Financial statement analysis and common stock valuation

Income Statement

The income statement (statement of earnings) reports on the performance of GE Aerospace, the result of its operating activities.

Analysis of Liquidity Ratios

Measures the adequacy of GE Aerospace cash resources to meet its near-term cash obligations.

• Liquidity Ratios (Summary)
• Current Ratio
• Quick Ratio
• Cash Ratio

Analysis of Short-term (Operating) Activity Ratios

Evaluates revenues and output generated by the GE Aerospace assets. Operating performance ratios describe the relationship between the GE Aerospace level of operations and the assets needed to sustain operating activities.

• Short-term Activity Ratios (Summary)
• Inventory Turnover
• Receivables Turnover
• Payables Turnover
• Working Capital Turnover
• Average Inventory Processing Period
• Average Receivable Collection Period
• Operating Cycle
• Average Payables Payment Period
• Cash Conversion Cycle

Cash Flow Statement

The cash flow statement provides information about GE Aerospace cash receipts and cash payments during an accounting period, showing how these cash flows link the ending cash balance to the beginning balance shown on GE Aerospace balance sheet.

Balance Sheet: Liabilities and Stockholders’ Equity

The liabilities and stockholders’ equity reports major classes and amounts of external claims on assets and owners’ capital contributions, and other internally generated sources of capital.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
Quarterly Data

Liabilities and stockholders’ equity components shown as percentage of total liabilities and stockholders’ equity.

Income Statement
Quarterly Data

The income statement (statement of earnings) reports on the performance of GE Aerospace, the result of its operating activities.

Analysis of Short-term (Operating) Activity Ratios
Quarterly Data

Evaluates revenues and output generated by the GE Aerospace assets. Operating performance ratios describe the relationship between the GE Aerospace level of operations and the assets needed to sustain operating activities.

• Short-term Activity Ratios (Summary)
• Inventory Turnover
• Receivables Turnover
• Payables Turnover
• Working Capital Turnover
• Average Inventory Processing Period
• Average Receivable Collection Period
• Operating Cycle
• Average Payables Payment Period
• Cash Conversion Cycle

Common-Size Income Statement
Quarterly Data

Income statement components (revenues and expenses) shown as percentage of total sales.

Common Stock Valuation Ratios
Quarterly Data

Relative valuation technique determine the value of GE Aerospace by comparing it to similar entities (like industry or sector) on the basis of several relative ratios that compare its stock price to relevant variables that affect the stock value, such as earnings, book value, and sales.

• Historical Valuation Ratios (Summary)
• Price to Earnings (P/E)
• Price to Operating Profit (P/OP)
• Price to Sales (P/S)
• Price to Book Value (P/BV)