Berkshire Hathaway $1B+ Investment Holdings At Yearend 2009
As is his practice in his annual letter to shareholders, Berkshire Hathaway chairman Warren Buffett listed the company's common stock investments that at yearend, in this case Dec. 31, 2009, had a market value of more than $1 billion. Click the more link to see the list.
In addition, Berkshire Hathaway owns positions in non-traded securities of Dow Chemical, General Electric, Goldman Sachs, Swiss Re and Wrigley with an aggregate cost of $21.1 billion and a carrying value of $26.0 billion. It also 76,777,029 shares (22.5%) of BNSF at yearend, which were then carried at $85.78 per share, but which have subsequently been melded into Berkshire's purchase of the entire company.
The Oracle's Tips for the Rest of Us
Every few years, critics say Warren Buffett has lost his touch. He's too old and too old-fashioned, they claim. He doesn't get it anymore. This time he's wrong.
It happened during the dotcom bubble, when Mr. Buffett was mocked for refusing to join the party. And it happened again last year. As the Dow tumbled below 7,000, Mr. Buffett came under fire for having jumped into the crisis too early and too boldly, making big bets on Goldman Sachs and General Electric during the fall of 2008, and urging the public to plunge into shares.
Now it's time for those critics to sit down for their traditional three course meal: humble pie, their own words and crow.
On Saturday, Mr. Buffett's Berkshire Hathaway reported that net earnings rocketed 61% last year to $5,193 per share, while book value jumped 20% to a record high. Berkshire's Class A shares, which slumped to nearly $70,000 last year, have rebounded to $120,000.
Those bets on GE and Goldman? They've made billions so far. And anyone who took Mr. Buffett's advice and invested in the stock market in October 2008, even through a simple index fund, is up about 25%.
Showing posts with label Warren Buffett. Show all posts
Showing posts with label Warren Buffett. Show all posts
Tuesday, March 2, 2010
Friday, October 17, 2008
Recent News: Steel Mill Financing, Commercial Paper Subsidies, Commercial Properties, Locomotives in Kazakhstan, China, and Jim Cramer - Warren Buffet
GE unit increases steel mill financing by $100M
GE Commercial Finance Corporate Lending, a unit of General Electric Co., announced Wednesday it will increase its financing of a Mississippi steel mill by $100 million...
Fed Offers GE, Citigroup Commercial Paper Subsidies
The Federal Reserve may subsidize U.S. companies by buying their short-term debt at rates below those demanded by private investors in the $1.6 trillion commercial-paper market. Fed officials yesterday set the yield they will pay for commercial paper at about 1.1 percentage points less than the average cost for financial companies, weekly central bank data show. Policy makers last week announced emergency plans to buy the securities after the market shrank to a three-year low...
GE's 'Honey Pot' Properties Turn Sour
When the real-estate market was booming, General Electric Co.'s commercial-property business earned the nickname "the honey pot" among insiders because the company could increase earnings simply by selling a building or two. But now, the opposite is true: GE's difficulty selling its office buildings, shopping centers and other commercial property is dragging down its financial results....
GE plans to build trains in Kazakhstan
The Kazakh venture of General Electric Co. plans to produce as many as 200 locomotives a year starting in 2011. GE, the world's largest maker of locomotives, and AO Kazakhstan Temir Zholy National Co., the country's state-owned rail company, plan to produce up to 100 train engines a year starting in 2009 at a new $750 million plant in the capital Astana, Temir Zholy said Tuesday....
GE private equity arm holding off on new China buys
A private equity unit of General Electric said on Thursday that it would focus on its existing investment portfolio in China rather than investing in new projects over the next 2-3 years amid poor market conditions. Zhu Wenqian, head of private equity and business development, Greater China at GE Commercial Finance, said asset managers and investors would have to prepare for "a sustained war" before the markets start to recover....
Crisis stresses in-house lending of U.S. companies
Increasing signs of stress at the finance arm of General Electric Co has triggered some concerns about other companies with in-house lending units and their ability to weather the financial crisis....
Cramer: Sure, Buffett Can Afford to Buy Here
Great to see Warren Buffett buying here. Fabulous. He has a lot of firepower. He is right to buy American. And I want to go with him, except, he's been buying for awhile, and, more important, he can be down 20% to 30% and it doesn't matter...
GE Commercial Finance Corporate Lending, a unit of General Electric Co., announced Wednesday it will increase its financing of a Mississippi steel mill by $100 million...
