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Strategies & Market Trends : Fundamental Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Sergio H who wrote (3143)	7/24/2013 9:31:29 PM
From: Spekulatius	Read Replies (2) \| Respond to of 4719

Cutting ties with the finance division would hurt GE shareholders instead of benefiting them because the Fairfield, Connecticut-based company trades at a price that’s higher than its value if broken up, Jeff Sprague, an analyst at Vertical Research, wrote today in a note to clients. “The company is being rewarded in a sense for being constituted in its current configuration,” Sprague said in a telephone interview. “It might sound good in theory but it’s just not a good idea to split the company given where the valuation is.” Not the key phase in this article. It basically states that GE is overvalued. Very few conglomerates trade above the value of the sum of thir parts nd GE is one of them. Typical conglomerate discounts run at about ~20%.

To: Sergio H who wrote (3143)	7/25/2013 1:04:04 PM
From: NikhilJog	Respond to of 4719

yea. at almost 18x at 25 dollars, am not sure if I want to invest in GE at this point in time, unless they restructure...

To: Sergio H who wrote (3143)	8/30/2013 8:24:13 AM
From: The Ox	Read Replies (3) \| Respond to of 4719

GE plans to exit U.S. retail lending: WSJ General Electric Co ( GE.N) plans to spin off the U.S. consumer lending operations of its finance arm GE Capital, as the conglomerate moves to focus on its core industrial operations, the Wall Street Journal reported, citing people familiar with the matter.The decision to divest the business that issues store credit cards for 55 million Americans comes amid concerns about the company's exposure to banking, the Journal said. Preliminary work to spin off the unit through an initial public offering is under way, the newspaper said. GE has said the U.S. consumer-finance business earned $2.2 billion last year. The operation accounts for about $50 billion of GE Capital's outstanding loans of $274 billion. An IPO could come early next year, but its size has not yet been determined, the people told the paper. reuters.com I have been of the opinion that if it's anywhere near as bad as the strongest critics claim, then they will find a way to spin it off or sell it off. Message 29012967