Reasons for the rise in stock price of General Electric:

General Electric Co. (GE)  is considered to be one of the largest industrial conglomerates in the world that Cover many areas including household appliances, business and consumer financing, industrial products such as jet engines, power generation, water processing, as well as products for medical imaging. The segment of Aviation is one of the fastest growing segments whose five year revenue compound annual growth rate is of 3%. General Electric capital is involved in the businesses like Energy financial services, General Electric Capital Aviation Services, GECC Eliminations & Corporate Items and Consumer Lending & Leasing and consumer real Estate. Incorporated in New York, the conglomerate is headquartered in Fairfield, Connecticut, USA. As of 2013 the total numbers of employees in General Electric are 305,000 employees. GE was 26^th largest Fortune 500 firm in the U.S. in 2011, and the 14^th in terms of profitability.

In this article we discussed the reason for the pick up shares of GE stock which is because of General Electric continued incursion in to the energy market of all varieties. It shift the focus away from unpredictability that associated with General electric capitals recent form, and the main driver for the General electric big profits are its spending on energy and its concentration towards this segment, and the fact is that GE focus is not in just producing more energy but producing the energy in a cost effective and more efficient manner is the win-win situation for GE stock and its shareholder. GE’s stock prices have received glowing future projections in terms of market performance from experts across board in recent times. According to the Financial Times, as of February 8, this year, the conventional agreement and projections among 19 interviewed investment analysts following GE stocks recommend that the company is in a strong position to outperform the market. Operating earnings for General Electric which suggest the earnings from its core activities rise around 20% on year to year bases during fourth quarter and the key driver for the boost in profit was the sales from General Electric energy business. GE has continuously strengthened the dividend payout ratio. General Electric current stock yield is 3.5% which is very attractive for the investors but still it will further increases as the energy business continues to add more to the bottom line that is the Net income.