GE stock could be a long-term buy
It has not been a good year for General Electric Company
(NYSE:GE). GE stock has taken a tumble, falling over 19% in 2017. With a new
CEO and near-4% yield, is it time to buy?
General Electric had been talking up the benefits of
spinning off its financial business. It said doing so would allow the company
to get back to its industrial roots. It would use excess capital to drive growth
and get back on track.
Unfortunately, that didn’t turn out to be the case.
Execution of GE’s industrial businesses hasn’t gone well.
Last quarter, industrial revenues fell by 2% year-over-year. Its fiscal
year-to-date performance (two quarters) has industrial revenues down 1%.
Profits are down 4% and up 2%, respectively, in the same time periods.
The speculation is that they might cut their dividend
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