Fed Offers GE, Citigroup Commercial Paper Subsidies
The Federal Reserve may subsidize U.S. companies by buying their short-term debt at rates below those demanded by private investors in the $1.6 trillion commercial-paper market. Fed officials yesterday set the yield they will pay for commercial paper at about 1.1 percentage points less than the average cost for financial companies, weekly central bank data show. Policy makers last week announced emergency plans to buy the securities after the market shrank to a three-year low...
GE's 'Honey Pot' Properties Turn Sour
When the real-estate market was booming, General Electric Co.'s commercial-property business earned the nickname "the honey pot" among insiders because the company could increase earnings simply by selling a building or two. But now, the opposite is true: GE's difficulty selling its office buildings, shopping centers and other commercial property is dragging down its financial results....
GE plans to build trains in Kazakhstan
The Kazakh venture of General Electric Co. plans to produce as many as 200 locomotives a year starting in 2011. GE, the world's largest maker of locomotives, and AO Kazakhstan Temir Zholy National Co., the country's state-owned rail company, plan to produce up to 100 train engines a year starting in 2009 at a new $750 million plant in the capital Astana, Temir Zholy said Tuesday....
GE private equity arm holding off on new China buys
A private equity unit of General Electric said on Thursday that it would focus on its existing investment portfolio in China rather than investing in new projects over the next 2-3 years amid poor market conditions. Zhu Wenqian, head of private equity and business development, Greater China at GE Commercial Finance, said asset managers and investors would have to prepare for "a sustained war" before the markets start to recover....
Crisis stresses in-house lending of U.S. companies
Increasing signs of stress at the finance arm of General Electric Co has triggered some concerns about other companies with in-house lending units and their ability to weather the financial crisis....
Cramer: Sure, Buffett Can Afford to Buy Here
Great to see Warren Buffett buying here. Fabulous. He has a lot of firepower. He is right to buy American. And I want to go with him, except, he's been buying for awhile, and, more important, he can be down 20% to 30% and it doesn't matter...
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?...
Wednesday, October 8, 2008
Recent News: Stock Performance, Dividend Cut?, Warren Buffet, and Berkshire Hathaway
General Electric (GE) Lower Again On Fears
After trading higher earlier, General Electric Co. is lower again. The stock is trading at $20.63, down 3.5%. The 52-week low is $19.69. GE recently had that large stock offering at $22.25, which is now underwater....
General Electric May be Next to Cut its Dividend (GE)
General Electric (GE) has said it would like to continue paying out its current dividend, but questions abound as to whether that will be possible, given the company’s capital concerns...
GE shares recover after plunging to 11-year low
Shares of General Electric Co. staged a recovery Tuesday after plunging to their lowest price in more than 11 years. The industrial and commercial conglomerate's stock price advanced 59 cents, or 2.8 percent, to $21.97 in midday trading. A day earlier, the stock tumbled as low as $19.69 before rebounding to finish at $21.38. Monday's session was traumatic for the broader market, as the Dow Jones Industrial Average - of which GE is a component - dived as much as 800 points, dipping below 10,000 for the first time in four years...
Why I’m buying
The market is in free fall. Friends are calling and emailing in a panic. My response: I’m buying. Investors today seem as fearful as they’ve been since, perhaps, the Great Depression. And as Warren Buffett once famously said: “Be fearful when others are greedy, and greedy when others are fearful.”..
Warren Buffett's Celebrity-Style Endorsements of GE & Goldman Aren't Helping the Stocks ... Yet
Warren Buffett's celebrity-style endorsements of General Electric and Goldman Sachs haven't paid off in higher stock prices for the two companies -- at least not yet.Buffett's words of praise for GE and Goldman were featured prominently in the announcements of Berkshire Hathaway's $5 billion investment in Goldman on September 23 and its $3 billion injection into General Electric on October 1...
Buffett Buys GE, Goldman: Should You Follow?
While I was sitting at my desk on Wednesday, I heard Chris Rowe marvel, “Warren Buffett is such a stud.” Now, Chris does have a slight man-crush on Warren, but he’s also happily married with baby number two on the way. So I figured that Buffett must have just pulled off a major coup....
After trading higher earlier, General Electric Co. is lower again. The stock is trading at $20.63, down 3.5%. The 52-week low is $19.69. GE recently had that large stock offering at $22.25, which is now underwater....
General Electric May be Next to Cut its Dividend (GE)
General Electric (GE) has said it would like to continue paying out its current dividend, but questions abound as to whether that will be possible, given the company’s capital concerns...
