General Electric (NYSE: GE) closed at $28.06 Tuesday.

GE is scheduled to report Q2 EPS on July 11.

Goldman Sachs says: "Higher uncertainty, lower expectations into 2Q; remain Neutral."

GE July option implied volatility is at 44, August is at 33; above its 26-week average of 30 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

General Electric Company (NYSE: GE) is scheduled to report second quarter earnings this Friday. Ten analysts that Zacks surveys expect GE to make 53 cents a share, the same as it did in 2007. Given that 0% growth rate, GE's forward Price/Earnings ratio of 12.1 seems a bit on the high side.

But after the spanking that CEO Jeff Immelt took after missing in the first quarter by 13.7%, he could be guiding analysts lower only to surprise them on the upside. This makes me wonder whether analysts have a higher, whisper number in mind. GE stock is down 32% since Immelt took over on September 7, 2001, but with the exception of the first quarter, over the last five years GE has increased earnings at an 8.1% annual rate.

If it got back on that track in the second quarter, then investors would expect GE to earn 57 cents a share, instead of the official 53 cents. In that case, GE stock would fall unless it exceeded 57 cents a share. I have not been able to determine whether there is such a whisper number floating around Wall Street, but there's no question in my mind that Immelt cannot afford to report a number less than 53 cents a share if he wants to keep his job.

"They don't get much more blue-chip than General Electric (NYSE: GE)," says Nilus Mattive. I his top-notch Dividend Superstars, he takes a look at the industrial gain which offers an indicated yield of 4.4%.

"GE is the only company that has remained in the Dow Jones Industrial Average from day one, the company was founded in 1890 by none other than Thomas Alva Edison to market his various inventions.

"GE's broad diversification is both a blessing and a curse. On one hand, it affords the firm plenty of protection from a major decline in any one business.

"On the other, it has led to a very complicated enterprise with inherently limited growth prospects. Yet despite the company's size, it has still managed to increase its revenues internally by about 9% a year.

MAJOR PAPERS:

• The Financial Times reported that Bain Capital, The Blackstone Group LP (NYSE: BX) and General Electric Company's (NYSE: GE) NBC universal will acquire The Weather Channel properties from Landmark Communications for approximately $3.2B in a leveraged buy-out. The Weather Channel will be run separately.
• A top Goldman Sachs Group Inc (NYSE: GS) trader is defecting to GLG Partners Inc (NYSE: GLG), the UK's second-largest hedge fund. Goldman's Driss Ben-Brahim, a partner in the firm and the head of its emerging market trading business, will take over GLG's $1.2B emerging markets special situations fund, the Financial Times reported.

OTHER PAPERS:

• Take-Two Interactive Software Inc (NASDAQ: TTWO), which makes video games, will probably sign video game creator Ken Levine to a new contract. The deal would bolster Take Two's argument that its value exceeds the $25.74 per share that Electronic Arts Inc (NASDAQ: ERTS) has offered as a takeover price for the company, The New York Post believes.

WEB SITES:

• Reuters reported that Deutsche Bank AG (NYSE: DB) is the only bidder remaining for Citigroup Incorporated's (NYSE: C) German retail operations. Sources said Commerzbank AG (OTC: CRZBY) dropped out of the running on Friday.

As the second half of the year begins, the bear market has nervous investors looking for any sign of a shift in the direction of the market. When the new earnings seasons kicks off Tuesday, Alcoa Inc.'s (NYSE: AA) second-quarter results may offer the first glimpse of what to expect going forward.

Pittsburgh-based Alcoa has missed earnings estimates in just two out of the past five quarters. When the leading aluminum producer reported first-quarter results back in March, its net income of 44 cents per share fell short of the consensus of analysts surveyed by Thomson Financial by four cents, and were down from 79 cents per share in the same quarter of 2007. For this current quarter, analysts expect earnings of 68 cents per share on $7.4 billion in revenue.

In recent news, power supply issues led Alcoa to idle its Rockdale, Tex., facility. The company announced a deal for bauxite mining and alumina processing in Vietnam. Alcoa was named one of the world's most ethical companies and recognized for the best safety performance in its industry. And back in early May, Klaus Kleinfield became Alcoa's president and CEO. For analyst upgrades and downgrades, as well as other news that could influence Alcoa's results, see BloggingStocks' Alcoa coverage.

Alcoa's long-term earnings per share growth forecast is 21.6%, which is less than the metals and mining industry average but better than the S&P 500. The consensus recommendation from analysts is to buy Alcoa, and has been for more than 90 days. The share price has been falling from a recent high of $44. 77 in mid May, and closed at $32.78 on Friday. Shares are down 10.3% year to date.

Bellwether General Electric (NYSE: GE) also reports later in the week, and may also help set the tone for the quarter and the rest of the year.

