Guru Stocks Raising Dividends: General Electric Company
General Electric is one of the largest and most diversified industrial corporations in the world. General Electric Company has a market cap of $172.11 billion; its shares were traded at around $16.12 with a P/E ratio of 14.8 and P/S ratio of 1.1. The company raised its quarterly dividend 20% to 12 cents/share on Friday. The news sent the stock over 3% higher for the day. Whether the company can rebuild its streak of consecutive dividend increases remains to be seen however.
GE announced today second-quarter 2010 earnings from revenues decreased 4% to $37.4 billion. GE Capital Services’ (GECS) revenues fell 2% versus last year to $13.1 billion. Industrial sales were $24.4 billion, down 6% from the second quarter of 2009. Continuing operations (attributable to GE) were $3.3 billion, with EPS of $0.30 per share up 15% from the second quarter of 2009. Revenues were $37.4 billion for the quarter, down 4% from a year ago, impacted by lower GE Capital assets, industrial dispositions and lower equipment sales as expected.
The Unusual Suspects For This Week
General Electric Co. (NYSE: GE) is one that we’d want our readers to be involved in for a longer-term outlook. It has gotten through earnings season and is continuing to eliminate some of the finance unit’s dominance. NBC-Universal is still a deal under review but it is still in the process of being a stake divesting that will generate cash. With a 3% dividend yield after the hike and with its share buyback commencing immediately, there is probably more of a floor under the shares. After our review of conglomerates and their leadership over the broad market, we also found that G.E. is the conglomerate with the most implied upside for investors.
Showing posts with label earnings. Show all posts
Showing posts with label earnings. Show all posts
Monday, August 2, 2010
Wednesday, July 28, 2010
WSJ: GE Dividend: Good Sign or Management out of Ideas?
It’s no secret corporate America is sitting on a huge stash of cash these days, and investors are watching closely to see when/if/how they plan to spend it.
First, what not to do, according to my colleague Matt Phillips: use the extra cash to expand capacity. It seems investors are skittish about companies getting too gung-ho with the economy still on the mend.
But if investors don’t seem to crave aggressive business strategies, what’s a big cash-rich corporation to do?
General Electric offers one example. On Friday, the blue-chip announced it would raise its dividend by 20% and reinstate a share-buyback plan, the first dividend increase since the company slashed its dividend in early 2009.
GE shares have been reaping a short-term windfall from that decision. They’re up more than 5% in the past few days, an apparent vindication of an idea often overlooked by corporate chiefs: If you’re not going to spend all that cash, why not return it to shareholders?
READ THE FULL STORY HERE.
First, what not to do, according to my colleague Matt Phillips: use the extra cash to expand capacity. It seems investors are skittish about companies getting too gung-ho with the economy still on the mend.
But if investors don’t seem to crave aggressive business strategies, what’s a big cash-rich corporation to do?
General Electric offers one example. On Friday, the blue-chip announced it would raise its dividend by 20% and reinstate a share-buyback plan, the first dividend increase since the company slashed its dividend in early 2009.
GE shares have been reaping a short-term windfall from that decision. They’re up more than 5% in the past few days, an apparent vindication of an idea often overlooked by corporate chiefs: If you’re not going to spend all that cash, why not return it to shareholders?
READ THE FULL STORY HERE.
Sunday, April 18, 2010
Recovery, Earnings, and Stock Performance
GE Investors Look Past Finance Rut for Stabilization
General Electric Co. investors say profit declines may be easing, allowing them to look beyond the slump for signs that Chief Executive Officer Jeffrey Immelt is stabilizing the finance unit and driving industrial orders. GE, the world’s biggest maker of jet engines, power-plant turbines and medical-imaging equipment, may say tomorrow that profit from continuing operations fell to 16 cents a share from 26 cents a year earlier, analysts estimate. Earnings may improve enough later in the year that GE can raise its dividend in 2011, the Fairfield, Connecticut-based company said in March. The prospect has lifted GE to the highest since the midst of the U.S. financial crisis 18 months ago. “They may actually surprise on the upside with real revenue growth here, and the comparisons are kind of easy,” said Peter Sorrentino, a senior portfolio manager at Huntington Asset Advisors in Cincinnati who helps handle $12.8 billion, including more than 2.1 million GE shares as of March 31. “Any little surprises on, say like energy systems, that’s the kind of thing that people are going to latch onto and say, ‘Hey, the big kids are back in town.’” GE may be poised to show investors steadily improving profit margins, cash generation and order growth amid a buffer of free cash that the company has predicted to be about $25 billion at the end of 2010, said Steven Winoker, an analyst with Sanford C. Bernstein & Co.GE may see one more quarter of declining earnings before profits start to climb against year-earlier comparisons in the second half, analysts surveyed by Bloomberg estimate.
Shares set to trim gains; eyes on GE
European shares were seen falling on Friday, trimming lofty gains made over the past two sessions, as investors awaited quarterly results from global conglomerate General Electric (GE.N) and fresh insight on the outlook for company profits.
Income Falls, but G.E. Tops Forecasts
General Electric, reassured by signs that a global recovery was gaining momentum, said on Friday that its profit for the year might exceed expectations. General Electric's aviation plant in Durham, N.C. G.E.'s chief , Jeffrey R. Immelt, said he saw “encouraging economic signs.” “We feel pretty good about where we’re positioned as the recovery continues,” the chief executive, Jeffrey R. Immelt, told investors in a conference call about first-quarter results. He said G.E. might undertake additional cost-cutting as it refocused the business on its industrial components, which include production of items like wind turbines and jet engines. G.E., based in Fairfield, Conn., said it was encouraged by indications that the tide of loan losses at its financial unit, GE Capital, was beginning to reverse. Credit card delinquencies have fallen, the company said, and losses on mortgages in Britain are easing.
General Electric Co. investors say profit declines may be easing, allowing them to look beyond the slump for signs that Chief Executive Officer Jeffrey Immelt is stabilizing the finance unit and driving industrial orders. GE, the world’s biggest maker of jet engines, power-plant turbines and medical-imaging equipment, may say tomorrow that profit from continuing operations fell to 16 cents a share from 26 cents a year earlier, analysts estimate. Earnings may improve enough later in the year that GE can raise its dividend in 2011, the Fairfield, Connecticut-based company said in March. The prospect has lifted GE to the highest since the midst of the U.S. financial crisis 18 months ago. “They may actually surprise on the upside with real revenue growth here, and the comparisons are kind of easy,” said Peter Sorrentino, a senior portfolio manager at Huntington Asset Advisors in Cincinnati who helps handle $12.8 billion, including more than 2.1 million GE shares as of March 31. “Any little surprises on, say like energy systems, that’s the kind of thing that people are going to latch onto and say, ‘Hey, the big kids are back in town.’” GE may be poised to show investors steadily improving profit margins, cash generation and order growth amid a buffer of free cash that the company has predicted to be about $25 billion at the end of 2010, said Steven Winoker, an analyst with Sanford C. Bernstein & Co.GE may see one more quarter of declining earnings before profits start to climb against year-earlier comparisons in the second half, analysts surveyed by Bloomberg estimate.
Shares set to trim gains; eyes on GE
European shares were seen falling on Friday, trimming lofty gains made over the past two sessions, as investors awaited quarterly results from global conglomerate General Electric (GE.N) and fresh insight on the outlook for company profits.
Income Falls, but G.E. Tops Forecasts
General Electric, reassured by signs that a global recovery was gaining momentum, said on Friday that its profit for the year might exceed expectations. General Electric's aviation plant in Durham, N.C. G.E.'s chief , Jeffrey R. Immelt, said he saw “encouraging economic signs.” “We feel pretty good about where we’re positioned as the recovery continues,” the chief executive, Jeffrey R. Immelt, told investors in a conference call about first-quarter results. He said G.E. might undertake additional cost-cutting as it refocused the business on its industrial components, which include production of items like wind turbines and jet engines. G.E., based in Fairfield, Conn., said it was encouraged by indications that the tide of loan losses at its financial unit, GE Capital, was beginning to reverse. Credit card delinquencies have fallen, the company said, and losses on mortgages in Britain are easing.
LED Revenue Growth, NBC Earnings, and GE's recovery
GE sees growth in LED revenue
“LEDs are probably the largest growth area” for the lighting industry, Michael Petras, chief executive officer of GE's lighting business, said in an interview in Frankfurt Monday. LEDs make up “less than 10 percent” of GE Lighting's global sales, and that proportion probably will rise to one-third by 2015, with the overall market doubling “in the next couple of years,” he said.
GE Lighting's sales will be “flat or slightly positive” this year, Petras said. They fell to $2.5 billion in 2009 from $2.8 billion in 2008, according to presentations on GE's Web site. GE is the world's third- largest lighting company, after Royal Philips Electronics and Siemens's Osram. Its Appliances & Lighting division is headquartered in Louisville.
NBC Universal earnings drag down parent General Electric's results
NBC Universal is relieved that its winter financial wipeout is finally over.
Parent company General Electric Co. on Friday released its first-quarter results, which included, as expected, substantial losses generated by NBC's coverage of the 2010 Winter Olympics in Vancouver, Canada.
Although GE posted a 32% drop in earnings, the company nonetheless beat analysts' expectations.
GE Chairman Jeffrey Immelt said there were signs the economy was improving, along with the industrial giant's profit margins -- except for a couple of problem divisions.
"NBC, because of the Olympics, was a drag on margins overall," Immelt said.
