Stock Analysis on Net
Stock Analysis on Net

General Electric Co. (NYSE:GE)

Analysis of Solvency Ratios
Quarterly Data

Beginner level

Solvency Ratios (Summary)

General Electric Co., solvency ratios (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Debt Ratios
Debt to equity 2.11 2.39 2.43 2.41 3.21 3.34 2.95 3.06 3.55 3.66 2.10 2.25 2.09 1.79 1.81 1.73 1.80 1.82 1.84 2.04
Debt to capital 0.68 0.70 0.71 0.71 0.76 0.77 0.75 0.75 0.78 0.79 0.68 0.69 0.68 0.64 0.64 0.63 0.64 0.65 0.65 0.67
Debt to assets 0.30 0.31 0.32 0.32 0.34 0.35 0.34 0.34 0.36 0.37 0.34 0.35 0.36 0.36 0.38 0.37 0.37 0.39 0.39 0.40
Financial leverage 7.13 7.64 7.62 7.43 9.40 9.42 8.71 8.96 9.98 9.91 6.22 6.40 5.88 4.97 4.79 4.72 4.82 4.73 4.72 5.07
Coverage Ratios
Interest coverage 2.59 2.16 2.11 2.64 1.27 1.10 -3.71 -3.01 -2.98 -5.55 -0.83 -0.84 -0.81 2.48 2.71 3.17 2.80

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. General Electric Co.’s debt to equity ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. General Electric Co.’s debt to capital ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. General Electric Co.’s debt to assets ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. General Electric Co.’s financial leverage ratio increased from Q2 2020 to Q3 2020 but then decreased significantly from Q3 2020 to Q4 2020.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. General Electric Co.’s interest coverage ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.

Debt to Equity

General Electric Co., debt to equity calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Selected Financial Data (US$ in millions)
Short-term borrowings 4,778  6,429  9,455  18,766  23,727  18,544  17,043  17,303  14,724  17,905  15,741  20,706  26,016  28,835  30,726  28,992  31,131  33,746  33,932  53,862 
Long-term borrowings 70,288  73,034  72,423  66,388  67,155  74,701  88,735  90,223  95,234  97,060  99,832  105,134  108,575  107,557  103,676  99,674  105,080  115,686  122,504  132,187 
Total debt 75,066  79,463  81,878  85,154  90,882  93,245  105,778  107,526  109,958  114,965  115,573  125,840  134,591  136,392  134,402  128,666  136,211  149,432  156,436  186,049 
 
Total GE shareholders’ equity 35,552  33,269  33,674  35,284  28,316  27,935  35,816  35,161  30,981  31,454  55,069  55,965  64,263  76,105  74,148  74,534  75,828  81,882  84,991  91,088 
Solvency Ratio
Debt to equity1 2.11 2.39 2.43 2.41 3.21 3.34 2.95 3.06 3.55 3.66 2.10 2.25 2.09 1.79 1.81 1.73 1.80 1.82 1.84 2.04
Benchmarks
Debt to Equity, Competitors2
3M Co. 1.46 1.65 1.91 2.22 2.02 1.82 1.57 1.69 1.49 1.45 1.40 1.43 1.21 0.96 0.97 1.07 1.13 1.03 0.99 0.95
Honeywell International Inc. 1.28 1.23 1.22 0.91 0.87 1.03 0.91 0.86 0.89 1.00 0.97 1.04 1.04 0.80 0.81 0.78 0.81 0.83 0.75 0.77

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

1 Q4 2020 Calculation
Debt to equity = Total debt ÷ Total GE shareholders’ equity
= 75,066 ÷ 35,552 = 2.11

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. General Electric Co.’s debt to equity ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.