Visit AOL Money & Finance for more earnings coverage.

U.S. stock futures were mixed early Monday morning after the long holiday weekend to start a week that is also set to kick off second quarter corporate earnings. While oil weakness and the dollar strength helped the mood on the Street, there is much concern over earnings.

U.S. stocks ended mixed on a short trading day Thursday. The Dow Jones Industrial Average climbed 73 points, or 0.65%, but it wasn't enough to pull it out of bear-market territory it fell into during last week. The S&P 500 also climbed 1 point, or 0.11%, but the Nasdaq composite fell 6 points, or 0.27%, on Thursday.

No economic data is scheduled for release Monday, so investor will likely continue to focus on energy prices while anticipating the beginning of earnings season. Oil prices fell more than $2 a barrel Monday to just over $143 a barrel as the dollar strengthened. Still, the dollar is expected to resume its decline and as Mideast tensions continue, traders don't expect oil to decline much further.

Meanwhile, investors in general don't anticipate corporate America to deliver good earnings. The season will officially kick off Tuesday, when Alcoa Inc. (NYSE: AA) reports after the close. General Electric (NYSE: GE), reports Friday. The question seems to be more how bad results will be, and if they would signal a bottom from which stocks could recover.

It is hard to imagine GE (NYSE: GE) ever replacing or cutting the power of its CEO, Jeff Immelt, but the press is mentioning these alternatives ahead of the company's Q2 earnings report. According to The New York Post, "Jeff Immelt, the embattled GE chief executive, has got six months to save his skin."

GE's Q1 earnings were below Wall Street estimates and the only segment of the company which did really well was its huge infrastructure division. Investors question whether the most recently quarter will be any better, especially with a slowing economy.

GE's stock is already down from a 52-week high of $42.15 to its current price of $26.91. Over the last year, the stock is down 30% compared to the Dow, which is off 17%.

GE still faces the problem that many of its shareholder think it is too big to manage and is in too many businesses. Added to that may be trouble growing overseas which the company is counting on to drive revenue. With the some economic problems spreading to the developing world that is hardly a lock.

If GE can't deliver when it announces its next set of numbers, the shares are likely to move closer to $20.

Douglas A. McIntyre is an editor at 247wallst.com.

Well, I was wrong about Sony's (NYSE: SNE) Hancock. Sure, I knew it was going to be the number-one movie over the Fourth of July holiday period, but come on, who didn't know that? As of this writing, Boxofficemojo estimates that the Will Smith picture took in $66 million over the three-day timeframe. However, Hancock had opened earlier in the week, and I thought that, by the time all was said and done, the film's cumulative gross by now would have been well over $100 million. Well, the cume now stands at around $107 million. I was thinking more along the lines of $125 million and above for a total tally by this point. Hancock came in a little weaker than expected, considering what seemed to be a very awesome cinematic experience as communicated by the marketing campaign.

Disney's (NYSE: DIS) Wall-E came in second over the weekend with around $33 million. The Pixar cartoon now has about $128 million to its credit. Wanted, distributed by General Electric's (NYSE: GE) Universal, was third with over $20 million. Time Warner's (NYSE: TWX) Get Smart and DreamWorks Animation's (NYSE: DWA) Kung Fu Panda were fourth and fifth, respectively. Here's an interesting note on Get Smart. Even after the holiday weekend, and after having been out in the marketplace for a few weekends, it still has yet to reach a total gross of $100 million. As of now, it has a little over $98 million in the bank. That number may change a bit when final figures are in, but in this day and age, when a summer movie with such star power (it stars Steve Carell) doesn't reach $100 million by the second weekend or sooner, it can't be considered super blockbuster material.

Well, it wasn't a terribly exciting box-office weekend. Frankly, I thought there would be more fireworks for the Fourth from these films. And as for all the stocks mentioned here, the bear market will probably keep them weak. The most direct play on the movie business is obviously DreamWorks Animation, and I would wait for that one to come in more before thinking about buying.

Disclosure: I own Disney and GE; positions can change at any time.

The new quarter brings with it a new earnings season. While the earnings crunch doesn't begin in earnest until the following week, Alcoa as usual helps kick things off this coming week.

One of the world's leading producers of aluminum, Pittsburgh-based Alcoa Inc. (NYSE: AA) is scheduled to report second-quarter results Tuesday after market close. Analysts surveyed by Thomson Financial on average expect the company to report net income of 68 cents per share on revenue of $7.4 billion. That's down 16% from EPS a year ago. Alcoa has missed estimates in two of the past five quarters -- by four cents in the previous quarter. Analysts have recommend buying AA for more than 90 days. Shares have fallen 10.3% year to date, but the long-term EPS growth forecast is 21.6%.