GE shares recover after plunging to 11-year low
Shares of General Electric Co. staged a recovery Tuesday after plunging to their lowest price in more than 11 years. The industrial and commercial conglomerate's stock price advanced 59 cents, or 2.8 percent, to $21.97 in midday trading. A day earlier, the stock tumbled as low as $19.69 before rebounding to finish at $21.38. Monday's session was traumatic for the broader market, as the Dow Jones Industrial Average - of which GE is a component - dived as much as 800 points, dipping below 10,000 for the first time in four years...
Why I’m buying
The market is in free fall. Friends are calling and emailing in a panic. My response: I’m buying. Investors today seem as fearful as they’ve been since, perhaps, the Great Depression. And as Warren Buffett once famously said: “Be fearful when others are greedy, and greedy when others are fearful.”..
Warren Buffett's Celebrity-Style Endorsements of GE & Goldman Aren't Helping the Stocks ... Yet
Warren Buffett's celebrity-style endorsements of General Electric and Goldman Sachs haven't paid off in higher stock prices for the two companies -- at least not yet.Buffett's words of praise for GE and Goldman were featured prominently in the announcements of Berkshire Hathaway's $5 billion investment in Goldman on September 23 and its $3 billion injection into General Electric on October 1...
Buffett Buys GE, Goldman: Should You Follow?
While I was sitting at my desk on Wednesday, I heard Chris Rowe marvel, “Warren Buffett is such a stud.” Now, Chris does have a slight man-crush on Warren, but he’s also happily married with baby number two on the way. So I figured that Buffett must have just pulled off a major coup....
Recent News: Tina Fey, GE Aviation new CEO Lorraine Bolsinger, Stock Performance, Warren Buffet, and Wind
Watch Tina Fey Save General Electric
In her hilarious 30 Rock sitcom, Tina Fey skewers the network politics of NBC. Ironically enough, she may be (almost singlehandedly) saving the broadcaster, too. The season premiere of 30 Rock is still several weeks away, but Fey is already giving NBC a huge ratings boost with her spot-on Sarah Palin impersonations on Saturday Night Live...
General Electric names Lorraine Bolsinger CEO of GE Aviation systems - Update
Monday, General Electric Co., announced the appointment of Lorraine Bolsinger as President and Chief executive officer of GE Aviation systems, LLC. The company also named Steve Fludder as head of ecomagination, succeeding Bolsinger...
Let's See If GE Cuts It
Of course, it'll be tough to match the newsworthiness of Warren Buffett and Berkshire Hathaway's (NYSE: BRK-A) (NYSE: BRK-B) injection of $3 billion into General Electric in exchange for perpetual preferred stock. That deal followed hard behind a similar Buffett investment of $5 billion into Goldman Sachs (NYSE: GS). But what induced Warren's GE purchase? What is it about the company that he finds especially attractive -- other than GE shares' nearly 50% plunge from their 52-week high? One silver lining: Several of GE's areas are at or near the top of their respective lines of business, including...
Shares of GE fall to 11-year low
Shares of General Electric Co. hovered at around $20 Monday, the lowest point in more than 11 years as a sell-off pulled down broader markets. The share price of the industrial and commercial conglomerate, a bellwether of the U.S. economy, has slid steadily since the financial crisis hit Wall Street last month. On Sept. 25, GE cut its earnings forecast for the year, blaming volatile financial markets damaging the profitability of its loan and lease business that accounts for almost half its income....
Worrying New Disclosures From GE
Last Wednesday, the same day General Electric announced that Warren Buffett’s Berkshire Hathaway planned to invest $3 bn in the conglomerate and that it planned a new $12 bn stock offering, GE shot a little noticed filing over to the Securities and Exchange Commission that gave fresh detail on the unhealthy state of the company....
Shares of GE fall to 11-year low
Shares of General Electric Co. hovered at around $20 Monday, the lowest point in more than 11 years as a sell-off pulled down broader markets. The share price of the industrial and commercial conglomerate, a bellwether of the U.S. economy, dropped sharply in April after GE widely missed its earnings target for the first quarter. It continued its slide last month as investors fled most financial companies....
Commodities Continue Slide; GE Trips South Of $20
General Electric is generally regarded, for better or worse, as a bellwether for the global economy. Not an auspicious moniker to have, when the global economy seemed to be tettering on the brink of recession, something GE tacitly admitted last month when it warned that its quarter wasn’t going to live up to forecasts. Last week’s decision to raise $12 billion...
