Barclays analyst Julian Mitchell upgraded General Electric (GE) to Overweight from Equal Weigh with an unchanged price target of $16. The analyst says that while he does not yet know the magnitude of the 2018 guidance cuts, his talks with investors suggest they are braced for earnings per share of 75c for 2018, free cash flow of 50c, and a dividend cut of 75%-plus. Given that "substantial" restructuring announcements are likely in the near-term, further reductions to estimates "may soon draw to a close as restructuring savings are realized," Mitchell tells investors in a research note partially titled "Phoenix may start to emerge from the flames." In addition, the analyst believes the value of GE's Aviation and Healthcare units is equivalent to its entire enterprise value. When deducting the company's Industrial net debt, this implies that at the current share price investors are getting all of GE's other assets, namely Power, Baker Hughes, Renewables, Lighting and Transportation, "for free," Mitchell contends. Further, he expects additional Power cost-cuts could yield $2B-plus of savings, and that the Baker Hughes (BHGE) stake is worth greater than $20B. This suggests "these other assets could start to look very undervalued," says Mitchell. His "Blue Sky" scenario implies upside to over $20 for shares of GE. The stock in premarket trading is up 30c to $13.48.

BofA analyst Ronald Epstein raised the firm's price target on GE Aerospace to $180 from $165 and keeps a Buy rating on the shares. GE boasts a unique portfolio with exposure across aircraft manufacturers, aircraft classes, legacy/new/nextgen platforms, and aftermarket/OE customers, says the firm, which believes GE is "strongly positioned to benefit from secular commercial aero growth."

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.  1... To see the rest of the story go to thefly.com. See Story Here

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.  1... To see the rest of the story go to thefly.com. See Story Here

Unusual total active option classes on open include: ImmunityBio (IBRX), Halliburton (HAL), Redfin (RDFN), Nokia (NOK), Matterport (MTTR), General Motors (GM), UPS (UPS), Philip Morris (PM), PepsiCo (PEP), and General Electric (GE).

Check out this morning's top movers from around Wall Street, compiled by The Fly. UP AFTER EARNINGS... To see the rest of the story go to thefly.com. See Story Here

Expects FY24 margins up about 50 bps vs. flat previously. Says "encouraged" by strong start to year.

Says all segments contributed to growth in Q1. Says "great confidence" in forward trajectory. Says demand "remained resilient" in Q1. Says can track about 80% of delivery challenges to 15 suppliers. Comments taken from Q1 earnings conference call.

Sees FY24 revenue growth LDD+, consensus $36.43B. Sees FY24 free cash flow greater than $5B, greater than 100% conversion. Commercial Engines & Services: Continue to expect revenue growth of mid-to-high teens and increasing operating profit to a range of $6.1 to $6.4 billion, up from our original guidance of $6.0 to $6.3 billion. Defense & Propulsion Technologies: Continue to expect revenue growth of mid-single-digits to high-single-digits and operating profit of $1.0 to $1.3 billion. Corporate: Continue to expect cost of approximately $1 billion, including $600 million of expense and $400 million of eliminations.

Reports Q1 revenue $16.1B, consensus $15.34B. GE Aerospace Chairman and CEO H. Lawrence Culp, Jr. said, "We marked a new beginning in early April with the successful spin-off of GE Vernova and launch of GE Aerospace, completing our multi-year transformation. Our teams achieved this milestone while delivering strong results in the first quarter led by significant profit and cash growth at GE Aerospace." Culp continued, "At GE Aerospace, Commercial Engines & Services and Defense & Propulsion Technologies drove double-digit revenue, profit and free cash flow growth in the quarter. Given our solid start to the year and outlook for the remainder of 2024, we are raising our full-year profit and free cash flow guidance. Moving forward as a focused global aerospace leader, we will continue to prioritize safety, quality, delivery, and cost - always in that order - while also investing in our future and driving long term profitable growth."