Debt to Capital

General Electric Co., debt to capital calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Selected Financial Data (US$ in millions)
Short-term borrowings 4,778  6,429  9,455  18,766  23,727  18,544  17,043  17,303  14,724  17,905  15,741  20,706  26,016  28,835  30,726  28,992  31,131  33,746  33,932  53,862 
Long-term borrowings 70,288  73,034  72,423  66,388  67,155  74,701  88,735  90,223  95,234  97,060  99,832  105,134  108,575  107,557  103,676  99,674  105,080  115,686  122,504  132,187 
Total debt 75,066  79,463  81,878  85,154  90,882  93,245  105,778  107,526  109,958  114,965  115,573  125,840  134,591  136,392  134,402  128,666  136,211  149,432  156,436  186,049 
Total GE shareholders’ equity 35,552  33,269  33,674  35,284  28,316  27,935  35,816  35,161  30,981  31,454  55,069  55,965  64,263  76,105  74,148  74,534  75,828  81,882  84,991  91,088 
Total capital 110,618  112,732  115,552  120,438  119,198  121,180  141,594  142,687  140,939  146,419  170,642  181,805  198,854  212,497  208,550  203,200  212,039  231,314  241,427  277,137 
Solvency Ratio
Debt to capital1 0.68 0.70 0.71 0.71 0.76 0.77 0.75 0.75 0.78 0.79 0.68 0.69 0.68 0.64 0.64 0.63 0.64 0.65 0.65 0.67
Benchmarks
Debt to Capital, Competitors2
3M Co. 0.59 0.62 0.66 0.69 0.67 0.64 0.61 0.63 0.60 0.59 0.58 0.59 0.55 0.49 0.49 0.52 0.53 0.51 0.50 0.49
Honeywell International Inc. 0.56 0.55 0.55 0.48 0.46 0.51 0.48 0.46 0.47 0.50 0.49 0.51 0.51 0.44 0.45 0.44 0.45 0.45 0.43 0.43

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

1 Q4 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 75,066 ÷ 110,618 = 0.68

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. General Electric Co.’s debt to capital ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.

Debt to Assets

General Electric Co., debt to assets calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Selected Financial Data (US$ in millions)
Short-term borrowings 4,778  6,429  9,455  18,766  23,727  18,544  17,043  17,303  14,724  17,905  15,741  20,706  26,016  28,835  30,726  28,992  31,131  33,746  33,932  53,862 
Long-term borrowings 70,288  73,034  72,423  66,388  67,155  74,701  88,735  90,223  95,234  97,060  99,832  105,134  108,575  107,557  103,676  99,674  105,080  115,686  122,504  132,187 
Total debt 75,066  79,463  81,878  85,154  90,882  93,245  105,778  107,526  109,958  114,965  115,573  125,840  134,591  136,392  134,402  128,666  136,211  149,432  156,436  186,049 
 
Total assets 253,452  254,315  256,487  262,021  266,048  263,009  312,109  315,082  309,129  311,691  342,769  358,109  377,945  378,038  355,473  351,643  365,183  387,694  401,461  462,193 
Solvency Ratio
Debt to assets1 0.30 0.31 0.32 0.32 0.34 0.35 0.34 0.34 0.36 0.37 0.34 0.35 0.36 0.36 0.38 0.37 0.37 0.39 0.39 0.40
Benchmarks
Debt to Assets, Competitors2
3M Co. 0.40 0.43 0.46 0.49 0.45 0.46 0.41 0.42 0.40 0.40 0.39 0.41 0.37 0.33 0.33 0.35 0.35 0.36 0.35 0.34
Honeywell International Inc. 0.35 0.35 0.35 0.28 0.27 0.31 0.28 0.28 0.28 0.29 0.29 0.30 0.30 0.30 0.30 0.29 0.29 0.30 0.27 0.28

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

1 Q4 2020 Calculation
Debt to assets = Total debt ÷ Total assets
= 75,066 ÷ 253,452 = 0.30

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. General Electric Co.’s debt to assets ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.

Financial Leverage

General Electric Co., financial leverage calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Selected Financial Data (US$ in millions)
Total assets 253,452  254,315  256,487  262,021  266,048  263,009  312,109  315,082  309,129  311,691  342,769  358,109  377,945  378,038  355,473  351,643  365,183  387,694  401,461  462,193 
Total GE shareholders’ equity 35,552  33,269  33,674  35,284  28,316  27,935  35,816  35,161  30,981  31,454  55,069  55,965  64,263  76,105  74,148  74,534  75,828  81,882  84,991  91,088 
Solvency Ratio
Financial leverage1 7.13 7.64 7.62 7.43 9.40 9.42 8.71 8.96 9.98 9.91 6.22 6.40 5.88 4.97 4.79 4.72 4.82 4.73 4.72 5.07
Benchmarks
Financial Leverage, Competitors2
3M Co. 3.68 3.82 4.15 4.55 4.44 3.98 3.86 4.03 3.73 3.64 3.55 3.51 3.29 2.90 2.93 3.03 3.20 2.84 2.79 2.81
Honeywell International Inc. 3.68 3.51 3.50 3.25 3.17 3.32 3.23 3.12 3.18 3.40 3.40 3.46 3.44 2.69 2.73 2.70 2.80 2.79 2.73 2.77

