Are GE (NYSE: GE) orientation cuts finally over? Analysts say on the financial update of the company

General Electric Company (NYSE: GE) Investors were not impressed by CEO Larry Culp's commitment to transparency Thursday, pulling the stock down on Friday.

GE on Thursday released updated financial forecasts calling for a 2019 EPS between 50 and 60 cents, less than the consensus, estimated at 67 cents. GE has also announced a free cash flow forecast of up to $ 2 billion this year.

In an interview with CNBC's Jim Cramer, Culp said the company is moving to a new era of transparency regarding its current issues and path forward.

"I think what we are trying to do, frankly, is to share with people in the most transparent way what these problems are … and the plan we have," said Culp.

Several analysts weighed on GE after the last update of the company. Here is a sample of what they had to say.

The orientation is finally over?

Peter Lennox-King, an analyst at UBS, said the latest update may well be the long-awaited floor of earnings revisions and negative cash flow.

"By putting numbers on the many streaks on its capital that once seemed like bottomless pits (FCF Power & Industrial, Long Term Care, Leverage), GE has shifted its story in recent weeks to focus on the sector – and stock – recovery, "writes Lennox-King in a note.

Andrew Obin, an analyst at Bank of America, said the outlook for 2019 was not as bad as some feared, and GE said its struggling Power unit had finally bottomed out in 2018. .

"We are in the most cautious camp at the moment, predicting a loss of power of $ 0.5 billion in 19," wrote Obin.

The right way to go

John Inch, an analyst at Gordon Haskett, said that a significant increase in the compensation of senior management was emerging from the new power of attorney.

"We believe that retention of key talent has become a priority for GE – as evidenced by the hiring of a new human resources manager in February," wrote Inch.

Jim Corridore, an analyst at CFRA, said GE was doing the right long-term moves for its balance sheet and that greater transparency was always a good decision.

"Even though a reduced focus is not a positive factor, we believe that GE's plan and progress show that it is going in the right direction," wrote Corridore.

Target evaluations and prices

• Gordon Haskett has an underperformance rating and a $ 7 target.
• UBS has a purchase index and a goal of $ 13.
• Bank of America has a neutral rating and a target of $ 12.
• CFRA has a purchase price and a target of $ 13.

GE shares fell 3% to $ 9.99 per share Friday afternoon.

Related links:

Overflowing fund of undesirable obligations: a topic of concern?

Gordon Haskett: Thesis of General Electric Bull: Basic Intuition and Missing

Photo by Bubba73 / Wikimedia.