NBC Universal's operating profit of $199 million was down 49% compared with the first quarter of 2009. Revenue of $4.32 billion for the quarter was up 23% compared with the year-earlier period, but it was about flat when ad sales for the Olympics were excluded from the results.
GE executives warned investors several months ago that NBC would lose as much as $250 million on its coverage of the Vancouver Olympic Games -- but it did not turn out as bad as first feared. NBC ended up losing $223 million on the Olympics, GE said, thanks to better-than-anticipated advertising.
General Electric Rehab On Track
General Electric's road to recovery may be rocky, but it's on the road nonetheless as it beat Wall Street's views on first quarter profit.
Among the most important morsels withing GE's report was the update on the progress of GE's financial arm GE Capital Services. The good news is GE Chief Executive Jeffrey Immelt said losses appear to have peaked, but that's not to say the problems will be over anytime soon. GE Capital was able to report earnings of $607 million in the first quarter, but commercial real estate continues to be "challenging". Thankfully, losses, delinquencies and non-earning assets have also declined during the first quarter.
“LEDs are probably the largest growth area” for the lighting industry, Michael Petras, chief executive officer of GE's lighting business, said in an interview in Frankfurt Monday. LEDs make up “less than 10 percent” of GE Lighting's global sales, and that proportion probably will rise to one-third by 2015, with the overall market doubling “in the next couple of years,” he said.
GE Lighting's sales will be “flat or slightly positive” this year, Petras said. They fell to $2.5 billion in 2009 from $2.8 billion in 2008, according to presentations on GE's Web site. GE is the world's third- largest lighting company, after Royal Philips Electronics and Siemens's Osram. Its Appliances & Lighting division is headquartered in Louisville.
NBC Universal earnings drag down parent General Electric's results
NBC Universal is relieved that its winter financial wipeout is finally over.
Parent company General Electric Co. on Friday released its first-quarter results, which included, as expected, substantial losses generated by NBC's coverage of the 2010 Winter Olympics in Vancouver, Canada.
Although GE posted a 32% drop in earnings, the company nonetheless beat analysts' expectations.
GE Chairman Jeffrey Immelt said there were signs the economy was improving, along with the industrial giant's profit margins -- except for a couple of problem divisions.
"NBC, because of the Olympics, was a drag on margins overall," Immelt said.
NBC Universal's operating profit of $199 million was down 49% compared with the first quarter of 2009. Revenue of $4.32 billion for the quarter was up 23% compared with the year-earlier period, but it was about flat when ad sales for the Olympics were excluded from the results.
GE executives warned investors several months ago that NBC would lose as much as $250 million on its coverage of the Vancouver Olympic Games -- but it did not turn out as bad as first feared. NBC ended up losing $223 million on the Olympics, GE said, thanks to better-than-anticipated advertising.
General Electric Rehab On Track
General Electric's road to recovery may be rocky, but it's on the road nonetheless as it beat Wall Street's views on first quarter profit.
Among the most important morsels withing GE's report was the update on the progress of GE's financial arm GE Capital Services. The good news is GE Chief Executive Jeffrey Immelt said losses appear to have peaked, but that's not to say the problems will be over anytime soon. GE Capital was able to report earnings of $607 million in the first quarter, but commercial real estate continues to be "challenging". Thankfully, losses, delinquencies and non-earning assets have also declined during the first quarter.
Monday, April 12, 2010
General Electric Recent Stock Performance, Commentary, and Earnings Preview
Chasing Value: When Will General Electric Double?
There are plenty of disgruntled shareholders out there who are unhappy with their General Electric (GE) stock, which has compressed in value over the last ten years from a high near $60 in August 2000 to a low around $8.50 in March 2009. GE was one my 2009 stock picks that disappointed by underperforming the group and the over all market. If you are among the patient, stubborn and hoping shareholders, this year provided more than a glimmer of hope.
Is GE a Buy?
General Electric's (NYSE: GE) stock has had a great run recently -- it's up 24% year to date, and up 187% from its market's crisis low on March 5 last year. Is it still worth buying?
A world-class company selling at average multiples?
The data I looked at (part of which is included in the above table) show that GE is squarely in the middle of its peer group along a wide array of valuation metrics: price-to-earnings based on estimated earnings per share for 2010, 2011, and 2012, price-to-tangible book value and dividend yield. A world-class company priced at average valuations? Surely that's a "buy" signal. Hold on: The companies in GE's peer group are hardly run-of-the-mill: Many of them are also superlative businesses (or sets of businesses, since we're talking about conglomerates).
GE Bull Still Sees Soft First Quarter
Morgan Stanley likes where General Electric(GE) is going but, at least as the far as the first quarter is concerned, it thinks the company is not quite there yet. The outlook for GE is improving as order rates continue to strengthen and GECS [GE Capital] concerns appear increasingly manageable," Morgan Stanley said in a research note on Monday. "1Q10 will likely be another soft quarter however, as loss from Olympics, softness in late cycle businesses and increasing GECS provisioning keep pressure on earnings."
Earnings Preview : General Electric (NYSE : GE), Q1, 2010
General Electric (NYSE: GE) will release the company's first quarter of 2010 earnings on Friday, April 16. The release will be immediately followed by a conference call at 8:30 AM to discuss the earnings report. Conference call participants will be Jeff Immelt, Chairman and CEO; Keith Sherin, Vice Chairman and CFO; and Trevor Schauenberg, VP Investor Communications. General Electric is one of the largest and most diversified industrial corporations in the world. GE is engaged in developing, manufacturing and marketing a wide variety of products for the generation, transmission, distribution, control and utilization of electricity. Some of GE''s products include major appliances; lighting products; industrial automation products; medical diagnostic imaging equipment; motors; electrical distribution and control equipment; locomotives; power generation and delivery products.
There are plenty of disgruntled shareholders out there who are unhappy with their General Electric (GE) stock, which has compressed in value over the last ten years from a high near $60 in August 2000 to a low around $8.50 in March 2009. GE was one my 2009 stock picks that disappointed by underperforming the group and the over all market. If you are among the patient, stubborn and hoping shareholders, this year provided more than a glimmer of hope.
Is GE a Buy?
General Electric's (NYSE: GE) stock has had a great run recently -- it's up 24% year to date, and up 187% from its market's crisis low on March 5 last year. Is it still worth buying?
A world-class company selling at average multiples?
The data I looked at (part of which is included in the above table) show that GE is squarely in the middle of its peer group along a wide array of valuation metrics: price-to-earnings based on estimated earnings per share for 2010, 2011, and 2012, price-to-tangible book value and dividend yield. A world-class company priced at average valuations? Surely that's a "buy" signal. Hold on: The companies in GE's peer group are hardly run-of-the-mill: Many of them are also superlative businesses (or sets of businesses, since we're talking about conglomerates).
GE Bull Still Sees Soft First Quarter
Morgan Stanley likes where General Electric(GE) is going but, at least as the far as the first quarter is concerned, it thinks the company is not quite there yet. The outlook for GE is improving as order rates continue to strengthen and GECS [GE Capital] concerns appear increasingly manageable," Morgan Stanley said in a research note on Monday. "1Q10 will likely be another soft quarter however, as loss from Olympics, softness in late cycle businesses and increasing GECS provisioning keep pressure on earnings."
Earnings Preview : General Electric (NYSE : GE), Q1, 2010
General Electric (NYSE: GE) will release the company's first quarter of 2010 earnings on Friday, April 16. The release will be immediately followed by a conference call at 8:30 AM to discuss the earnings report. Conference call participants will be Jeff Immelt, Chairman and CEO; Keith Sherin, Vice Chairman and CFO; and Trevor Schauenberg, VP Investor Communications. General Electric is one of the largest and most diversified industrial corporations in the world. GE is engaged in developing, manufacturing and marketing a wide variety of products for the generation, transmission, distribution, control and utilization of electricity. Some of GE''s products include major appliances; lighting products; industrial automation products; medical diagnostic imaging equipment; motors; electrical distribution and control equipment; locomotives; power generation and delivery products.
GE's Tax Payments = $0
You Pay More Tax Than General Electric
Chances are you've probably written your tax check by now, or you've been writing it throughout the year, but maybe you're wondering what your bosses are paying?
If you're General Electric, for example, you haven't paid taxes since 2008.
I caught this little nugget today, and what seems to be driving it is some phenomenal corporate skullduggery that most of us probably wish we could do with our own tax records--GE's got this subsidiary, GE Capital, which is a financial services outfit. And GE Capital has been losing just phenomenal amounts of money. While GE itself has made massive piles of money--just over ten billion in 2009--GE Capital lost six and a half billion that same year.
Since business losses are deductible, along with many other common operational expenses--and moreover, GE had a lot of profitable operations in other countries that they don't need to pay United States taxes on right away--this allowed GE's total tax obligation to be NEGATIVE one billion dollars.
Chances are you've probably written your tax check by now, or you've been writing it throughout the year, but maybe you're wondering what your bosses are paying?
If you're General Electric, for example, you haven't paid taxes since 2008.
I caught this little nugget today, and what seems to be driving it is some phenomenal corporate skullduggery that most of us probably wish we could do with our own tax records--GE's got this subsidiary, GE Capital, which is a financial services outfit. And GE Capital has been losing just phenomenal amounts of money. While GE itself has made massive piles of money--just over ten billion in 2009--GE Capital lost six and a half billion that same year.
Since business losses are deductible, along with many other common operational expenses--and moreover, GE had a lot of profitable operations in other countries that they don't need to pay United States taxes on right away--this allowed GE's total tax obligation to be NEGATIVE one billion dollars.
