Ge In A Mess (ge)

Discussion in 'General Trading Discussion' started by Chartman, Nov 13, 2017.

  1. Chartman

    Chartman Senior Investor

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    GE is in a mess with news the dividend has been slashed by 50% and there are concerns about cashflow. Check the share price graph - price has been walked down for many months now:

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  2. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I recently bought a little.

    They were poorly managed for many years, bought too many companies at too high prices in too many industries, sold off other assets too cheaply, etc.

    I believe that with new management and with new shareholders such as Nelson Peltz making noise, they just may be able to turn things around somewhat.

    I think that selling off a fair amount of assets and getting down to a more focused, efficient core business will be a major step in the right direction.
     
  3. longtermbull

    longtermbull Administrator Staff Member

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    Long term GE looks interesting but I agree JR, they bought too many companies, often paid too high a price and lost their focus. However, surely there must be some gems hidden away in the massive number of business under the GE umbrella? Everyone is talking the company down - at some point the risk/reward ratio will swing back in favour of a buy. I dont think that point is too far away :)
     
  4. Chartman

    Chartman Senior Investor

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    The chart for GE is a mess with no sign of a support level. Free falllllllllllllllllll
     
  5. longtermbull

    longtermbull Administrator Staff Member

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    I would like to do some "sum of ther parts" research into GE as there must be some gems in there?
     
  6. Turbolag

    Turbolag Active Member

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    I just checked GE stock and it’s a little less than $18 a share. Do you guys think now is a good time to buy up a lot? Or maybe just buy a little? Or just wait?
     
  7. Chartman

    Chartman Senior Investor

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    The share price seems to be consolidating but until future plans are confirmed this may not be the end of the downturn. However, from a personal point of view I think the shares are heading into value for money territory. There must surely be a few gems hidden in the mass of operations within the group?
     
  8. Turbolag

    Turbolag Active Member

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    Yea I was wondering if it was going to drop anymore.
     
  9. longtermbull

    longtermbull Administrator Staff Member

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    I believe we will start to see a number of subsidiaries spun off to raise money for the company and “obtain better value” for the sum of the parts. Whether we are at the bottom of the share price cycle is debatable but in my opinion it is starting to look good value.
     
  10. JR Ewing

    JR Ewing Super Moderator Staff Member

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    Not one I'd buy a huge amount of, and not one I'd buy if you're expecting a quick pop upward. I own 200 shares (bought roughly $4k worth), but it's a very small % of my total $...
     

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