general electric
New York symbol GE, is one of the world’s largest industrial companies. It operates in six main segments: Infrastructure; Commercial Finance; Consumer Finance; Healthcare; Industrial; and Media.
Conglomerate General Electric is moving ahead with its plan to break itself into three separate companies: Healthcare products (X-ray equipment, MRI and ultrasound scanners); renewable energy and power (turbines and equipment for wind farms); and Aviation equipment (jet engines).
Studies show that spinoffs tend to outperform comparable stocks for several years, and we expect the breakup plan will ultimately pay off for GE investors....
This week we present a Spotlight Report on a stock that has already spun off some profitable spinoffs and may do more in the future.
Danaher is a great example of how a company can unlock value for shareholders by “spinning off” businesses....
Danaher is a great example of how a company can unlock value for shareholders by “spinning off” businesses....
GENERAL ELECTRIC CO. $88 remains a hold. The conglomerate (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.1 billion; Market cap: $96.8 billion; Price-to-sales ratio: 1.3; Dividend yield: 0.4%; TSINetwork Rating: Average; www.ge.com) plans to break itself up into three separate companies: GE HealthCare (X-ray equipment, MRI and ultrasound scanners); GE Vernova (renewable energy and power); and GE Aerospace (jet engines and aircraft electronics)....
GENERAL ELECTRIC CO. $77 remains a hold. The conglomerate (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.1 billion; Market cap: $84.7 billion; Price-to-sales ratio: 1.1; Dividend yield: 0.4%; TSINetwork Rating: Average; www.ge.com) plans to break itself up into three separate companies: GE HealthCare (X-ray equipment, MRI and ultrasound scanners); GE Vernova (renewable energy and power); and GE Aerospace (jet engines and aircraft electronics)....
GENERAL ELECTRIC CO. $80 remains a hold. The conglomerate (New York symbol GE; Manufacturing sector; Shares outstanding: 1.1 billion; Market cap: $88.0 billion; Dividend yield: 0.4%; Takeover Target Rating: Medium; www.ge.com) plans to break itself up into three separate companies.
In early 2023, GE will hand out shares in its GE HealthCare business (it makes X-ray equipment, MRI and ultrasound scanners) as tax-deferred dividends....
In early 2023, GE will hand out shares in its GE HealthCare business (it makes X-ray equipment, MRI and ultrasound scanners) as tax-deferred dividends....
These legacy industrial conglomerates are now breaking up into smaller firms. Eliminating their “holding company discounts” should unlock value for shareholders. However, ABB has a brighter short-term outlook than GE.
ABB LTD. ADRs $30 is a buy. This Swiss-based company (New York symbol ABB; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 2.0 billion; Market cap: $60.0 billion; Price-to-sales ratio: 2.0; Dividend yield: 2.9%; TSINetwork Rating: Above Average; www.abb.com) plans to narrow its focus to its main electrification and automation businesses.
Under that strategy, the company will sell or spinoff its turbocharging business (called Accelleron) later this year....
ABB LTD. ADRs $30 is a buy. This Swiss-based company (New York symbol ABB; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 2.0 billion; Market cap: $60.0 billion; Price-to-sales ratio: 2.0; Dividend yield: 2.9%; TSINetwork Rating: Above Average; www.abb.com) plans to narrow its focus to its main electrification and automation businesses.
Under that strategy, the company will sell or spinoff its turbocharging business (called Accelleron) later this year....
GENERAL ELECTRIC CO. $93 remains a hold. The conglomerate (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.1 billion; Market cap: $102.3 billion; Price-to-sales ratio: 1.4; Dividend yield: 0.3%; TSINetwork Rating: Average; www.ge.com) plans to break itself up into three separate companies: Healthcare products (X-ray equipment, MRI and ultrasound scanners); renewable energy and power (turbines and equipment for wind farms); and Aviation equipment (jet engines).
The company expects to complete these transactions in stages between 2023 and 2024.
Meantime, supply chain disruptions and parts shortages have hurt GE’s deliveries....
The company expects to complete these transactions in stages between 2023 and 2024.
Meantime, supply chain disruptions and parts shortages have hurt GE’s deliveries....
Two of America’s oldest companies, AT&T and General Electric, are now using spinoffs to unlock value for investors. We’re confident these moves will pay off, but only AT&T is suitable for your new buying.
AT&T INC. $24 is a spinoff buy. The company (New York symbol T; Utilities sector; Shares outstanding: 7.1 billion; Market cap: $170.4 billion; Dividend yield: 8.6%; Takeover Target Rating: Medium; www.att.com) is merging its media operations (Warner Bros....
Danaher is a great example of how a company can unlock value for shareholders with spinoffs. Since 2016, the conglomerate has completed two separate spinoffs. In that time, the stock has jumped over 280% compared to just 115% for the S&P 500 Index.
More spinoffs are possible—Danaher currently has over 20 different operating companies....
More spinoffs are possible—Danaher currently has over 20 different operating companies....
In addition to the top picks for 2022 and beyond that we feature this issue (including our #1 pick), we recommend the following three ETFs. All are poised to move up this year and to help you tap key market segments. For myriad reasons (see the Supplement on pages 19 and 20), each of the funds could significantly add to your 2022 returns.
First, we still feel that virtually all Canadians should have, say, 20% to 30% of their portfolio in U.S....
First, we still feel that virtually all Canadians should have, say, 20% to 30% of their portfolio in U.S....