Buffett Buys GE, Goldman. Should You?
While I was sitting at my desk on Wednesday, I heard Chris Rowe marvel, “Warren Buffett is such a stud.” Now, Chris does have a slight man-crush on Warren, but he’s also happily married with baby number two on the way. So I figured that Buffett must have just pulled off a major coup. Sure enough, I looked at the news and saw that Buffett’s Berkshire Hathaway (BRK.A) had invested $3 billion in General Electric (GE) preferred stock carrying a 10% dividend. Buffett also secured the option of picking up another $3 billion worth of GE common stock at $22.25 a share over the next five years. GE stock closed at $24.50 on Oct. 1. For average Joe investor, GE’s dividend yield is around 5%. ...
GE bullish over wind forecast
Given that Germany has the highest installed wind capacity in the world at about 23,000MW, it is not surprising to learn that US engineering giant GE Power's main renewables facility is sited in the country. Located in Salzbergen, close to the border with the Netherlands, and capable of producing 1,600 wind turbines a year, the facility is GE's so-called centre of excellence for wind energy. While GE is obviously proud of the facility and the investment it has put into it, the site has a rather dubious heritage, having been acquired in a bankruptcy sale following the spectacular collapse of power industry pariah Enron in 2002. However, according to GE Power's vice president of renewables, Victor Abate, the company has made significant improvements to the Salzbergen factory and the wider wind business it acquired....
In her hilarious 30 Rock sitcom, Tina Fey skewers the network politics of NBC. Ironically enough, she may be (almost singlehandedly) saving the broadcaster, too. The season premiere of 30 Rock is still several weeks away, but Fey is already giving NBC a huge ratings boost with her spot-on Sarah Palin impersonations on Saturday Night Live...
General Electric names Lorraine Bolsinger CEO of GE Aviation systems - Update
Monday, General Electric Co., announced the appointment of Lorraine Bolsinger as President and Chief executive officer of GE Aviation systems, LLC. The company also named Steve Fludder as head of ecomagination, succeeding Bolsinger...
Let's See If GE Cuts It
Of course, it'll be tough to match the newsworthiness of Warren Buffett and Berkshire Hathaway's (NYSE: BRK-A) (NYSE: BRK-B) injection of $3 billion into General Electric in exchange for perpetual preferred stock. That deal followed hard behind a similar Buffett investment of $5 billion into Goldman Sachs (NYSE: GS). But what induced Warren's GE purchase? What is it about the company that he finds especially attractive -- other than GE shares' nearly 50% plunge from their 52-week high? One silver lining: Several of GE's areas are at or near the top of their respective lines of business, including...
Shares of GE fall to 11-year low
Shares of General Electric Co. hovered at around $20 Monday, the lowest point in more than 11 years as a sell-off pulled down broader markets. The share price of the industrial and commercial conglomerate, a bellwether of the U.S. economy, has slid steadily since the financial crisis hit Wall Street last month. On Sept. 25, GE cut its earnings forecast for the year, blaming volatile financial markets damaging the profitability of its loan and lease business that accounts for almost half its income....
Worrying New Disclosures From GE
Last Wednesday, the same day General Electric announced that Warren Buffett’s Berkshire Hathaway planned to invest $3 bn in the conglomerate and that it planned a new $12 bn stock offering, GE shot a little noticed filing over to the Securities and Exchange Commission that gave fresh detail on the unhealthy state of the company....
Shares of GE fall to 11-year low
Shares of General Electric Co. hovered at around $20 Monday, the lowest point in more than 11 years as a sell-off pulled down broader markets. The share price of the industrial and commercial conglomerate, a bellwether of the U.S. economy, dropped sharply in April after GE widely missed its earnings target for the first quarter. It continued its slide last month as investors fled most financial companies....
Commodities Continue Slide; GE Trips South Of $20
General Electric is generally regarded, for better or worse, as a bellwether for the global economy. Not an auspicious moniker to have, when the global economy seemed to be tettering on the brink of recession, something GE tacitly admitted last month when it warned that its quarter wasn’t going to live up to forecasts. Last week’s decision to raise $12 billion...
Buffett Buys GE, Goldman. Should You?
