounts, and forex movements may impact ZAR returns. Consulting a tax advisor is recommended for current rates and declarations.
What is the latest dividend for General Electric stock?
General Electric currently pays an annual dividend of $1.44 per share. The most recent dividend reflects a yield of around 0.6%, with payouts typically distributed quarterly. Over recent years, GE has maintained a modest but regular dividend policy, supporting its capital allocation strategy while reinvesting heavily in aerospace innovation.
What is the forecast for General Electric stock in 2025, 2026, and 2027?
Based on the current share price, the projected value for General Electric at the end of 2025 is $317.41, $366.24 for the end of 2026, and $488.32 for the end of 2027. These estimates reflect ongoing optimism in the aerospace sector, where GE benefits from robust global air travel demand and a strong order book for its jet engines.
Should I sell my General Electric shares?
Holding on to General Electric shares may be advisable given the company’s strong fundamentals, dominant position in aerospace, and its history of resilience through industry cycles. GE continues to report solid earnings growth and benefits from recurring revenues and high-margin services. The company’s long-term prospects remain favourable, though short-term valuation appears rich, so maintaining exposure could support long-term portfolio goals.
How are dividends and capital gains from General Electric shares taxed in South Africa?
Dividends from General Electric shares are subject to a U.S. withholding tax (generally 30%, but reduced to 15% with treaty benefits), while South African investors must also declare foreign dividends and potential capital gains in their local tax returns. GE stock cannot be held in South African tax-free investment accounts, and forex movements may impact ZAR returns. Consulting a tax advisor is recommended for current rates and declarations.