Buy General Electric Stocks – How To Buy General Electric Stocks 2021

Fact Checked by Gary McFarlane

General Electric (GE) is a global conglomerate with business subsidiaries in industries that relies heavily on electrically-powered machines. 

However, in the early 2000s and driven mainly by new economic realities, the Thomas Edison-founded company crawled out of its shells to set up a financial arm.

That decision was soon to be regretted as the 2007-08 financial crisis shook the company’s resilience. GE stocks crashed from $30 to $7.

But recently, despite being one of the Covid-hit companies, its shares have recovered enough to be worth almost $100 per piece. 

But do these constitute sufficient reasons to invest in GE stocks right now? 

In this guide, we have gathered the different pros and cons of investing in General Electric stocks, plus a detailed guide on how to buy them. 

eToro – #1 Broker to Buy General Electric Stocks

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How to Buy General Electric stocks -A Quick Guide for 2021

We will start with this handy guide, just in case you stumble onto this article while trying to figure out how to buy General Electric stocks.

  • Step 1: Create an investor’s account with eToro – On your browser’s search bar, type “eToro.com,” and you will be taken to the homepage. Click “Join Now” and complete the form. 
  • Step 2: Verify your account – In compliance with regulation, eToro can only permit KYC-verified investors to trade stocks on its platform.
  • Step 3: Deposit into the account – Use any available funding methods to deposit into your account. 
  • Step 4: Invest in General Electric – With your account funded (by at least $50), go to the site’s search bar and type “General Electric,” then click on “Trade.” 
  • Step 5: Buy GE stocks – On the new screen, enter the number of funds you wish to invest. You can buy fractional amounts.

68% of retail investor accounts lose money when trading CFDs with this provider.

Where to Buy General Electric Stocks – Choose a Broker 

Selecting the appropriate broker to trade with is as important as any investment decision. 

However, with a myriad of options available nowadays, it really becomes difficult finding that one broker that meets all the requirements. 

But luckily for you, we have done all the research. We selected a few of the best stock trading sites available and compared them by their strengths.

Below are the three best stock brokers where you can trade General Electric stocks: 

  1. eToro – Best Optimized Platform to Invest in General Electric stocks
  2. Capital.com – Invest in General Electric stocks and Diversify Your Portfolio

As you read, you will find a full-length review of the above trading sites further down below in this guide. 

General Electric Stocks – About the Company

General Electric Co. was founded in 1892 and is presently headquartered in Fairfield, Connecticut, USA. 

The name may not ring a bell for the average millennial investor who is often attracted to Tesla, Amazon, Facebook, etc. 

But If you have ever boarded a flight, driven a software-assisted car, or been through an x-ray machine, then it’s very likely you have a taste of what it feels like to use this company’s products. 

General Electric business operations cut across the following sectors: healthcare, power resources, digital media, aviation, venture capital, and consumer financing, light, renewable energy, and petroleum. 

Safe to say, the 120+ some year old company is easily the most diversified company on earth. 

Aside from that, General Electric holds a leading position in most of these areas, especially in the aviation sector as a builder of aircraft, jet engines, and a military aircraft maintenance service. 

The company’s interest in the oil and gas sector has also seen it manufacture some of the best products for pipeline compression and petroleum processing. 

Meanwhile, GE’s trademarked X-rays machines in the healthcare space, and similar diagnostic imaging systems are usually the most advanced. 

Where to Buy General Electric Stocks – Full Broker Reviews

Selecting the right stockbroker to invest with requires considering several factors. 

These include trade execution speed, commission fee structure, regulatory compliance, order completion algorithm, analytic and research tools, and most importantly, reviews by existing and previous users. 

That said, we will now proceed to analyze eToro, and Capital.com using the above points. 

1. eToro – Best Optimized Platform to Buy General Electric Stocks

eToro launched in 2007, making it one of the oldest stock brokerage platforms. 

And with over 20 million users spread across almost 140 countries, it is one of the most globally adopted stock trading companies. 

However, its popularity has more to do with the fact that eToro pioneered the copy trading initiative now being replicated on my trade platforms. 

