While General Electric (GE) is a jumbled mess, the company does have three key operating divisions that are actually experiencing profitable growth. General Electric has clouded the fact that the company has three separate profitable growth stories; Aviation, Healthcare, and Renewable Energy. Wall Street would value these three divisions much higher if they weren’t tied to the rest of General Electric. Management’s challenge is to communicate to Wall Street the company’s growth potential.
The message Wall Street is getting from General Electric is that it is adrift with shrinking revenues, and that its best alternative to drive shareholder value is cost cutting. Just today the Power division announced it is laying off 12,000 employees to save $1 billion per year. The recent negative price action in the stock is being driven by three main factors. First and foremost Wall Street placed a lot of hope in the new management team led by John Flannery and rather than starting with action he started with a strategic review. Second, the company threw in the kitchen sink and lowered forward guidance. And the final straw came on November 13 when General Electric announced it is cutting its dividend by 50%.
Top Value Stocks To Buy Right Now: Eagle Bancorp, Inc.(EGBN)
- [By Lisa Levin]
On Monday, the financial sector proved to be a source of strength for the market. Leading the sector was strength from Eagle Bancorp, Inc. (NASDAQ: EGBN) and BankUnited (NYSE: BKU).
- [By Paul Ausick]
Eagle Bancorp Inc. (NASDAQ: EGBN) dropped 28% Friday to post a new 52-week low of $47.65 after closing at $66.15 on Thursday. The stock’s 52-week high is $69.80. Volume of around 3.6 million was more than three times the daily average. The bank holding company had no specific news Friday.
Top Value Stocks To Buy Right Now: Avnet, Inc.(AVT)
- [By Lisa Levin]
Tech Data Corporation (NASDAQ: TECD) reached a deal with Avnet, Inc. (NYSE: AVT) enabling it to buy the latter's Technology Solutions business. The transaction comprises cash component of $2.4 billion and 2.785 million shares of Tech Data resulting in a total value of about $2.6 billion.
Top Value Stocks To Buy Right Now: LG Display Co., Ltd.(LPL)
- [By Anders Bylund, Chuck Saletta, and Brian Feroldi]
According to comments by Universal Display CEO Steve Abramson, Samsung (NASDAQOTH:SSNLF) is pouring $9 billion into building OLED production facilities this year. LG Display (NYSE:LPL) expects more than half of its 2020 revenues to come from OLED panels. The OLED TV market is expected to grow sixfold in the next four years, and the lighting panel market is only just getting started.
- [By Peter Graham]
A long term performance chart shows shares of Corning Incorporated in a steady uptrend since we recommended the stock while Universal Display Corporation (NASDAQ: OLED) has taken off even higher and LG Display Co Ltd (NYSE: LPL) and AU Optronics Corp (NYSE: AUO) have given a similar performance: