GE Isn't a Stock to Own Right Now: Fieldpoint's Dawson

The transcript discusses General Electric's (GE) financial challenges, particularly its struggle with inflationary pressures and inability to pass on cost increases to customers. Despite beating EPS consensus, the numbers were already significantly reduced. GE's renewables business faces customer delays due to high prices. In a late-cycle market, GE lacks the desired qualities such as strong cash flow, balance sheets, and pricing power. The company has high leverage and weak earnings quality, making it a less attractive investment option.

What does the term 'earnings quality' refer to in the context of GE's financials?

Why might GE not be considered a quality investment according to the analysis?