Below are some in-depth discussions on this tool and other aspects of eToro.

Copy Trading

As the name implies, the feature allows investors to copy the trade setups of professional investors that have higher success rates than other traders. 

Though specifically designed for beginner-level investors, experienced traders with busy schedules can use it to create automated passive income streams. 

Security & Privacy

When choosing a broker, both of the above go together. 

That said, eToro is regulated by more than four legal authorities from tier-one and tier-two jurisdictions. 

They are the FCA, CySEC, ASIC, SEC, and others. With these, you can rest assured your funds and data are well protected by law. 

Moreover, eToro currently employs SSL encryption technology on its website to prevent unauthorized access by hackers. 

However, for your benefit, it’s recommended to activate the 2FA login method should your regular account sign-in details get exposed. 

Trading and transaction fees

Unlike other providers in its niche, eToro runs a commission-free stock trading service. Meaning, you can buy General Electric stocks at no cost. 

It generates its revenue through spreads which typically range between 1.9% and 2.9% (the figures fluctuate with the latest market conditions). 

It’s also interesting to note that eToro set the entry barrier at a much lower level; with as little as $50, any qualified investor (above 18+) can start trading stocks. 

Cryptocurrency trading

For experienced investors who might want to trade General Electric stocks and cryptocurrencies simultaneously, they can do it all here. 

There are currently about 17 crypto tokens listed on eToro, with newer ones getting added every now and then. 

However, if you are a beginner investor, be informed that these are some notoriously volatile assets. 

Pros

  • 0% commission trading
  • $50 minimum investment
  • Multiple payment methods
  • Regulated
  • Large user base
  • Beginner-friendly
  • Copy Trading

Cons

  • MetaTrader (MT4 & MT5) not supported
  • May not be suitable for advanced-level investors

68% of retail investor accounts lose money when trading CFDs with this provider.

2. Capital.com – Buy General Electric Stocks and Diversify Your Portfolio.

Capital was established in 2016 to revolutionize online stock trading using high-tech tools.

Though one of the youngest stock trading platforms, Capital.com stands out for the exceptional services it offers.  

On the other hand, sophisticated investors will be wowed with a fleet of proprietary market tracking available features. One of which is the Integration of AI technology in the mobile app. 

And as might be expected, these strategies have yielded tremendous results, with customers from over 183 countries preferring Capital.com as the go-to destination for stock trading. 

Below we will take you through a rundown on some of its key features:

Security & Privacy 

Capital.com introduces a new protection feature that protects users’ funds from plunging below the negative balance. 

The mechanism is beneficial for leverage traders who, at any time, are vulnerable to incurring large-scale losses as a result of their amplified positions. 

In addition to this, the broker holds a strong reputation for adhering to regulatory standards on clients’ data protection. 

For UK customers, deposited funds are insured for up to £85k by the FDIC. Lastly, Capital.com is regulated by the CySEC, FCA, ASIC, NBRB, etc. 

Trading and transaction fees

Like eToro, investors can trade stocks and other kinds of assets here without paying commission charges. 

The spreads can be as low as 0.6 pips which is considerably more favorable to traders when compared with other providers.

Moreover, most of the deposits and withdrawals are available on fee-less terms. However, for the bank wire option, the minimum deposit requirement is $250. 

Assets Diversity

The catalog of assets listed on Capital.com is more than 3700, ranging from stocks, crypto, significant commodities, currencies, and other different kinds of securities. 

This broad range of assets makes it a one-stop destination for professional investors with the most complex diversification strategy.  

Customer Experience

Capital.com makes trading stocks look super easy. It achieves this by providing users with steadily updated trading information, news, and technical support. 

The interface design is so intuitive that an even newbie investor can easily walk through the platform. 

Capital.com provides demo trading, meaning you can sign up to test the platform on a virtual account using real-time stock market data. We often recommend this as a crucial first step for beginner investors. 

The broker has also pioneered AI-assisted smart trading, which would be especially useful for established traders, ushering in a whole new level of ease. 