While I was sitting at my desk on Wednesday, I heard Chris Rowe marvel, “Warren Buffett is such a stud.” Now, Chris does have a slight man-crush on Warren, but he’s also happily married with baby number two on the way. So I figured that Buffett must have just pulled off a major coup. Sure enough, I looked at the news and saw that Buffett’s Berkshire Hathaway (BRK.A) had invested $3 billion in General Electric (GE) preferred stock carrying a 10% dividend. Buffett also secured the option of picking up another $3 billion worth of GE common stock at $22.25 a share over the next five years. GE stock closed at $24.50 on Oct. 1. For average Joe investor, GE’s dividend yield is around 5%. ...
GE bullish over wind forecast
Given that Germany has the highest installed wind capacity in the world at about 23,000MW, it is not surprising to learn that US engineering giant GE Power's main renewables facility is sited in the country. Located in Salzbergen, close to the border with the Netherlands, and capable of producing 1,600 wind turbines a year, the facility is GE's so-called centre of excellence for wind energy. While GE is obviously proud of the facility and the investment it has put into it, the site has a rather dubious heritage, having been acquired in a bankruptcy sale following the spectacular collapse of power industry pariah Enron in 2002. However, according to GE Power's vice president of renewables, Victor Abate, the company has made significant improvements to the Salzbergen factory and the wider wind business it acquired....
Monday, October 6, 2008
Recent News: Warren Buffett, Stock Offering, Stock Performance, and Ratings Cut
Chasing Value: General Electric is screaming to me!
The market is bouncing around with every bit of news leaked from the Congress as well as company warnings and Federal reports. 'My pal Warren' is frequently being asked his opinion about the stock market and his 'stock answer' is that he ignores the overall market and its daily gyrations and focuses on individual investments and price (value)....
General Electric still slides on Warren Buffett backing
Shares in General Electric fell another 10 per cent yesterday as Wall Street ignored the backing Warren Buffett has given the company and braced itself for a full-scale banking crisis. On Wednesday, Mr Buffett bought $3 billion (£1.7 billion) of GE preferred shares through Berkshire Hathaway, his investment vehicle. He acquired the stock at $22.25 each. At the same time, GE, one of the world’s largest conglomerates, sold another 548 million shares at the same price to other investors. On Wall Street yesterday, GE shares were trading at $22.12, just below the fundraising offer price...
Bet on Warren Buffett, not on slogans
THERE’S only one set of people that finance firms have thrown money at more willingly than subprime borrowers in recent years and that’s ad execs. And a fat lot of good it’s done them. Even in these straitened times, they are seldom off the TV and their spots are seldom anything other than awful. At the moment there’s a particularly horrid series for E-Trade featuring a baby day trader getting freaky with his girlfriend via text message. “Bad girl,” he says and shivers. Me too. Makes me feel abused every time it’s on...
Buffett Sees the Light in GE
Some stocks are labeled bellwethers for good reason. General Electric, the huge conglomerate whose reach extends into industry, health care, media and financial services, has long been considered a barometer for the economy. These days, for better or worse, the company is emblematic of the problems roiling the financial markets overall and financial firms in particular. ..
GE Needs to Shed More Light
WEDNESDAY AFTERNOON, GENERAL ELECTRIC (ticker: GE) announced plans to offer at least $12 billion of common stock to the public. The announcement comes on the heels of saying on Sept. 25 when asked about issuing new equity that "we just don't see it right now."...
Ahead of the Bell: Analyst cuts forecast for GE
An analyst Friday reduced his earnings forecast for General Electric Co. for 2008 and the next two years, but said the conglomerate's share offering of $12.2 billion and another $3 billion in warrants to Warren Buffett affects only the fourth quarter....
GE shares slide after secondary stock offering
General Electric Co. shares fell as much as 10 percent on Thursday, touching a new 5-1/2-year low, as its sale of $15 billion in new stock to investors including Warren Buffett failed to soothe Wall Street worries. GE shares have tumbled about 40 percent this year as the global credit crunch has taken a heavy toll on its hefty finance arm and the company warned that 2008 profit could drop 12 percent....
The market is bouncing around with every bit of news leaked from the Congress as well as company warnings and Federal reports. 'My pal Warren' is frequently being asked his opinion about the stock market and his 'stock answer' is that he ignores the overall market and its daily gyrations and focuses on individual investments and price (value)....