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

1 Q4 2020 Calculation
Financial leverage = Total assets ÷ Total GE shareholders’ equity
= 253,452 ÷ 35,552 = 7.13

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. General Electric Co.’s financial leverage ratio increased from Q2 2020 to Q3 2020 but then decreased significantly from Q3 2020 to Q4 2020.

Interest Coverage

General Electric Co., interest coverage calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016
Selected Financial Data (US$ in millions)
Net earnings (loss) attributable to the Company 2,636  (1,144) (1,987) 6,199  729  (9,423) 127  3,588  761  (22,769) 800  (1,147) (9,642) 1,836  1,367  653  3,668  2,027  2,908  228 
Add: Net income attributable to noncontrolling interest (51) (145) 34  (7) 40  (23) 57  99  (90) (131) 34  (39) (142) (13) (76) (9) (76) (85) (121)
Less: Earnings (loss) from discontinued operations, net of taxes 81  (35) (179) (123) (8,093) 219  2,662  (93) 40  (120) (1,553) 182  (106) (145) (239) (1) (105) (540) (308)
Add: Income tax expense 162  (500) (200) 63  727  41  (181) 139  (95) 163  542  (27) (2,741) (334) 16  16  (766) 18  461  (177)
Add: Interest and other financial charges 737  745  997  794  954  1,279  929  1,065  1,252  1,227  1,295  1,285  1,324  1,232  1,174  1,139  1,002  961  1,326  1,736 
Earnings before interest and tax (EBIT) 3,458  (915) (1,342) 7,269  2,526  30  633  2,187  2,110  (21,509) 2,626  1,698  (11,280) 2,698  2,689  1,971  3,896  3,035  5,150  1,974 
Solvency Ratio
Interest coverage1 2.59 2.16 2.11 2.64 1.27 1.10 -3.71 -3.01 -2.98 -5.55 -0.83 -0.84 -0.81 2.48 2.71 3.17 2.80
Benchmarks
Interest Coverage, Competitors2
Honeywell International Inc. 17.75 18.10 20.68 23.18 22.17 22.10 21.62 21.10 21.40 21.63 22.50 22.88 22.84 21.93 21.39 20.95 20.07

Based on: 10-K (filing date: 2021-02-12), 10-Q (filing date: 2020-10-28), 10-Q (filing date: 2020-07-29), 10-Q (filing date: 2020-04-29), 10-K (filing date: 2020-02-24), 10-Q (filing date: 2019-10-30), 10-Q (filing date: 2019-07-31), 10-Q (filing date: 2019-04-30), 10-K (filing date: 2019-02-26), 10-Q (filing date: 2018-10-30), 10-Q (filing date: 2018-07-27), 10-Q (filing date: 2018-05-01), 10-K (filing date: 2018-02-23), 10-Q (filing date: 2017-10-30), 10-Q (filing date: 2017-07-28), 10-Q (filing date: 2017-05-05), 10-K (filing date: 2017-02-24), 10-Q (filing date: 2016-11-02), 10-Q (filing date: 2016-08-01), 10-Q (filing date: 2016-05-04).

1 Q4 2020 Calculation
Interest coverage = (EBITQ4 2020 + EBITQ3 2020 + EBITQ2 2020 + EBITQ1 2020) ÷ (Interest expenseQ4 2020 + Interest expenseQ3 2020 + Interest expenseQ2 2020 + Interest expenseQ1 2020)
= (3,458 + -915 + -1,342 + 7,269) ÷ (737 + 745 + 997 + 794) = 2.59

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. General Electric Co.’s interest coverage ratio improved from Q2 2020 to Q3 2020 and from Q3 2020 to Q4 2020.