Pros

 

  • Live updates for over 3700 stocks
  • Zero-commission trading with no hidden fees
  • Competitive spreads
  • Ultra-fast order execution
  • Demo trading available
  • Low minimum deposit requirement
  • Tech-powered smart trading
  • 24/7 customer support in about 24 languages

Cons

  • US-persons not welcomed 
  • Not battle-tested like eToro
  • Limited to CFDs and stocks

68% of retail investor accounts lose money when trading CFDs with this provider.

What are the Different Ways to Buy General Electric Stocks? 

There are several options to select from when you consider investing in General Electric Co. 

However, looking at the sea of choices available might get you feeling overwhelmed. 

While most investors will prefer investing in a stock, it is still a gamble with no guarantees. Stocks sometimes get overvalued, essentially turning into a bubble that might burst anytime. 

One way out of the dilemma is to learn everything about the different types of investments, a task that’s often complicated due to excessive use of financial jargon. 

To make it easier for you, we have analyzed the pros and cons of the three main ways you can invest in General Electric stocks in the most comprehensive language possible. 

Buy General Electric Stock

Stock investing is one of the easiest ways to make a financial bet on General Electric. The approach works perfectly for a long or short-term investment strategy.

Also, General Electric is one of several dividend-paying shares on the New York Stock Exchange.

That means there is an extra perk of benefits attached when you invest in GE’s stocks; Aside from becoming a fractional owner of the company, you will receive quarterly payouts from the company’s revenue. 

If you invest for a lengthy duration, the passive incomes will make waiting for your investments’ maturity less burdensome. 

However, it’s essential to know that the value of the dividend payment you will receive varies directly with the number of shares you purchase. 

Another benefit of investing in GE’s stocks is the voting rights it confers that allow you to influence critical decisions during shareholders’ meetings.

Your voting power depends on the number of shares you buy. 

Invest In General Electric Stocks through CFDs

CFD is a somewhat more profitable alternative to investing directly in General Electric stocks. That is, you are only getting speculative exposure to the assets without actually buying or selling them. 

However, we will tell you right off the bat that this method is full of risks; your positions can get instantly liquidated, leaving you with “dust.” 

Just to provide an extra context to this, an investment in shares can at worst suffer a massive depreciation but would at no time ever get liquidated even in a worst-case scenario that the company ceases to exist. 

In addition, CFDs exclude you from receiving the benefits that come with buying and holding GE’s stocks.

However, there is always a chance to make far more money than you can earn from receiving quarterly dividend payouts and watching your stocks’ investment value grow.  

Invest In General Electric Through an ETF

Exchange-Traded Funds are a unique way to access investment opportunities in the stock market.

These funds, which are often created and managed by brokers or investment managers, consist of various assets by different companies.

From that definition, a General Electric ETF is one in which GE’s stocks have a more significant ratio in weight relative to the other assets. 

Aside from being a heterogeneous mix of different companies’ assets, ETFs possess little difference from stocks; however, not all ETFs pay dividends. 

However, the one exciting thing about ETFs is that they can be done hands-off; the funds’ management company usually assigns a professional trader to draw the profit strategy, oversee the daily performance of the funds, and other critical decisions.

Thus, in the end, ETFs are the overall best ways to invest in General Electric as they are more stable.

Are General Electric Stocks Good for Investments right now? 

GE’s stocks lagged for many years on the NYSE exchange. While recent strategic moves by the company may finally suggest flickers of lights at the end of the tunnel, analyzing its share is still an arduous task. 

We will discuss the key reasons behind the above assessment so you can better understand the situation:

Ongoing recovery from recent struggles

You would think GE’s status as a conglomerate invested in multiple sectors will give it a solid footing to wade off the impact of the COVID-19 pandemic effectively. 

However, the company’s most prominent business interest (and primary source of revenue) revolves around fossil fuel-based technologies such as gas turbines, aircraft, and virtually every aspect of aviation. 

It invariably means there is an inevitable doom if services demand in the travel industry dwindles, yet this is precisely what happened. 

The Health Care, Power, and Renewable Energy branches didn’t escape either. As a result, GE’s stocks crashed massively, although there have been some significant recovery levels ever since. 