Saturday, March 20, 2010
Dividend, Stock Performance, Jeffery Immelt, "Buy" Rating, and 10%+ Gain
GE's Increased Dividend - Not Until 2011
Speaking at a Goldman Sachs investor conference yesterday, General Electric (GE) CFO Keith Sherin indicated that profits at the conglomerate will begin growing again in 2011. GE’s profits have been in decline since 2007 and Wall Street expects another decline this year.
Dividend investors also have reason to cheer as GE’s CFO also indicated that the company plans to begin growing their dividend again, but not until 2011.
Early in 2009, GE slashed their quarterly dividend by 68% just as the stock was hitting its lowest point. Prior to the dividend cut, GE had been a member of the elite Dividend Aristocrats – stocks that had increased their dividends for 25 consecutive years or more. In fact, the dividend cut was the first for the company since 1938.
With earnings expected to begin recovering in the second half of this year, many dividend investors were hoping that GE would hike their dividend in 2010.
While GE’s dividend yield is a rather average 2.3%, investors who dumped their shares when the company cut their dividend are surely kicking themselves now. Since cutting their dividend, GE stock has soared 115% and is up 21% in 2010 (second only to Boeing (BA) among Dow stocks).
Wall Street’s consensus estimates call for $1.00 EPS in 2010 for GE. With an annual dividend of $.40 per share, GE would have a dividend payout ratio of 40%. In 2006, GE’s dividend payout ratio was 46% and in 2007 it was 47%. With EPS expected to climb to $1.22 per share in 2011, a more modest 41% target dividend payout ratio would result in a dividend increase of 25% to $.50 per share. While 25% is a significant increase to their dividend payment, it may take such a bold move to win back dividend investors who are still smarting from last year’s huge dividend cut.
GE: Don't call it a comeback
Has Jeff Immelt finally made General Electric investors forget the legendary Jack Welch?
That's a stretch -- investors can no longer count on GE beating estimates and posting double-digit earnings growth in good times and bad.
But the current GE (GE, Fortune 500) CEO -- and the company's shareholders -- finally have a lot to smile about.
GE, which was the second-worst performer in the Dow last year, falling nearly 7%, has staged a remarkable turnaround. The stock is up 20% in 2010, the second-best Dow component behind Boeing (BA, Fortune 500).
Is the rally justified? Perhaps.
General Electric Is A Buy
After a decade of disaster, the past 12 months have finally given General Electric shareholders something to crow about. The industrial megalith has seen its shares rise 79% in that time, and recent momentum is highly encouraging for GE longs; GE rose 4.2% last week, making it the best performing stock on the Dow Jones industrial average.
This rebound, however, has been a long time coming. Over the past decade GE shares are down 61%, badly lagging the S&P 500 Index, which is down 19% in that span. Along the way GE did the sacrosanct and cut its dividend last February in order to hang on to its AAA credit rating. Despite slashing the dividend by 68%, Standard & Poor's ultimately downgraded GE debt to AA+.
General Electric: Up 10% Since Last Thursday
General Electric (GE) has had a pretty good couple of days.
Since last Thursday, the stock has gained more than 10%, which is a big move for GE. The move has propelled GE to its highest level since late 2008, and it has made a big impact on the S&P 500 given its size.
General Electric's high in 2007 was $42.15, and the stock is still 57% below that level even after its recent gains.
Speaking at a Goldman Sachs investor conference yesterday, General Electric (GE) CFO Keith Sherin indicated that profits at the conglomerate will begin growing again in 2011. GE’s profits have been in decline since 2007 and Wall Street expects another decline this year.
Dividend investors also have reason to cheer as GE’s CFO also indicated that the company plans to begin growing their dividend again, but not until 2011.
Early in 2009, GE slashed their quarterly dividend by 68% just as the stock was hitting its lowest point. Prior to the dividend cut, GE had been a member of the elite Dividend Aristocrats – stocks that had increased their dividends for 25 consecutive years or more. In fact, the dividend cut was the first for the company since 1938.
With earnings expected to begin recovering in the second half of this year, many dividend investors were hoping that GE would hike their dividend in 2010.
While GE’s dividend yield is a rather average 2.3%, investors who dumped their shares when the company cut their dividend are surely kicking themselves now. Since cutting their dividend, GE stock has soared 115% and is up 21% in 2010 (second only to Boeing (BA) among Dow stocks).
Wall Street’s consensus estimates call for $1.00 EPS in 2010 for GE. With an annual dividend of $.40 per share, GE would have a dividend payout ratio of 40%. In 2006, GE’s dividend payout ratio was 46% and in 2007 it was 47%. With EPS expected to climb to $1.22 per share in 2011, a more modest 41% target dividend payout ratio would result in a dividend increase of 25% to $.50 per share. While 25% is a significant increase to their dividend payment, it may take such a bold move to win back dividend investors who are still smarting from last year’s huge dividend cut.
GE: Don't call it a comeback
Has Jeff Immelt finally made General Electric investors forget the legendary Jack Welch?
That's a stretch -- investors can no longer count on GE beating estimates and posting double-digit earnings growth in good times and bad.
But the current GE (GE, Fortune 500) CEO -- and the company's shareholders -- finally have a lot to smile about.
GE, which was the second-worst performer in the Dow last year, falling nearly 7%, has staged a remarkable turnaround. The stock is up 20% in 2010, the second-best Dow component behind Boeing (BA, Fortune 500).
Is the rally justified? Perhaps.
General Electric Is A Buy
After a decade of disaster, the past 12 months have finally given General Electric shareholders something to crow about. The industrial megalith has seen its shares rise 79% in that time, and recent momentum is highly encouraging for GE longs; GE rose 4.2% last week, making it the best performing stock on the Dow Jones industrial average.
This rebound, however, has been a long time coming. Over the past decade GE shares are down 61%, badly lagging the S&P 500 Index, which is down 19% in that span. Along the way GE did the sacrosanct and cut its dividend last February in order to hang on to its AAA credit rating. Despite slashing the dividend by 68%, Standard & Poor's ultimately downgraded GE debt to AA+.
General Electric: Up 10% Since Last Thursday
General Electric (GE) has had a pretty good couple of days.
Since last Thursday, the stock has gained more than 10%, which is a big move for GE. The move has propelled GE to its highest level since late 2008, and it has made a big impact on the S&P 500 given its size.
General Electric's high in 2007 was $42.15, and the stock is still 57% below that level even after its recent gains.
Tuesday, November 4, 2008
Recent News: Stock Performance, Immelt Comments, Earnings, Pickens, Wind Energy, Chinese Jetliners, and Treasury Investment
Traders Seek Protection Against Dips In GE Stock
Options traders appear to be taking a cautious approach to General Electric Co. (GE) as the company's shares hover near a 52-week low. Within the first hour of Monday's session, several traders emerged to take moderately bearish positions in General Electric, selling calls and buying puts...
General Electric (GE) NewsBite - GE Rises on CEO's Comments
General Electric (NYSE: GE) opened at $19.78. So far today, the stock has hit a low of $19.69 and a high of $19.88. GE is now trading at $19.72, up $0.21 (1.05%). Over the last 52 weeks the stock has ranged from a low of $17.27 to a high of $40.54. Shares of GE are trading higher this morning after company CEO Jeff Immelt said in an interview this morning that he expects the company to earn $20 billion...
GE CEO tells French newspaper firm to earn $20 billion this year
U.S.-based conglomerate General Electric Co will make $20 billion this year, its Chief Executive Jeff Immelt said in an interview with French business daily Les Echos Monday, without specifying which measure of earnings he was refering to....
GE Set for a Pickens Windfall
General Electric sells more wind turbines, by far, than any other supplier in the nation. But it never sold 667 of them at once until legendary oilman T. Boone Pickens decided to build his own wind farm. His "Pickens Plan" calls for the U.S. to slash its dependence on foreign oil by exploiting its own natural resources instead. By using more wind to fuel its power plants and more natural gas to power its cars, Pickens predicts, the U.S. could cut its dependence on foreign oil by one-third in the next 10 years...
General Electric orders 25 China-made jetliners
General Electric Co. agreed to buy 25 Chinese-made regional jets Tuesday, marking the first overseas order for the aircraft and providing a major boost for the manufacturer. GE's leasing unit GECAS signed an agreement to purchase the 70-seater ARJ21-700 aircraft, the official Xinhua News Agency reported Tuesday....
GE says does not expect Treasury investment
General Electric Co does not expect the Treasury Department to offer to invest funds from a $700 billion fund to bail out the financial industry in its GE Capital arm, but would listen to a proposal if one were made, a GE spokesman said on Tuesday....
Friday, October 31, 2008
Recent News: Commercial paper, stock performance, earnings, batterys, innovation, annual shareholder meeting, and Immelt quote
GE Can't Shed Those Unwanted Pounds
There was a time not so long ago when it appeared that General Electric (NYSE: GE) was an undervalued conglomerate composed of numerous strong parts. But almost by the day it's become more likely that the company may be little more than a hodgepodge of ill-fitting businesses -- many of which it can't unload -- that are headed collectively for goodness-knows-where...
Cos Participating In US Govt's Commercial Paper Program
The following is a list of companies that have registered to participate in a program to allow companies to sell commercial paper to the Federal Reserve at a rate set daily plus a fee. The Commercial Paper Funding Facility is aimed at boosting the commercial paper market, where companies secure funding for day-to- day needs, from rent to inventory....
Gee Whiz GE!
General Electric investors were shocked late Wednesday when reports began circulating that the conglomerate’s chief executive said the company was looking to maintain its 2009 profit at 2008 levels, giving the entire stock market a kick in the teeth just as trading was ending for the day....
GE boosts bets on battery technology
With a 1914 electric car displayed outside, General Electric last week hosted a symposium on batteries for transportation and the electricity grid....
GE CEO: Cos Must Innovate Amid Current Environment
General Electric Co. (GE) Chief Executive Jeffrey Immelt said Wednesday companies must continue to emphasize research and development during the current financial crisis. They will need to innovate, especially in areas such as healthcare, education and renewable energy, he said....
Ugly Quote For GE
General Electric investors got a roller-coaster ride Wednesday afternoon following reports that the conglomerate's chief executive was looking to maintain its 2009 profit at 2008 levels....
GE to Convene 2009 Shareowners Meeting in Orlando, Florida
GE announced today that it plans to hold its 2009 Annual Meeting of Shareowners on April 22, 2009 in Orlando, Florida. GE gathers shareowners in a different city each year so as to demonstrate the performance of a different business and to illustrate the diversity and strength of the Company's business portfolio...
Dow Jones to issue "clarification" on GE story-source
Dow Jones Newswires plans to issue a "clarification" of a story that it published on Wednesday afternoon about comments that General Electric Co's chief executive made about the company's 2009 financial position, according to a source familiar with the matter....
GE calls Dow Jones Immelt report 'inaccurate'
A spokesman for General Electric Co said on Wednesday that a Dow Jones report quoting Chief Executive Jeff Immelt as forecasting flat profit in 2009 was "completely out of context and inaccurate."...
There was a time not so long ago when it appeared that General Electric (NYSE: GE) was an undervalued conglomerate composed of numerous strong parts. But almost by the day it's become more likely that the company may be little more than a hodgepodge of ill-fitting businesses -- many of which it can't unload -- that are headed collectively for goodness-knows-where...
Cos Participating In US Govt's Commercial Paper Program
The following is a list of companies that have registered to participate in a program to allow companies to sell commercial paper to the Federal Reserve at a rate set daily plus a fee. The Commercial Paper Funding Facility is aimed at boosting the commercial paper market, where companies secure funding for day-to- day needs, from rent to inventory....
Gee Whiz GE!
General Electric investors were shocked late Wednesday when reports began circulating that the conglomerate’s chief executive said the company was looking to maintain its 2009 profit at 2008 levels, giving the entire stock market a kick in the teeth just as trading was ending for the day....
GE boosts bets on battery technology
With a 1914 electric car displayed outside, General Electric last week hosted a symposium on batteries for transportation and the electricity grid....
GE CEO: Cos Must Innovate Amid Current Environment
General Electric Co. (GE) Chief Executive Jeffrey Immelt said Wednesday companies must continue to emphasize research and development during the current financial crisis. They will need to innovate, especially in areas such as healthcare, education and renewable energy, he said....
Ugly Quote For GE
General Electric investors got a roller-coaster ride Wednesday afternoon following reports that the conglomerate's chief executive was looking to maintain its 2009 profit at 2008 levels....
GE to Convene 2009 Shareowners Meeting in Orlando, Florida
GE announced today that it plans to hold its 2009 Annual Meeting of Shareowners on April 22, 2009 in Orlando, Florida. GE gathers shareowners in a different city each year so as to demonstrate the performance of a different business and to illustrate the diversity and strength of the Company's business portfolio...
Dow Jones to issue "clarification" on GE story-source
Dow Jones Newswires plans to issue a "clarification" of a story that it published on Wednesday afternoon about comments that General Electric Co's chief executive made about the company's 2009 financial position, according to a source familiar with the matter....
GE calls Dow Jones Immelt report 'inaccurate'
A spokesman for General Electric Co said on Wednesday that a Dow Jones report quoting Chief Executive Jeff Immelt as forecasting flat profit in 2009 was "completely out of context and inaccurate."...
Monday, October 13, 2008
Recent News: NBC Olympics, Earnings, Stock Performance, Finance Arm, and Warren Buffett
NBC loses money on Beijing Olympics
NBC Universal lost money on the Beijing Olympics, executives of parent company General Electric said Friday....
GE’s Quality of Earnings Problems
General Electric, a bellwether stock for the US economy, reported a 12% drop in third quarter earnings, as the credit crisis continues to hammer its finance unit, GE Capital, a big profit driver for the industrial conglomerate. On closer examination, GE’s earnings report has a number quality of earnings issues. Investors should sit up and take notice of the danger zones...
GE Rises Most Since 1980 as Profit Meets Estimates
General Electric Co. rose 13 percent in New York trading, the most in at least 28 years, after its third-quarter profit matched analysts' estimates during the worst U.S. financial crisis since the Great Depression. Profit from continuing operations fell 12 percent to $4.48 billion, or 45 cents a share, from $5.11 billion, or 50 cents, a year earlier. Sales rose 11 percent to $47.2 billion, the Fairfield, Connecticut-based company said today. Chief Executive Officer Jeffrey Immelt said GE will meet its 2008 forecast...
GE profit battered by finance arm
General Electric profit declined for a third straight quarter because of lower earnings at its finance arm during the ongoing financial crisis. Profit from continuing operations fell 12% to $US4.48 billion ($6.9 billion), or 45 cents a share, from $US5.11 billion, or 50 cents, a year earlier, matching analysts' average estimate. Sales rose 11% to $US47.2 billion, the Fairfield, Connecticut-based company said Friday. Chief Executive Officer Jeffrey Immelt said GE will meet its 2008 profit forecast....
GE's Financial Dead Arm
General Electric reported its earnings Friday, and the results were unsurprising. They met Wall Street's expectations and were defined by weakness in its financial arm, which has been hit by problems globally and in the credit markets. GE's profit dropped 23.2% to $4.3 billion, or 43 cents per share, from $5.6 billion, or 54 cents per share, reported in last year's corresponding quarter. The results were just short of Wall Street's expected 45 cents per share....
Investing Like Buffett
IF this were the 1930s, we might go to the movies and see a gaudy, escapist musical to feel better again. Instead, let’s pretend we’re Warren Buffett...
Bad News Is Good News For GE
General Electric had primed the market for a crummy third-quarter earnings report, so investors weren't too surprised when one came on Friday. There was some unexpected good news from its media division, but the cloud inside that silver lining was that the better-than-expected results were a direct reflection of the direr-than-expected global economy....
GE makes a profit, but it's lower
General Electric Co.’s third-quarter net income fell by 22 percent amid a decrease in earnings in its GE Capital financial services unit, which has been affected by the ongoing credit crunch.
Fairfield, Conn.-based GE (NYSE: GE) today reported that net income declined to $4.3 billion, or 43 cents a share, compared with $5.6 billion, or 54 cents per share, in the same quarter a year earlier...
What Does Warren Buffett See in General Electric?
By all accounts, the legendary investor has entered less-than-familiar territory. General Electric (GE) and Goldman Sachs (GS) will most certainly determine whether Mr. Buffett's unique ability to pick business models with substantial inherent upside is still intact or whether the dramatic changes in the global economy are forcing him to fish in troubled waters. GE's Keith Sherin has just announced a worldwide upgrading of lending standards. But he did not clarify two important and related issues. Will this upgrading, or tightening, of GE's portfolio be founded in a revaluation of the assets which triggered the loans in the first place? And, if so, how will the almost-certain degradation of such assets impact upon GE's AAA rating?...
NBC Universal lost money on the Beijing Olympics, executives of parent company General Electric said Friday....
GE’s Quality of Earnings Problems
General Electric, a bellwether stock for the US economy, reported a 12% drop in third quarter earnings, as the credit crisis continues to hammer its finance unit, GE Capital, a big profit driver for the industrial conglomerate. On closer examination, GE’s earnings report has a number quality of earnings issues. Investors should sit up and take notice of the danger zones...
GE Rises Most Since 1980 as Profit Meets Estimates
General Electric Co. rose 13 percent in New York trading, the most in at least 28 years, after its third-quarter profit matched analysts' estimates during the worst U.S. financial crisis since the Great Depression. Profit from continuing operations fell 12 percent to $4.48 billion, or 45 cents a share, from $5.11 billion, or 50 cents, a year earlier. Sales rose 11 percent to $47.2 billion, the Fairfield, Connecticut-based company said today. Chief Executive Officer Jeffrey Immelt said GE will meet its 2008 forecast...
GE profit battered by finance arm
General Electric profit declined for a third straight quarter because of lower earnings at its finance arm during the ongoing financial crisis. Profit from continuing operations fell 12% to $US4.48 billion ($6.9 billion), or 45 cents a share, from $US5.11 billion, or 50 cents, a year earlier, matching analysts' average estimate. Sales rose 11% to $US47.2 billion, the Fairfield, Connecticut-based company said Friday. Chief Executive Officer Jeffrey Immelt said GE will meet its 2008 profit forecast....
GE's Financial Dead Arm
General Electric reported its earnings Friday, and the results were unsurprising. They met Wall Street's expectations and were defined by weakness in its financial arm, which has been hit by problems globally and in the credit markets. GE's profit dropped 23.2% to $4.3 billion, or 43 cents per share, from $5.6 billion, or 54 cents per share, reported in last year's corresponding quarter. The results were just short of Wall Street's expected 45 cents per share....
Investing Like Buffett
IF this were the 1930s, we might go to the movies and see a gaudy, escapist musical to feel better again. Instead, let’s pretend we’re Warren Buffett...
Bad News Is Good News For GE
General Electric had primed the market for a crummy third-quarter earnings report, so investors weren't too surprised when one came on Friday. There was some unexpected good news from its media division, but the cloud inside that silver lining was that the better-than-expected results were a direct reflection of the direr-than-expected global economy....
GE makes a profit, but it's lower
General Electric Co.’s third-quarter net income fell by 22 percent amid a decrease in earnings in its GE Capital financial services unit, which has been affected by the ongoing credit crunch.
Fairfield, Conn.-based GE (NYSE: GE) today reported that net income declined to $4.3 billion, or 43 cents a share, compared with $5.6 billion, or 54 cents per share, in the same quarter a year earlier...
What Does Warren Buffett See in General Electric?
By all accounts, the legendary investor has entered less-than-familiar territory. General Electric (GE) and Goldman Sachs (GS) will most certainly determine whether Mr. Buffett's unique ability to pick business models with substantial inherent upside is still intact or whether the dramatic changes in the global economy are forcing him to fish in troubled waters. GE's Keith Sherin has just announced a worldwide upgrading of lending standards. But he did not clarify two important and related issues. Will this upgrading, or tightening, of GE's portfolio be founded in a revaluation of the assets which triggered the loans in the first place? And, if so, how will the almost-certain degradation of such assets impact upon GE's AAA rating?...
Seeking Alpha: General Electric Company Q3 2008 Earnings Call Transcript
Operator:
Welcome to the General Electric third quarter 2008 earnings conference call. (Operator Instructions) I would now like to turn the program over to your host for today’s conference Trevor Schauenberg, VP of Investor Communications.
Trevor Schauenberg:
Joanna Morse and I are pleased to host today’s call. Hopefully you have the press release from earlier this morning and the slides we’ll be walking through are available on our website at www.GE.com. If you don’t see it please refresh, you can download or print to follow along. As always elements of this presentation are forward looking and are based on our best view of the world and our businesses as we see them today. Those elements can change as the world changes. Please interpret them in that light.
We will be reviewing the GE press release that went out earlier today and have time for Q&A at the end. For today’s webcast we have our Chairman and CEO, Jeff Immelt, and our Vice Chairman and CFO, Keith Sherin.
Now I’d like to turn it over to our Chairman and CEO, Jeff Immelt.
Jeff Immelt:
On the overview page clearly to everyone the environment remains very volatile. The global financial system is tough. We see consumer confidence falling, unemployment up again last week but we still see pockets...
Read Entire Transcript at Seeking Alpha
Welcome to the General Electric third quarter 2008 earnings conference call. (Operator Instructions) I would now like to turn the program over to your host for today’s conference Trevor Schauenberg, VP of Investor Communications.
Trevor Schauenberg:
Joanna Morse and I are pleased to host today’s call. Hopefully you have the press release from earlier this morning and the slides we’ll be walking through are available on our website at www.GE.com. If you don’t see it please refresh, you can download or print to follow along. As always elements of this presentation are forward looking and are based on our best view of the world and our businesses as we see them today. Those elements can change as the world changes. Please interpret them in that light.
We will be reviewing the GE press release that went out earlier today and have time for Q&A at the end. For today’s webcast we have our Chairman and CEO, Jeff Immelt, and our Vice Chairman and CFO, Keith Sherin.
Now I’d like to turn it over to our Chairman and CEO, Jeff Immelt.
Jeff Immelt:
On the overview page clearly to everyone the environment remains very volatile. The global financial system is tough. We see consumer confidence falling, unemployment up again last week but we still see pockets...
Read Entire Transcript at Seeking Alpha
Thursday, October 9, 2008
Recent News: GE Aviation - NASA, Stock Performance, Earnings Preview, and Technical Analysis
GE Aviation team wins NASA research contract GE Aviation's team is one of several aeronautical companies sharing $12.4 million in NASA study contracts to research future aircraft designs. Under phase one of the program, the teams will each receive about $2 million to conduct 18-month studies, according to a United Press International story. They will be studying advanced concepts in fuel efficiency, among other things...
Foolish Forecast: You Can't Go Wrong With GE
General Electric (NYSE: GE) is heading into its third-quarter earnings report in a very unusual position. Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B) guru Warren Buffett just stepped in with a multibillion-dollar investment in the beaten-down giant. Is that enough to turn the tide of woe, or will Tina Fey have to save the day?...
Earnings Preview: General Electric
General Electric (GE) is expected to report Q3 earnings before market open Friday, Oct. 10, with a conference call scheduled for 8:30 am ET. Analysts are looking for EPS of 45c on revenue of $47.71B. There is a tight consensus range of 44c to 45c for EPS, and $45.5B to $48.9B for revenue, according to First Call. The company gave guidance when it reported its Q2 results in July expecting Q3 EPS 50c to 54c vs. consensus of 54c, and FY08 EPS $2.20 to $2.30 vs. consensus of $2.22. However, on September 25, due to the "unprecedented weakness" in the financial service markets the company lowered is Q3 and FY08 EPS guidance. General Electric now expects Q3 EPS of 43c to 48c, and FY08 EPS of $1.95 to $2.10...
Technical Analysis for General Electric
The technical indicators for GE are almost resoundingly bearish, but not completely. There is a glimmer of light, albeit faint, in the chart patterns for GE. General Electric is the grand-daddy of them all, and an excellent barometer of economic and market conditions. The recent concerns offered by GE's management relating to the current depressionary environment have raised many eyebrows, and they have exponentialized the importance of the commentary associated with the earnings release scheduled for Friday. Arguably, cases can be made for fundamental investments in GE...
Can GE Earnings Rescue the Market?
We are set for earnings out of General Electric Co. (NYSE: GE) early Friday morning. If you have been watching the tape and if you have been paying attention to the economic data, it is impossible to expect and solid earnings from the world's largest conglomerate. There are also more things to consider here than just the earnings as GE reflects much of the global economy....
Wall Street crisis hits GE
All eyes will be on GE on Friday when the massive conglomerate and market bellwether reveals earnings that have been hard-hit by recent turmoil in the financial markets...
Foolish Forecast: You Can't Go Wrong With GE
General Electric (NYSE: GE) is heading into its third-quarter earnings report in a very unusual position. Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B) guru Warren Buffett just stepped in with a multibillion-dollar investment in the beaten-down giant. Is that enough to turn the tide of woe, or will Tina Fey have to save the day?...
Earnings Preview: General Electric
General Electric (GE) is expected to report Q3 earnings before market open Friday, Oct. 10, with a conference call scheduled for 8:30 am ET. Analysts are looking for EPS of 45c on revenue of $47.71B. There is a tight consensus range of 44c to 45c for EPS, and $45.5B to $48.9B for revenue, according to First Call. The company gave guidance when it reported its Q2 results in July expecting Q3 EPS 50c to 54c vs. consensus of 54c, and FY08 EPS $2.20 to $2.30 vs. consensus of $2.22. However, on September 25, due to the "unprecedented weakness" in the financial service markets the company lowered is Q3 and FY08 EPS guidance. General Electric now expects Q3 EPS of 43c to 48c, and FY08 EPS of $1.95 to $2.10...
Technical Analysis for General Electric
The technical indicators for GE are almost resoundingly bearish, but not completely. There is a glimmer of light, albeit faint, in the chart patterns for GE. General Electric is the grand-daddy of them all, and an excellent barometer of economic and market conditions. The recent concerns offered by GE's management relating to the current depressionary environment have raised many eyebrows, and they have exponentialized the importance of the commentary associated with the earnings release scheduled for Friday. Arguably, cases can be made for fundamental investments in GE...
Can GE Earnings Rescue the Market?
We are set for earnings out of General Electric Co. (NYSE: GE) early Friday morning. If you have been watching the tape and if you have been paying attention to the economic data, it is impossible to expect and solid earnings from the world's largest conglomerate. There are also more things to consider here than just the earnings as GE reflects much of the global economy....
Wall Street crisis hits GE
All eyes will be on GE on Friday when the massive conglomerate and market bellwether reveals earnings that have been hard-hit by recent turmoil in the financial markets...
Monday, October 6, 2008
Recent News: Class Action Lawsuit, GE Honda, and GE Healthcare
The Rosen Law Firm Files Securities Class Action Charging General Electric Company With Violations of the Federal Securities Laws -- GE
The Rosen Law Firm today announced that it has filed a class action lawsuit on behalf of all purchasers of General Electric Company common stock and call option during the period beginning September 25, 2008 through and including October 1, 2008. To join the GE class action, go to the website at http://rosenlegal.com or call Laurence Rosen, Esq. or Phillip Kim, Esq. toll-free at 866-767-3653 or email lrosen@rosenlegal.com or pkim@rosenlegal.com for information on the class action.
NBAA 2008: Tough testing for GE Honda powerplant
Work on GE Honda’s HF120 advanced 2,000lb thrust turbofan propulsion system is proceeding apace – with formal certification testing still on target to begin at the turn of the year. This year has been all about design validation, according to GE Honda’s president Bill Dwyer, who says the new engine will give great customer value in terms of “price point, weight, fuel efficiency and maintenance costs”....
Curing What Ails GE's Health Unit
GE Healthcare sells machines that discover why people are sick. The General Electric Co. unit's new chief executive, John Dineen, now must cure what ails the business. The division has been plagued by factory-production glitches that led to a federally ordered plant shutdown, an aborted acquisition and shrinking insurance payments that crimp demand for GE's products. The unit's operating profit fell 4% in the first half of 2008, after declining 3% last year. This summer the division laid off hundreds of workers...