Beverage distributor Pepsi Bottling Group Inc. (NYSE: PBG) is scheduled to report its second-quarter results Tuesday morning. Analysts are looking for earnings of 75 cents per share, up 6.6% from the same period of the previous year, on revenue of $3.6 billion. PBG has offered up positive surprises recently, by a penny in the previous quarter. However, analysts recommend holding PBG, and have for more than 90 days. The long-term EPS growth forecast is 9.1%, which is better than the industry average. Shares have fallen 27.6% year to date.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• AeroVironment Inc. (NASDAQ: AVAV) beat Q4 estimates on demand for unmanned aircraft.
• Apollo Group Inc. (NASDAQ: APOL) beat Q3 expectations on increased enrollment and tuition collection.
• Campbell Soup Co. (NYSE: CPB) predicted earnings at the high end of the previously announced range.
• Constellation Brands Inc. (NYSE: STZ) posted better-than-expected Q1 earnings, sending shares up.
• Deutsche Bank (NYSE: DB), in an effort to calm investors, said that it expects a Q2 profit.
• Family Dollar Stores Inc. (NYSE: FDO) beat Q3 expectations and raised its Q4 guidance.
• H&R Block Inc. (NYSE: HRB) posted solid Q4 and full-year results and boosted its dividend.
• Kroger Co. (NYSE: KR) posted record Q1 EPS and in-line guidance, and its share buybacks continue.
• Nvidia Corp. (NASDAQ: NVDA) warned of lower Q2 earnings due to slowing demand and lower prices.
• Robbins & Myers Inc. (NYSE: RBN) beat Q3 expectations and raised its Q4 and full-year outlook.
• Thornburg Mortgage Inc. (NYSE: TMA) 2007 results are being investigated by the SEC.
• UnitedHealth Group (NYSE: UNH) cut its full-year outlook due to changing business trends.

More highlights from this past week: BP, Discover, Corel, Citigroup, WD-40, MSCI and others

Also, Peter Cohan points out that a bear market means low earnings expectations, and also that negative surprises are likely to outweigh positive ones in the second half of the year. Aaron Katsman, on the other hand, predicts a rebound for earnings in the second half. And BusinessWeek reminds us that cheap stocks -- even with big names such as Ford Motor Co. (NYSE: F), Sprint Nextel Corp. (NYSE: S), and Northwest Airlines (NYSE: NWA) -- are no bargain if they have no earnings.

Upcoming results to watch for include Alcoa (NYSE: AA), Pepsi Bottling Group (NYSE: PBG), Marriott International (NYSE: MAR), and General Electric (NYSE: GE).

Visit AOL Money & Finance for more earnings coverage.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• Andersons Inc. (NASDAQ: ANDE) lifted its outlook on improved performance of its Plant Nutrient Group.
• BP Plc (NYSE: BP) was upgraded by Societe Generale due in part to its earnings prospects.
• Citigroup Inc. (NYSE: C) has developed an earnings improvement plan based on collective bonuses.
• Corel Corp. (NASDAQ: CREL) solid Q2 results did not address a buyout offer from Vector Capital.
• Discover Financial Services (NYSE: DFS) Q2 earnings were boosted by dumping its Goldfish card division.
• Fortune Brands Inc. (NYSE: FO) lowered its earnings outlook on challenging consumer environment.
• Isle of Capri Casinos Inc. (NASDAQ: ISLE) blamed dismal results on floods and smoking bans.
• MSCI Inc. (NYSE: MXB) strong Q2 results didn't save it from being dumped by Morgan Stanley (NYSE: MS).
• PAREXEL International Corp. (NASDAQ: PRXL) lifted its Q4 and full-year guidance, leading to an upgrade.
• Texas Industries Inc. (NYSE: TXI) was downgraded due to fears about its earnings prospects.
• Taleo Corp. (NASDAQ: TLEO) reaffirmed its outlook as an acquisition would boost results.
• WD-40 Co. (NASDAQ: WDFC) posted solid Q3 results and offered conservative guidance.

More highlights from this past week: Apollo Group, Family Dollar, Kroger, Deutsche Bank and others

Also, while Jim Cramer ponders what will signal the bottom, many investors will be looking at next week's earnings results for General Electric (NYSE: GE), the world's largest conglomerate, as a sign of the direction of the global market. And BusinessWeek reminds us that cheap stocks -- even with big names such as Ford Motor Co. (NYSE: F), Sprint Nextel Corp. (NYSE: S), and Northwest Airlines (NYSE: NWA) -- are no bargain if they have no earnings.

Upcoming results to watch for include Alcoa (NYSE: AA), Pepsi Bottling Group (NYSE: PBG), Marriott International (NYSE: MAR), and General Electric (NYSE: GE).

Visit AOL Money & Finance for more earnings coverage.