Debt – Poor Run of Managements Appointees

In a bid to sustain its long-term recovery and align appropriately with shifting market conditions, General Electric has had two key managerial changes in less than a year. 

In 2017 when Flannery was appointed, the company began a vast and costly restructuring program leading to several poor decisions that caused debt to balloon to about $115 billion. 

Keeping those liabilities on the books would not have been the best option. Hence certain divisions had to be sold to offset the company’s debt. One of which was GE’s locomotive unit. 

Under current hire CEO Larry Culp, the debt-necessitated sell-offs continued as GE shed off GEGAS and the company’s biopharma projects. 

Investors Trust on CEO – Division Splits

Unlike his predecessors, Culp seemed to be having a great ride so far; under his reign, there have been notable operational improvements in GE Power and GE Renewable Energy and an overall reduction in running cost. 

However, most bearish investors remain unconvinced in the company’s management team capabilities.

Such is the negative sentiment that has trailed the recent announcement by the company to branch out into three independently run subdivisions: GE Health, GE Aviation, and GE Energy, all of which will be publicly traded. 

Regardless, that decision is a step in the right direction. Here are the reasons: 

  • The stand-alone subsidiaries would be more focused, more robust, and simpler to manage. 
  • The new companies could trade at higher valuation multiples than they would under the umbrella of a “unifying General Electric Co.” stock. 

The proposed timeline to implement these changes runs for almost three years. Nevertheless, General Electric’s long and hard-fought recovery journey wouldn’t be in vain if these pans out as expected.

Why should I Buy General Electric Stocks? 

Except for a few investors who might have invested in Internet companies, the Covid-19 pandemic created a bear market that crashed several industries. 

But if anything at all, it also created an unprecedented opportunity for prudent investors who might have taken a cue from Warren Buffett; many companies became good targets for value investing. 

Primal among them was General Electric stocks. The post-pandemic data for the company bears glaring evidence to that. 

With COVID-19 infection potentially behind us now, and airline services back on high demand (to name a few), there are compelling reasons to invest in General Electric right now. 

How to Buy General Electric Stocks Using eToro – The Full Guide

Here is a complete step-by-step guide for using the eToro brokerage platform to carry out commission-free stock trading: 

Step 1: Create an investor’s account with eToro

This is easy. On your browser’s search bar, type “eToro.com,” and you will be taken to the homepage. 

Click on Join Now, then you will be redirected to the sign-up page. Fill and submit the form. An email verification mail should drop your inbox. Open to confirm your email address.

Step 2: Verify your account

In compliance with regulation, eToro can only permit KYC-verified investors to trade stocks on its platform. All you will need is a photo ID (passport or driving license) and proof of address (a utility bill or bank statement).

Step 3: Deposit into the account

Before you can start, you need funds in your account. eToro provides different payment methods like Paypal, Skrill, and bank wires.

Just click the Deposit button and select whichever one you prefer.

Step 4: Search for General Electric Stock

With your account funded (by at least $50), go to the site’s search bar and type “General Electric,” then click on “Trade.” 

Step 5: Buy General Electric Stock 

On the new screen, enter the number of funds you wish to invest. Note that eToro permits you to buy fractional shares; you don’t need to make whole number purchases. 

Conclusion

As you come to the end of the article, we trust you found sufficient tips and analytical data to make an informed decision whether it’s good for you to invest in General Electric stocks or not. 

And just in case you decide to buy the stocks right away after reading through this guide, we added a detailed review of two of the best brokers available for that – eToro and Capita.com

Let us know in the comments section if you found the article helpful. 

Best Broker to Buy General Electric Stocks- eToro

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$50Exclusive promotion
Our score10
  • Buy over 800 stocks with 0% commission
  • Social trading network
  • Copy over 12 million traders and investors
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FAQs – Frequently Asked Questions

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About Shrey Jain PRO INVESTOR

Shrey Jain is a Chartered Accountant who holds a forte in creating informative content on niches like Blockchain, crypto, business, and fintech. He is also a contributor on Benzinga, Hackernoon, Publish0x, and Seeking Alpha. He can help readers get valuable insights on varied topics.