General Electric still slides on Warren Buffett backing
Shares in General Electric fell another 10 per cent yesterday as Wall Street ignored the backing Warren Buffett has given the company and braced itself for a full-scale banking crisis. On Wednesday, Mr Buffett bought $3 billion (£1.7 billion) of GE preferred shares through Berkshire Hathaway, his investment vehicle. He acquired the stock at $22.25 each. At the same time, GE, one of the world’s largest conglomerates, sold another 548 million shares at the same price to other investors. On Wall Street yesterday, GE shares were trading at $22.12, just below the fundraising offer price...
Bet on Warren Buffett, not on slogans
THERE’S only one set of people that finance firms have thrown money at more willingly than subprime borrowers in recent years and that’s ad execs. And a fat lot of good it’s done them. Even in these straitened times, they are seldom off the TV and their spots are seldom anything other than awful. At the moment there’s a particularly horrid series for E-Trade featuring a baby day trader getting freaky with his girlfriend via text message. “Bad girl,” he says and shivers. Me too. Makes me feel abused every time it’s on...
Buffett Sees the Light in GE
Some stocks are labeled bellwethers for good reason. General Electric, the huge conglomerate whose reach extends into industry, health care, media and financial services, has long been considered a barometer for the economy. These days, for better or worse, the company is emblematic of the problems roiling the financial markets overall and financial firms in particular. ..
GE Needs to Shed More Light
WEDNESDAY AFTERNOON, GENERAL ELECTRIC (ticker: GE) announced plans to offer at least $12 billion of common stock to the public. The announcement comes on the heels of saying on Sept. 25 when asked about issuing new equity that "we just don't see it right now."...
Ahead of the Bell: Analyst cuts forecast for GE
An analyst Friday reduced his earnings forecast for General Electric Co. for 2008 and the next two years, but said the conglomerate's share offering of $12.2 billion and another $3 billion in warrants to Warren Buffett affects only the fourth quarter....
GE shares slide after secondary stock offering
General Electric Co. shares fell as much as 10 percent on Thursday, touching a new 5-1/2-year low, as its sale of $15 billion in new stock to investors including Warren Buffett failed to soothe Wall Street worries. GE shares have tumbled about 40 percent this year as the global credit crunch has taken a heavy toll on its hefty finance arm and the company warned that 2008 profit could drop 12 percent....
Friday, October 3, 2008
Recent News: Stock Offering and Warren Buffett
GE Offering Could Become Big U.S. Score for Deutsche Bank General Electric’s decision to sell $12 billion in common stock to the public is the best news Deutsche Bank’s equities team has heard in nearly two years. General Electric is selling $12 billion in common stock to the public and $3bn in perpetual preferred stock to Berkshire Hathaway, in what could be the largest US issuance of common shares featuring Deutsche Bank as one of the bookrunners...
Praise for General Electric, but dilution questioned
While much of the market is staying on the sidelines with cash in hand, Warren Buffett has made some major investments in names like Constellation Energy Group Inc., Goldman Sachs Group Inc. and now General Electric Co. His Berkshire Hathaway Inc. announced plans to purchase US$3-billion in perpetual preferred GE stock and warrants to buy 134.8 million common shares at any time in the next five years. The price tag was set at US$22.25 a share, below GE's market price and nearly half of where it was trading a year ago. GE is also offering at least US$12-billion in common shares to the public...
Buffett’s Bet on G.E.: Almost as Good as a Bailout
Warren E. Buffett is emerging as the banker of choice to the embattled blue-chip companies of American business. Mr. Buffett, the billionaire investor, announced on Wednesday that he would invest $3 billion in General Electric, the industrial giant that is also the nation’s largest nonbank financial company. The move comes eight days after he said he would invest $5 billion in Goldman Sachs...
GE Pays Now For Profit Later
General Electric is making its shareholders suffer some short-term pain for what it hopes will be long-term gain. The conglomerate on Thursday priced a secondary stock offering at a significant discount to its Wednesday close, pushing down the outstanding shares but giving the company a dollop of capital that will reduce its dependence on the stressed-out commercial paper market...
Why Buffett Likes GE
Warren Buffett, CEO of Berkshire Hathaway, continues to use his firm's whopping cash balance to make investments into some of the most prized, and beaten down, American companies.
What will Buffett buy next? Click here for a free trial of the Validea Hot List with buys based on strategies of Buffett, Graham, Lynch and more. Buffett announced another deal this week: He's purchasing $3 billion worth of perpetual preferred stock in General Electric...