A lot of investors think that oil prices will determine what happens to the stock market over the next quarter, and for the most part, that is right.

The world's largest conglomerate will report earnings next week. It has operations in almost every country in the world. It has divisions in entertainment, infrastructure, medical devices, jet engines, plastics and financial services. And that is just a partial list.

If General Electric (NYSE:GE) posts poor numbers it will be hard for the market as a whole to believe that the economy is going anywhere but down. According to Reuters, "Aside from second-quarter results, investors are anxious to see the companies' forecasts for world economic growth and their own corporate sales prospects."

It is hard to imagine that one company could set the tone that would influence how stocks may trade for several weeks, but GE does a great deal of business in Asia. Growth in that region is viewed as a salvation for large American companies.

GE also has a huge financial services arm. If it takes large write-downs, it may well be a sign that the credit crisis is growing.

GE. GE. GE.

Douglas A. McIntyre is an editor at 247wallst.com.

While some companies may be consolidating, others are reconfiguring and expanding. General Electric Company (NYSE: GE) has acquired a small airplane engine company in the Czech Republic. Selling it's appliance business and adding more to it's portfolio of aircraft and engine capability should be a good move. The Wall Street Journal (subscription required) reported today that GE hopes to improve its competitive position against Pratt & Whitney.

A response from a Pratt & Whitney spokesman played down the increased competition and said that although the company takes this GE move seriously it has a 45-year history producing small engines and holds a solid position in the market place. This type of comment is to be expected and has some validity, but that does not make it good news for P&W.

P&W is a division of another major giant industrial conglomerate United Technologies (NYSE: UTX). Both GE and UTX stocks were up in early morning trading today.

UPDATE: GE closed at $26.91 up $0.40 (1.51%). UTX closed at $61.05 up $1.35 ( 2.26%).

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm. He writes the columns Chasing Value and Serious Money. Disclosure: I own shares of GE.

I finally got around to investing a portion of my stimulus check. I had a few stocks in mind for the money, but at the end of the day, I decided that I should buy shares of a high-yielding blue chip for the very long term. It really wasn't a difficult decision. The winner of my stimulus-check buy was none other than General Electric (NYSE: GE).

I've been talking about GE a lot lately, but if you're an investor, you know there's a lot to talk about this conglomerate. No, I don't mean fundamentally, necessarily, I mean that its current yield is simply amazing. GE has dropped a lot this year, and it's gotten the attention of many value investors. In fact, I purchased some GE shares not too long ago when they were trading about six bucks higher than the current price for what I hoped would be a short-term trade. I admit it, I was wrong.

I still think my reasoning at the time was correct, and I continue to hold those shares, but I also hold a long-term position of GE that I add to several times a year with the intent of holding for the next couple decades, maybe even beyond that. It is this position that received the shares acquired through the beneficence of the government. Although some might argue that I should have improved the cost basis of my trade, I decided against such action, since I think GE might be down for a while. If I wanted to use the money for a trade, there are probably better ideas out there for it than GE. But long-term, GE's current 4.7% yield will probably turn into an effective yield of better than 20%, assuming the dividend continues to rise in the future as it has in the past (I believe it will).

The only other stock that provided real competition for my stimulus windfall is Coca-Cola (NYSE: KO). However, the GE yield was just too beautiful. Granted, Coke is obviously the more focused business, and its brand equity is impeccable. But a near 3% yield is no match for a 4.7% yield. I think I made the right decision, but time will tell. No matter what, though, anyone who buys GE now better be patient. Short-term traders might not be rewarded.

Disclosure: I own Coke and GE; positions can change at any time.

For those of you who own blue-chip stocks, this is an eye-opening prediction. An article at CNBC.com talks about the possibility of Dow 10,000. Dow 10,000!

I repeated that in case you didn't get it the first time. It sounds pretty scary to me, and it should sound pretty scary to a lot of you out there. I'd have to presume that most investors don't use the stock market primarily as a substitute casino for the times when Las Vegas is out of reach. Many of you out there must own a Disney (NYSE: DIS) or a Coca-Cola (NYSE: KO), maybe a General Electric (NYSE: GE) or a Microsoft (NASDAQ: MSFT), something generally considered core and safe for the long-term. I happen to own the first three. Anyone who does is in for some huge volatility if Dow 10,000 comes along.

Actually, whether it comes along or not, volatility is here to stay. And here's the thing about the Dow 10,000 prediction: it isn't so farfetched on a mathematical basis. When you first read that number, you say to yourself "No way, that would be like a depression!" But because the numbers are getting higher, the actual point moves aren't as dramatic as they may seem on the surface. If we hit 10,000, that would represent a decline of approximately 29% from the high reached back in October 2007. As I write this, the Dow is about 20% off the high. Is another 9% feasible?