The Rosen Law Firm today announced that it has filed a class action lawsuit on behalf of all purchasers of General Electric Company common stock and call option during the period beginning September 25, 2008 through and including October 1, 2008. To join the GE class action, go to the website at http://rosenlegal.com or call Laurence Rosen, Esq. or Phillip Kim, Esq. toll-free at 866-767-3653 or email lrosen@rosenlegal.com or pkim@rosenlegal.com for information on the class action.
NBAA 2008: Tough testing for GE Honda powerplant
Work on GE Honda’s HF120 advanced 2,000lb thrust turbofan propulsion system is proceeding apace – with formal certification testing still on target to begin at the turn of the year. This year has been all about design validation, according to GE Honda’s president Bill Dwyer, who says the new engine will give great customer value in terms of “price point, weight, fuel efficiency and maintenance costs”....
Curing What Ails GE's Health Unit
GE Healthcare sells machines that discover why people are sick. The General Electric Co. unit's new chief executive, John Dineen, now must cure what ails the business. The division has been plagued by factory-production glitches that led to a federally ordered plant shutdown, an aborted acquisition and shrinking insurance payments that crimp demand for GE's products. The unit's operating profit fell 4% in the first half of 2008, after declining 3% last year. This summer the division laid off hundreds of workers...
Monday, September 1, 2008
Recent News: Blackstone, Appliances, Rail Cars, Olympics, Lobbying, GE Healthcare, Jeff Immelt: '...cable deals'
Blackstone joins China's Haier in bid for GE's appliances unit
The investment firm Blackstone is joining forces with one of China's largest consumer goods-makers in the $7bn auction of General Electric's appliances unit. Blackstone is drawing up plans to invest with Qingdao Haier, China's biggest white goods-maker, and hopes to build a global enterprise to compete with rivals such as Maytag and Electrolux...
General Electric may dump its rail car division
General Electric Co. may be close to selling its rail car leading division to GATX Corp. According to Bloomberg, GATX plans to "invest more aggressively" during a financial slowdown...
NBC sees new media habits form with Olympic games
About half of the people who are using mobile phones to pull down video or information about the Olympics have been trying out that technology for the first time, NBC said on Wednesday.
NBC Universal, a unit of General Electric Co., has been using the Olympics as something of a research lab to track the adoption of new media technology. Since the opening ceremony last Friday, the company has made content available online, through video on demand and via cell phones along with traditional TV...
General Electric spent nearly $5.4M lobbying in 2Q
General Electric Co. spent nearly $5.4 million in the second quarter lobbying on everything from patent reform to the fiscal 2009 defense spending bill, according to a disclosure report....
For Olympic Marketers, Emotions Pay
For many Olympic swimmers in Beijing, Speedo LZRs have helped produce record times. For winning advertisers during the Games, the key ingredient is proving to be emotional ads...
Huge Olympic Success To Add One Penny To GE's (GE) Bottom Line
The Olympics were far from a sure thing for NBC Universal. American interest in the games had been waning for years, and the prospect of a Chinese crackdown on protestors made many network bigwigs nervous...
U.S. FDA warns GE Healthcare unit over records
The U.S. Food and Drug Administration has warned GE Healthcare's Integrated IT Solutions unit about a dozen manufacturing violations including improper record keeping that could result in further action from the agency....
Immelt: GE ‘Not Done Doing Cable Deals’
General Electric chairman and CEO Jeff Immelt said that on the heels of NBC Universal’s acquisition of The Weather Channel, there may be more cable deals on the horizon. And he told CNBC’s Carl Quintanilla Monday morning that he is satisfied with the strategy of partnership arrangements such as the one formed for the TWC purchase.
The investment firm Blackstone is joining forces with one of China's largest consumer goods-makers in the $7bn auction of General Electric's appliances unit. Blackstone is drawing up plans to invest with Qingdao Haier, China's biggest white goods-maker, and hopes to build a global enterprise to compete with rivals such as Maytag and Electrolux...
General Electric may dump its rail car division
General Electric Co. may be close to selling its rail car leading division to GATX Corp. According to Bloomberg, GATX plans to "invest more aggressively" during a financial slowdown...
NBC sees new media habits form with Olympic games
About half of the people who are using mobile phones to pull down video or information about the Olympics have been trying out that technology for the first time, NBC said on Wednesday.
NBC Universal, a unit of General Electric Co., has been using the Olympics as something of a research lab to track the adoption of new media technology. Since the opening ceremony last Friday, the company has made content available online, through video on demand and via cell phones along with traditional TV...
General Electric spent nearly $5.4M lobbying in 2Q
General Electric Co. spent nearly $5.4 million in the second quarter lobbying on everything from patent reform to the fiscal 2009 defense spending bill, according to a disclosure report....
For Olympic Marketers, Emotions Pay
For many Olympic swimmers in Beijing, Speedo LZRs have helped produce record times. For winning advertisers during the Games, the key ingredient is proving to be emotional ads...
Huge Olympic Success To Add One Penny To GE's (GE) Bottom Line
The Olympics were far from a sure thing for NBC Universal. American interest in the games had been waning for years, and the prospect of a Chinese crackdown on protestors made many network bigwigs nervous...
U.S. FDA warns GE Healthcare unit over records
The U.S. Food and Drug Administration has warned GE Healthcare's Integrated IT Solutions unit about a dozen manufacturing violations including improper record keeping that could result in further action from the agency....
Immelt: GE ‘Not Done Doing Cable Deals’
General Electric chairman and CEO Jeff Immelt said that on the heels of NBC Universal’s acquisition of The Weather Channel, there may be more cable deals on the horizon. And he told CNBC’s Carl Quintanilla Monday morning that he is satisfied with the strategy of partnership arrangements such as the one formed for the TWC purchase.
Thursday, July 24, 2008
GE 2Q Earnings
General Electric 2Q profit falls
Industrial and financial conglomerate General Electric Co. announced Friday that its profit fell 6 percent in the second quarter, and that it has agreed to sell its Japanese consumer finance business for $5.4 billion. Fairfield-based GE earned $5.07 billion, or 51 cents per share, compared with a year-earlier profit of $5.38 billion, or 52 cents per share....
GE and Markets
General Electric's earnings today offer a stark look at what's going wrong (and a bit of what's right) in the market. Second-quarter profits fell 6 percent, and the company said it's selling off its Japanese consumer finance business. That's the latest surprise just weeks after GE said it would consider selling its consumer and industrial unit, which includes its signature appliances and light-bulb divisions....
Industrial and financial conglomerate General Electric Co. announced Friday that its profit fell 6 percent in the second quarter, and that it has agreed to sell its Japanese consumer finance business for $5.4 billion. Fairfield-based GE earned $5.07 billion, or 51 cents per share, compared with a year-earlier profit of $5.38 billion, or 52 cents per share....
GE and Markets
General Electric's earnings today offer a stark look at what's going wrong (and a bit of what's right) in the market. Second-quarter profits fell 6 percent, and the company said it's selling off its Japanese consumer finance business. That's the latest surprise just weeks after GE said it would consider selling its consumer and industrial unit, which includes its signature appliances and light-bulb divisions....
Wednesday, April 23, 2008
Recent News: Immelt and Shareholders, Cost-Cutting, GE Real Estate, and GE Energy Financial Services
Immelt: GE will cut another $1 billion in 'difficult times'
Less than two weeks after General Electric shocked investors by reporting a 6% loss in first-quarter profits, CEO Jeff Immelt said Wednesday that he sees "even more difficult times ahead" for the economy. But at the company's annual shareholder meeting here he said U.S. capital markets have improved since the end of the first quarter...
GE hikes cost-cutting goal to $3 billion
General Electric Co chief Jeffrey Immelt said on Wednesday U.S. capital markets have improved since the end of the first quarter but the overall U.S. economic picture is unchanged, and the company has raised its 2008 cost-cutting goal by $1 billion...
Immelt works to reassure shareholders at GE's annual meeting
General Electric Co.'s annual meetings are typically upbeat affairs as executives showcase the company's successes to satisfied shareholders of one of the world's most diversified and successful companies. But after GE chief executive Jeff Immelt was lambasted earlier this month for failing to hit first-quarter goals and triggering a selloff that wiped out more than $46 billion of GE's market capitalization, Wednesday's annual meeting was essentially a mea culpa to investors and analysts alike...
GE Buys $2.5B Loan Book From Capmark Europe
With capital markets worldwide reaching for firmer footing, GE Real Estate has struck its second Pan-European mega-deal in five months for a commercial property loan book. The £1.22-billion [$2.51 billion USD] acquisition of senior and whole loans is secured by 39 performing retail and office properties, predominately in Germany...
Immelt Targets More Cuts at GE Annual Meeting (GE)
Jeff Immelt will get to explain the recent General Electric Co. (NYSE: GE) earnings SNAFU all over again today. Frankly, all we really care about at 247WallSt.com is what lies ahead rather than rehashing what we already saw. We probably won't be hanging on for every single comment this morning, but there was at least some addressing of the current climate and some remedies it seeks. For starters, the company is now targeting for $3 Billion in cost cuts rather than $2 Billion. The company also said it will more frequently review its entire portfolio, which translates to the possibilities that the company can have more spin-offs or divestitures down the road...
