General Electric
The Real Secret About Why Corporate Mergers Fail
Corporate mergers often fail because buyers pay too much. This is due to the control premium, the need for the buyer and seller to feel they are getting a good deal, and the false promise of synergies.
Mature Company Stocks Are Not Bonds
Dividends have historically been a large part of total stock returns and represent real earnings. Low interest rates have created a cult of dividend-paying companies, and some companies have had to borrow money to pay out dividends even if it isn't in their best interest.
Beats & Misses, Seen & Unseen
Wall Street often focuses on companies that beat quarterly estimates, but this does not always lead to long-term success.
Welch vs Bezos – The Dangers of Investing in General Electric
A lot of times I won’t have an insight into a business because I don’t understand it or because it’s too complex. General Electric is a great example. As a value investor I should be all over this iconic stock, which is making a generational low.
Jeremy Siegel is brilliant, uplifting and just plain wrong!
S&P 500 earnings topped out at about $84 a share in June 2007, while corporate profit margins were 44% above their average since 1980.
Exxon Apostasy
A basic property of religion is that the believer takes a leap of faith: to believe without expecting proof. Often you find this characteristic of religion in other, more unexpected places--like the stock market.
Audio Interview with Chuck Jaffe at MarketWatch
I had a fun radio/podcast interview today with Chuck Jaffe at MarketWatch, we “played” hold it or fold it with some of the stocks we own.
Good Company vs. Good Stock
In the long run, the performance of a stock in isolation is the product of fundamentals and valuation.
Abbott or GE – who is smarter?
I am not a buyer of Abbott Labs (ABT) at this price, as the margin of safety has been depleted by the latest stock appreciation. But I like its latest transaction with General Electric (NYSE GE).