Praise for General Electric, but dilution questioned
While much of the market is staying on the sidelines with cash in hand, Warren Buffett has made some major investments in names like Constellation Energy Group Inc., Goldman Sachs Group Inc. and now General Electric Co. His Berkshire Hathaway Inc. announced plans to purchase US$3-billion in perpetual preferred GE stock and warrants to buy 134.8 million common shares at any time in the next five years. The price tag was set at US$22.25 a share, below GE's market price and nearly half of where it was trading a year ago. GE is also offering at least US$12-billion in common shares to the public...
Buffett’s Bet on G.E.: Almost as Good as a Bailout
Warren E. Buffett is emerging as the banker of choice to the embattled blue-chip companies of American business. Mr. Buffett, the billionaire investor, announced on Wednesday that he would invest $3 billion in General Electric, the industrial giant that is also the nation’s largest nonbank financial company. The move comes eight days after he said he would invest $5 billion in Goldman Sachs...
GE Pays Now For Profit Later
General Electric is making its shareholders suffer some short-term pain for what it hopes will be long-term gain. The conglomerate on Thursday priced a secondary stock offering at a significant discount to its Wednesday close, pushing down the outstanding shares but giving the company a dollop of capital that will reduce its dependence on the stressed-out commercial paper market...
Why Buffett Likes GE
Warren Buffett, CEO of Berkshire Hathaway, continues to use his firm's whopping cash balance to make investments into some of the most prized, and beaten down, American companies.
What will Buffett buy next? Click here for a free trial of the Validea Hot List with buys based on strategies of Buffett, Graham, Lynch and more. Buffett announced another deal this week: He's purchasing $3 billion worth of perpetual preferred stock in General Electric...
Thursday, October 2, 2008
Recent News: Warren Buffet to invest in GE and GE Credit Risks
Berkshire Takes $3 Billion Stake in General Electric Following up on the firm's $5 billion investment in Goldman Sachs, Berkshire Hathaway Inc. will be taking a $3 billion stake in General Electric Co. in a similarly structured private offering. As in the Goldman deal, Berkshire (NYSE: BRK) will be entitled to a 10% dividend on the newly issued $3 billion of perpetual preferred shares, which are callable by GE
Warren Buffett invests in General Electric
General Electric Co. is stocking up on cash, and Warren Buffett will be making a big deposit. The world’s second-largest company says it will sell at least $12 billion in common stock in a secondary public offering. Separately, Buffett’s Berkshire Hathaway will buy $3 billion in preferred General Electric stock....
What Buffett May Be Missing at GE
General Electric plans to sell $3 bn in preferred stock to Warren Buffett’s Berkshire Hathaway and raise at least $12 bn more by selling stock to the public, at potentially $22.25 to $22.50 each. The preferred shares have a 10% dividend, and are...
Buffett to Invest $3 Billion in G.E.
Warren E. Buffett is again buying into the bluest of blue-chip companies — at a steep discount. This time, the famed investor is buying $3 billion in perpetual preferred stock from General Electric, the conglomerate seeking to allay concerns about its financial health amid the whipsawing markets....
GE to raise $15 billion, Buffett gets preferred stake
General Electric Co plans to raise $15 billion through stock sales -- including $3 billion from Warren Buffett -- to improve liquidity and give it the option of more acquisitions at a time of intense market turmoil, the U.S. conglomerate said on Wednesday...
GE to sell $12 billion of stock; Buffett to take stake
It is the second time in as many weeks that Buffett has been tapped by one of America's marquee companies for capital. Through his investment vehicle Berkshire Hathaway, Buffett is investing as much as $10 billion in Goldman Sachs Co. to help the venerable investment bank navigate its way through the global credit crunch....
GE Defends Health as Credit Risk Widens, Shares Fall
General Electric Co. said it has been able to sell corporate paper and fund operations without tapping bank lines, seeking to quash speculation that led to a surge in its credit default swaps and a slump in the stock. "We see no reason for the defaults widening,'' Fairfield, Connecticut-based GE said in a statement today. "Despite current market disruptions, our CP funding has gone smoothly. We have over-funded every day, including today, with good demand for our paper in term maturities.''
Warren Buffett invests in General Electric
General Electric Co. is stocking up on cash, and Warren Buffett will be making a big deposit. The world’s second-largest company says it will sell at least $12 billion in common stock in a secondary public offering. Separately, Buffett’s Berkshire Hathaway will buy $3 billion in preferred General Electric stock....
What Buffett May Be Missing at GE
General Electric plans to sell $3 bn in preferred stock to Warren Buffett’s Berkshire Hathaway and raise at least $12 bn more by selling stock to the public, at potentially $22.25 to $22.50 each. The preferred shares have a 10% dividend, and are...
Buffett to Invest $3 Billion in G.E.
Warren E. Buffett is again buying into the bluest of blue-chip companies — at a steep discount. This time, the famed investor is buying $3 billion in perpetual preferred stock from General Electric, the conglomerate seeking to allay concerns about its financial health amid the whipsawing markets....
GE to raise $15 billion, Buffett gets preferred stake
General Electric Co plans to raise $15 billion through stock sales -- including $3 billion from Warren Buffett -- to improve liquidity and give it the option of more acquisitions at a time of intense market turmoil, the U.S. conglomerate said on Wednesday...
GE to sell $12 billion of stock; Buffett to take stake
It is the second time in as many weeks that Buffett has been tapped by one of America's marquee companies for capital. Through his investment vehicle Berkshire Hathaway, Buffett is investing as much as $10 billion in Goldman Sachs Co. to help the venerable investment bank navigate its way through the global credit crunch....
GE Defends Health as Credit Risk Widens, Shares Fall
General Electric Co. said it has been able to sell corporate paper and fund operations without tapping bank lines, seeking to quash speculation that led to a surge in its credit default swaps and a slump in the stock. "We see no reason for the defaults widening,'' Fairfield, Connecticut-based GE said in a statement today. "Despite current market disruptions, our CP funding has gone smoothly. We have over-funded every day, including today, with good demand for our paper in term maturities.''
Thursday, July 24, 2008
Recent News: Wall Street, Credit Card, Bounce, Yield, and Warren Buffett
Wall Street falls out of love with General Electric
Usually, it's easy to find bullish analysts on Wall Street. In fact, the criticism leveled most often at stock pickers at major brokerage firms is that they are too easy on the companies they cover, explaining away every earnings miss and always finding another reason to slap on a buy rating.
Not in the case of General Electric, though. These days, it's hard to find much love on the Street for what was once the bluest of blue chips....
Buyers shying away from GE's credit card business: report
General Electric Co's auction of its $30 billion credit-card business is attracting only tepid interest, according to an article on the Wall Street Journal's website....
GE: Not Too Big to Bounce
That question has to be bothering General Electric shareholders today, as the stock continues to bounce around its five-year low. Weighing it at a robust $260 billion-plus in market cap, GE's very size suggests that it could have a tough time fulfilling its routine promises of year-over-year double-digit profits growth. Still more important to shareholders, the company's size makes it difficult to imagine the stock price resuming its upward rise of yester-decade...
General Electric: A buy for yield
General Electric (NYSE: GE) may be one of the most admired companies in the world, at least according to Fortune. But, Wall Street hates the company and has driven its stock to multi-year lows. The concerns have been printed dozens of times in the press: GE is too large. It has too many units that do not do well. None of the firm's divisions fit well together....
Is General Electric One of Buffett’s “Wonderful Companies?”
Warren Buffett bestows that nugget of knowledge upon us peasant investors. I believe that it’s very important to reflect on such a quote during current market conditions...
Usually, it's easy to find bullish analysts on Wall Street. In fact, the criticism leveled most often at stock pickers at major brokerage firms is that they are too easy on the companies they cover, explaining away every earnings miss and always finding another reason to slap on a buy rating.
Not in the case of General Electric, though. These days, it's hard to find much love on the Street for what was once the bluest of blue chips....
Buyers shying away from GE's credit card business: report
General Electric Co's auction of its $30 billion credit-card business is attracting only tepid interest, according to an article on the Wall Street Journal's website....
GE: Not Too Big to Bounce
That question has to be bothering General Electric shareholders today, as the stock continues to bounce around its five-year low. Weighing it at a robust $260 billion-plus in market cap, GE's very size suggests that it could have a tough time fulfilling its routine promises of year-over-year double-digit profits growth. Still more important to shareholders, the company's size makes it difficult to imagine the stock price resuming its upward rise of yester-decade...
General Electric: A buy for yield
General Electric (NYSE: GE) may be one of the most admired companies in the world, at least according to Fortune. But, Wall Street hates the company and has driven its stock to multi-year lows. The concerns have been printed dozens of times in the press: GE is too large. It has too many units that do not do well. None of the firm's divisions fit well together....
Is General Electric One of Buffett’s “Wonderful Companies?”
Warren Buffett bestows that nugget of knowledge upon us peasant investors. I believe that it’s very important to reflect on such a quote during current market conditions...