No credit crunch in energy, GE unit says
After investing $104 million for the acquisition of oil and natural gas reserves in the Gulf Coast, officials from GE's Energy Financial Services unit in Stamford said they're still looking to do business. With fewer financing options available because of the ever-tightening credit markets, John Schaeffer, managing director and head of the oil and gas unit at the GE division thinks his company is one of the most reliable partners for oil and gas companies in the high-demand energy sector. "There are fewer financing options out there since the subprime crisis," Schaeffer said. "The prices paid for assets have come back to a more rational level. We're now more competitive than we were when there was more inexpensive money out there."...
Less than two weeks after General Electric shocked investors by reporting a 6% loss in first-quarter profits, CEO Jeff Immelt said Wednesday that he sees "even more difficult times ahead" for the economy. But at the company's annual shareholder meeting here he said U.S. capital markets have improved since the end of the first quarter...
GE hikes cost-cutting goal to $3 billion
General Electric Co chief Jeffrey Immelt said on Wednesday U.S. capital markets have improved since the end of the first quarter but the overall U.S. economic picture is unchanged, and the company has raised its 2008 cost-cutting goal by $1 billion...
Immelt works to reassure shareholders at GE's annual meeting
General Electric Co.'s annual meetings are typically upbeat affairs as executives showcase the company's successes to satisfied shareholders of one of the world's most diversified and successful companies. But after GE chief executive Jeff Immelt was lambasted earlier this month for failing to hit first-quarter goals and triggering a selloff that wiped out more than $46 billion of GE's market capitalization, Wednesday's annual meeting was essentially a mea culpa to investors and analysts alike...
GE Buys $2.5B Loan Book From Capmark Europe
With capital markets worldwide reaching for firmer footing, GE Real Estate has struck its second Pan-European mega-deal in five months for a commercial property loan book. The £1.22-billion [$2.51 billion USD] acquisition of senior and whole loans is secured by 39 performing retail and office properties, predominately in Germany...
Immelt Targets More Cuts at GE Annual Meeting (GE)
Jeff Immelt will get to explain the recent General Electric Co. (NYSE: GE) earnings SNAFU all over again today. Frankly, all we really care about at 247WallSt.com is what lies ahead rather than rehashing what we already saw. We probably won't be hanging on for every single comment this morning, but there was at least some addressing of the current climate and some remedies it seeks. For starters, the company is now targeting for $3 Billion in cost cuts rather than $2 Billion. The company also said it will more frequently review its entire portfolio, which translates to the possibilities that the company can have more spin-offs or divestitures down the road...
No credit crunch in energy, GE unit says
After investing $104 million for the acquisition of oil and natural gas reserves in the Gulf Coast, officials from GE's Energy Financial Services unit in Stamford said they're still looking to do business. With fewer financing options available because of the ever-tightening credit markets, John Schaeffer, managing director and head of the oil and gas unit at the GE division thinks his company is one of the most reliable partners for oil and gas companies in the high-demand energy sector. "There are fewer financing options out there since the subprime crisis," Schaeffer said. "The prices paid for assets have come back to a more rational level. We're now more competitive than we were when there was more inexpensive money out there."...
Thursday, April 17, 2008
Recent News: Bond Issue and Jeffery Immelt
GE Plans $8.5 Billion Bond Sale, Biggest Since 2002 (Update3)
General Electric Co., five days after disappointing investors with an unexpected profit drop, plans to raise $8.5 billion in the largest U.S. corporate bond offering in six years.
GE, the biggest U.S. corporate borrower, enticed investors with the highest yields that it's offered since early 2002. The planned sale demonstrates that top-rated investment-grade borrowers can still raise cash even amid concern that the economy is slipping into a recession...
Asia Day Ahead: Welch Says GE's Immelt Has `Credibility Issue'
U.S. stocks rose the most in two weeks as better-than-forecast profits from Intel Corp., JPMorgan Chase & Co. and Wells Fargo & Co. eased concern that the slowing economy is dragging down earnings. Crude oil and gasoline rose to records after the Energy Department reported unexpected declines in U.S. crude inventories and refinery operating rates...
Jeff Immelt on the Nasty Surprise at GE
It's not easy grilling your boss—especially when he's in the hot seat, as Jeff Immelt has been since Apr. 11 when GE reported disappointing first-quarter earnings that took the Street by surprise. CEO Immelt, who only weeks before had been sounding bullish, apologized for the unexpected news that earnings would grow at most 5% for the year. But that didn't deter observers, including former GE CEO Jack Welch, from taking him to task. Welch told CNBC (which employs me and is part of NBC Universal, a unit of GE): "Here's the screw-up. You made a promise that you'd deliver this, and you miss three weeks later. Jeff has a credibility issue. He's getting his ass kicked." I was on my way to the Mideast, but I called Immelt, and to his credit, he agreed to an interview and never sidestepped the tough questions...
Embattled GE CEO Defends Strategy
Five days after General Electric Co. disappointed investors with a surprise first-quarter earnings slump, Chief Executive Jeffrey R. Immelt defended his strategy and dismissed cries to split up and remake the conglomerate. But even as he moves to address rising investor pressure, he came under criticism Wednesday from another important constituent: GE's high-profile former CEO, Jack Welch...
General Electric Co., five days after disappointing investors with an unexpected profit drop, plans to raise $8.5 billion in the largest U.S. corporate bond offering in six years.
GE, the biggest U.S. corporate borrower, enticed investors with the highest yields that it's offered since early 2002. The planned sale demonstrates that top-rated investment-grade borrowers can still raise cash even amid concern that the economy is slipping into a recession...
Asia Day Ahead: Welch Says GE's Immelt Has `Credibility Issue'
U.S. stocks rose the most in two weeks as better-than-forecast profits from Intel Corp., JPMorgan Chase & Co. and Wells Fargo & Co. eased concern that the slowing economy is dragging down earnings. Crude oil and gasoline rose to records after the Energy Department reported unexpected declines in U.S. crude inventories and refinery operating rates...
Jeff Immelt on the Nasty Surprise at GE
It's not easy grilling your boss—especially when he's in the hot seat, as Jeff Immelt has been since Apr. 11 when GE reported disappointing first-quarter earnings that took the Street by surprise. CEO Immelt, who only weeks before had been sounding bullish, apologized for the unexpected news that earnings would grow at most 5% for the year. But that didn't deter observers, including former GE CEO Jack Welch, from taking him to task. Welch told CNBC (which employs me and is part of NBC Universal, a unit of GE): "Here's the screw-up. You made a promise that you'd deliver this, and you miss three weeks later. Jeff has a credibility issue. He's getting his ass kicked." I was on my way to the Mideast, but I called Immelt, and to his credit, he agreed to an interview and never sidestepped the tough questions...
Embattled GE CEO Defends Strategy
Five days after General Electric Co. disappointed investors with a surprise first-quarter earnings slump, Chief Executive Jeffrey R. Immelt defended his strategy and dismissed cries to split up and remake the conglomerate. But even as he moves to address rising investor pressure, he came under criticism Wednesday from another important constituent: GE's high-profile former CEO, Jack Welch...
Wednesday, April 16, 2008
Recent News: Earnings Plungs, Shares Tempting, NBC Universal, and Jeffery Immelt
GE shares tempting after plunge: report
General Electric Co. shares, much cheaper after plunging Friday on disappointing earnings, are poised to rebound as a great play on the continued development of infrastructure globally, Barron's reported in its latest issue....
After GE's Miss, Who’s Next?
have argued for a while that US stocks are generally overvalued, as per my evaluation of General Electric. The only part of GE that has apparently performed well is Infrastructure, Financials, Medical, and Industrial have all proved to be a disappointment...
GE Will Still Shine - Barron's
General Electric’s earnings miss on Friday was a shocker even to management, and market reaction was understandable: GE has rarely disappointed the Street, and the $0.44 EPS was sharply below the $0.51 analysts expected. GE also lowered 2008 guidance from $2.43/share to $2.20-$2.30. Barron’s admits it was overly rosy on GE in June, but says investors shouldn’t throw out GE with the credit crisis bathwater. GE’s gas and wind turbines, jet engines and train units are riding the global infrastructure boom, with infrastructure accounting for 40% of GE’s earnings and a divisional 11% growth in Q1...
NBC revs up, GE stock slumps
NBCU posted a 3% year-over-year gain in operating profit and revenue in the first quarter, but the rosy numbers came against the gloomy backdrop of parent GE's results...
Two Important Lessons from GE's Earnings
In 1896, General Electric was one of the original 12 companies listed on the newly-formed Dow Jones Industrial Average. After 112 years, GE is the only original company remaining in the Dow. So when one of America's most respected — and largest — companies announced that their quarterly profits fell well short of expectations ... and warned that the rest of 2008 wasn't looking so hot ... I perked up...
GE's Immelt 'in the penalty box'?
General Electric's CEO Jeffrey Immelt is facing increasing scrutiny after last week's unpleasant earnings surprise sent the stock down 13%. GE is now trading near its 52-week low of $31.55, and major investors are not pleased...
General Electric Co. shares, much cheaper after plunging Friday on disappointing earnings, are poised to rebound as a great play on the continued development of infrastructure globally, Barron's reported in its latest issue....
After GE's Miss, Who’s Next?
have argued for a while that US stocks are generally overvalued, as per my evaluation of General Electric. The only part of GE that has apparently performed well is Infrastructure, Financials, Medical, and Industrial have all proved to be a disappointment...
