A look into how the focus on alternate energy will result in profitable opportunities for the company
General Electric Company’s (NYSE:GE) CEO, Jeff Immelt showed his commitment to work on increasing its exposure to the alternate energy. This is evident from his interest in buying Adwen Wind Farm.
According to General Electric’s top executives, power generation and renewable energy is the most lucrative segment of the industry. The company expects strong orders coming from equipment and services, which will help boost the sales of renewables.
French Utility EDF has authorized the company to build 1500 MW of the plant on the French Coast. If the company proceeds ahead with Adwen, it will be of huge advantage. Siemens, on the other hand, has also expressed its interest in purchasing Adwen wind farm. If they are able to successfully purchase it, it will result in the creation of the largest wind turbine maker.
Recently, General Electric shed its consumer and finance business, due to increased focus on the industrial segment. The company believes that the slump in oil prices will continue, and as a result, focus on alternate energy which is the key to spread risks.
The company stated that in past, it has made several decisions which have proved profitable for the company. Its acquisition of Alstom strengthened the company’s weak grid business. Furthermore, it stated that it plans on expanding its digital sales to over $6 billion. It plans on doing this by focusing on software and increased productivity.
General Electric Company stock traded at $30.31 falling 0.16% as at 12:38 PM EDT. The company has a market cap of $280.09 billion. The company trades in the 52-week range of $19.37-$32.05.