General Electric Company(GE) announced an agreement has been made for them to acquire the aviation business of Italy based aerospace company, Avio for $4.3 billion..
This acquisition will expand GE’s business by creating additional supply chain relationships. Avio, which offers low-pressure turbine systems, accessory gearboxes, geared systems, and combustors is expected to increase production of their products as consumer demand continues to rise.
GE shares were down 23 cents, or -1.09% during premarket trading Friday. The stock is up 17.5% YTD.
The Bottom Line
Shares of General Electric (GE) have a 3.61% dividend yield, based on last night’s closing stock price of $21.05. The stock has technical support in the $19-$20 price area. If the shares can firm up, we see overhead resistance around the $22-$23 price levels.
General Electric Company(GE) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.