General Electric Company (GE)’s Stock Is Frustrating But Could Improve: Jim Cramer


General Electric Company (NYSE:GE) is a very frustrating stock, CNBC‘s Jim Cramer said in a discussion on “Stop Trading,” but it could improve.

The analysis of General Electric Company (NYSE:GE) comes after Credit Suisse initiated coverage on the stock with a price target of $30 and an “Outperform” rating in a research note released on Monday.

General Electric Company, is GE a good stock to buy, Jim Cramer,

Saying that General Electric Company (NYSE:GE) “is one of the most frustrating stocks that we have ever encountered,” Cramer explained that Credit Suisse recommends buying the stock because of a possible margin improvement for the company.

Cramer also noted that the company’s top line was strong, but its margin was not great leading to a mixed reaction from industry observers about the stock at its most recent earnings report.

Furthermore, Cramer said that Credit Suisse talked in its research note about a General Electric Company (NYSE:GE) oil and gas analyst meeting which could spurn further development in the company. The “Mad Money” host added that among the industrials stocks, General Electric Company is “the one to watch.”

Nonetheless, even though General Electric Company (NYSE:GE) frustrates the CNBC personality, he voiced optimism about a possible improvement for the company.

“[…] I look at this GE call and I say it’s kind of the soul of this market. If this stock can go up, then what people are saying, ‘You know what, I kind of believe in the industrial a lot. I believe the GDP is going to get better worldwide.’ […] GE needs a little bit better growth in order to be able to get those margins to be a little bit better but it could happen,” he said.

In its latest quarterly performance statement, the company reported earnings of $3.9 billion, or $0.39 earnings per share, up from $3.7 billion, or $0.37 earnings per share, in the same quarter a year ago, on revenue of $36.2 billion.

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