Friday, May 23, 2008

GE

An investment recommendation..I was not going to post about individual stocks, since I think (and know) that they can be extremely volatile, and its hard to know the right valuation of a company - even the pros mess up big time. But with GE, a company that always met its earnings estimates to the penny, except for last quarter, i think the time to buy is NOW! It's had such a massive pullback that it's at 5 year lows! Now this is a pure play on the health of the global economy. GE owns a very diversified business portfolio, be it nuclear power plants, NBC, manufacturing turbines, medical imaging etc. etc. It comes with a sweet dividend of almost 4%. And this stock has tumbled dramatically in the last 2 months to now trade at a measly 14 times trailing earnings! I say BUY BUY BUY, with the stock now at 30.4.

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