GE Needs To Sell More Businesses, Says Analyst

General Electric has already sold off a baker's dozen of units, including the plastics unit where two of its former chief executives once worked. And it is in the process of selling its appliances business, one of its oldest units and the birthplace of a slew of everyday household items.

But that apparently isn't enough for Stephen Tusa, a JPMorgan Chase analyst. Mr. Tusa downgraded the stock to "neutral" from "overweight," saying the company needs to sell off even more operations to restore investor confidence.

Read the whole story here.

Comments

[larry278]

Thanks, zull2, for saying what this off shoot of the NYT tried to say. The NYT has trouble being concise, never has tried to learn & use the vocabulary of the financial press & gave us another serving of word salad.

[Coyote2]

The Age of Electricity approaches and GE is ill-prepared for this, lost in a muddle of diversifying investments. GE needs to FOCUS.

I am thrilled to see GE stock drop below $30 and sink fast as it confirms my investment strategy: Wait.....the market is looking for a major correction -as our economic model is obsolete in the face of Energy Scarcity- and a refocusing upon NEW ENERGY. Wait, GE will get cheap and then will be the time to shift into electricity-focused stocks.

How low can GE go? I have my fingers crossed for $15. Good luck folks

[Chavez08]

"GE Needs To Sell More Businesses, Says Analyst"

I would think GE was making a literal "killing" from Military Keynesianism. Hooda thunk?

[zull2]

It's too bad they never really got out of the nasty stuff. GE was still living under Jack Welch back during the earlier part of this decade when they were a big beneficiary of the Iraq War. I was working a contract with GE back when An Inconvenient Truth came out, and Jeff Immelt made a big push afterward to try and "green up" the company, attempt to stimulate research and development growth in eco-friendly technologies. A company like GE could seriously make a dent in getting environmentally friendly technologies widely accepted and used. GE seemed like it was starting to develop a bit of a conscience, too bad it's come at a cost. Chances are, if things don't turn around financially, the shareholders will push for a Jack Welch clone to come back in. Corporations aren't inherently evil, but if they can make money being evil, that's what they'll do. If they can make money doing good, then they'll do that too. Welch made big money doing evil.