GE Will Still Shine - Barron's
General Electric’s earnings miss on Friday was a shocker even to management, and market reaction was understandable: GE has rarely disappointed the Street, and the $0.44 EPS was sharply below the $0.51 analysts expected. GE also lowered 2008 guidance from $2.43/share to $2.20-$2.30. Barron’s admits it was overly rosy on GE in June, but says investors shouldn’t throw out GE with the credit crisis bathwater. GE’s gas and wind turbines, jet engines and train units are riding the global infrastructure boom, with infrastructure accounting for 40% of GE’s earnings and a divisional 11% growth in Q1...
NBC revs up, GE stock slumps
NBCU posted a 3% year-over-year gain in operating profit and revenue in the first quarter, but the rosy numbers came against the gloomy backdrop of parent GE's results...
Two Important Lessons from GE's Earnings
In 1896, General Electric was one of the original 12 companies listed on the newly-formed Dow Jones Industrial Average. After 112 years, GE is the only original company remaining in the Dow. So when one of America's most respected — and largest — companies announced that their quarterly profits fell well short of expectations ... and warned that the rest of 2008 wasn't looking so hot ... I perked up...
GE's Immelt 'in the penalty box'?
General Electric's CEO Jeffrey Immelt is facing increasing scrutiny after last week's unpleasant earnings surprise sent the stock down 13%. GE is now trading near its 52-week low of $31.55, and major investors are not pleased...
Monday, April 14, 2008
Recent News: More News about earnings dissapointment
GE LIGHTS OUT
Wall Street took it on the chin yesterday after conglomerate General Electric shocked the market with its first profit decline in years - and then wreaked further havoc when it lowered its full-year forecast. The results proved that even the all-powerful GE - whose businesses range from aircraft engines to medical devices to cable TV networks - wasn't immune to the credit crunch that has been rocking the financial sector since last summer...
GE: Immeltdown?
Investors aren't taking kindly to the earnings miss General Electric announced Friday morning. The company reported 44 cents vs. 48 cents a year ago and a consensus estimate of 51 cents. The stock is off by 12% at this time; since Jeff Immelt took over as CEO in 2001, it has fallen by nearly 20%, in a stock market that's up by 19% over the same period....
What Went Wrong at GE?
I won't go into detail because all the punditude doing that... But what I haven't heard from the punditude is the fact that GE is known for having the most managed earnings stream on the street... this never happens with them. So what changed all of the sudden? How much did things slow? Remember this is a company where insiders were buying hand over fist 1-2 months ago... So how sharply did things slow that last month?...
GE Falling Sharply - Time to Buy?
Sellers of mega blue chip General Electric are dominant in active pre-open and early regular session trading on the heels of a surprisingly weak earnings report from the conglomerate....
Stocks Plunge as GE Disappoints
Stocks plunged on Friday after General Electric reported much weaker than anticipated results, and lowered its earnings forecast for 2008, and consumer sentiment fell to a 26-year low...
Lessons of G.E.
Pondering the G.E. earnings miss yesterday leaves me with a handful of observations:
The economic downturn is accelerating. As Kathleen Shanley of Gimme Credit writes, “If there is another company that is as close a proxy for the overall economy as General Electric, we’re not aware of it.”...
Recession on: GE results flag
GENERAL Electric Company - the second-largest US company by market capitalisation - posted an unexpected 6 per cent drop in first-quarter profits on Friday, the biggest shock yet to an American industrial bellwether from the credit crisis and the latest sign the US economy may be in a recession....
Stocks fall sharply following GE results
Wall Street stumbled Friday after a disappointing first-quarter report from General Electric Co. surprised the market and stoked concern about the health of both corporate profits and the wider economy. The major indexes fell more than 2 percent, with the Dow Jones industrials giving up more than 250 points...
Wall Street took it on the chin yesterday after conglomerate General Electric shocked the market with its first profit decline in years - and then wreaked further havoc when it lowered its full-year forecast. The results proved that even the all-powerful GE - whose businesses range from aircraft engines to medical devices to cable TV networks - wasn't immune to the credit crunch that has been rocking the financial sector since last summer...
GE: Immeltdown?
Investors aren't taking kindly to the earnings miss General Electric announced Friday morning. The company reported 44 cents vs. 48 cents a year ago and a consensus estimate of 51 cents. The stock is off by 12% at this time; since Jeff Immelt took over as CEO in 2001, it has fallen by nearly 20%, in a stock market that's up by 19% over the same period....
What Went Wrong at GE?
I won't go into detail because all the punditude doing that... But what I haven't heard from the punditude is the fact that GE is known for having the most managed earnings stream on the street... this never happens with them. So what changed all of the sudden? How much did things slow? Remember this is a company where insiders were buying hand over fist 1-2 months ago... So how sharply did things slow that last month?...
GE Falling Sharply - Time to Buy?
Sellers of mega blue chip General Electric are dominant in active pre-open and early regular session trading on the heels of a surprisingly weak earnings report from the conglomerate....
Stocks Plunge as GE Disappoints
Stocks plunged on Friday after General Electric reported much weaker than anticipated results, and lowered its earnings forecast for 2008, and consumer sentiment fell to a 26-year low...
Lessons of G.E.
Pondering the G.E. earnings miss yesterday leaves me with a handful of observations:
The economic downturn is accelerating. As Kathleen Shanley of Gimme Credit writes, “If there is another company that is as close a proxy for the overall economy as General Electric, we’re not aware of it.”...
Recession on: GE results flag
GENERAL Electric Company - the second-largest US company by market capitalisation - posted an unexpected 6 per cent drop in first-quarter profits on Friday, the biggest shock yet to an American industrial bellwether from the credit crisis and the latest sign the US economy may be in a recession....
Stocks fall sharply following GE results
Wall Street stumbled Friday after a disappointing first-quarter report from General Electric Co. surprised the market and stoked concern about the health of both corporate profits and the wider economy. The major indexes fell more than 2 percent, with the Dow Jones industrials giving up more than 250 points...
Recent News: Earnings Miss
US open: GE figures instigate sell-off
Wall Street is heavily lower after poor figures from General Electric raised concerns about broader corporate earnings...
GE Plunges as Profit Misses Estimates, Forecast Cut (Update9)
General Electric Co. slumped the most in more than two decades after profit unexpectedly fell and Chief Executive Officer Jeffrey Immelt cut the company's annual forecast just a month after pledging to meet it...
For GE, the world is not enough
So much for a weak dollar and stronger global economy helping to lift results for large multinational companies like General Electric. GE did report that international sales grew 22% in the first quarter and that revenue from developing countries soared 38%. But that was not enough to save GE from reporting total sales and earnings that missed analysts' forecasts....
Drop in GE profit jolts market
An unexpected drop in first-quarter profit at General Electric (NYSE: GE) caught the market by surprise Friday which in turn caused stocks across the Big Board to tumble....
Midday Market Update: GE Misses the Mark and Sends Stocks Lower
.S. stocks posted their biggest decline in two weeks early today (Friday) after an unexpected profit decline by General Electric Co. (GE) reignited worries that the credit crunch is causing more damage than investors realize....
GE shocks with profits warning
GE, the US industrial conglomerate and one of the world’s largest companies, today issued a shock profits warning that it would miss full-year forecasts. Jerome Heppelmann, portfolio manager at Liberty Ridge Capital, told Reuters: “It’s confirmation that we’re in a recession.” ...
4th UPDATE: GE Stuns Market As Profits Fall Short
General Electric Co. (GE) reported a stunning 5.8% drop in first-quarter net income amid weakness in its sprawling financial-services operations and issued a disappointing forecast for the rest of the year, delivering another blow to markets already concerned about a U.S.-led economic slowdown....
Moooy's affirms GE's ratings following 1Q earnings miss
Moody's affirmed General Electric Co.'s ratings following the Fairfield, Conn.-based diversified industrial giant reported first-quarter earnings well below Wall Street expectations...
Wall Street is heavily lower after poor figures from General Electric raised concerns about broader corporate earnings...
GE Plunges as Profit Misses Estimates, Forecast Cut (Update9)
General Electric Co. slumped the most in more than two decades after profit unexpectedly fell and Chief Executive Officer Jeffrey Immelt cut the company's annual forecast just a month after pledging to meet it...
For GE, the world is not enough
So much for a weak dollar and stronger global economy helping to lift results for large multinational companies like General Electric. GE did report that international sales grew 22% in the first quarter and that revenue from developing countries soared 38%. But that was not enough to save GE from reporting total sales and earnings that missed analysts' forecasts....
Drop in GE profit jolts market
An unexpected drop in first-quarter profit at General Electric (NYSE: GE) caught the market by surprise Friday which in turn caused stocks across the Big Board to tumble....
Midday Market Update: GE Misses the Mark and Sends Stocks Lower
.S. stocks posted their biggest decline in two weeks early today (Friday) after an unexpected profit decline by General Electric Co. (GE) reignited worries that the credit crunch is causing more damage than investors realize....
GE shocks with profits warning
GE, the US industrial conglomerate and one of the world’s largest companies, today issued a shock profits warning that it would miss full-year forecasts. Jerome Heppelmann, portfolio manager at Liberty Ridge Capital, told Reuters: “It’s confirmation that we’re in a recession.” ...
4th UPDATE: GE Stuns Market As Profits Fall Short
General Electric Co. (GE) reported a stunning 5.8% drop in first-quarter net income amid weakness in its sprawling financial-services operations and issued a disappointing forecast for the rest of the year, delivering another blow to markets already concerned about a U.S.-led economic slowdown....
Moooy's affirms GE's ratings following 1Q earnings miss
Moody's affirmed General Electric Co.'s ratings following the Fairfield, Conn.-based diversified industrial giant reported first-quarter earnings well below Wall Street expectations...
