Quote:
Originally Posted by LuxurySportCoupe
From posts in the past, it seems like not too many people in this thread own GE, but at least as a newbie, I found this article very interesting. GE is cutting their dividend in half, and it sounds like they're trying to cut costs elsewhere. On the positive side, this kind of makes me wonder if this is signaling a turnaround in company culture that they need? Therefore, pick this stock up while it's down and hopefully the dividend rises over time as well. Or, on the negative side, is this just evidence that GE is in trouble, and staying away is the best choice? Food for thought.
https://www.washingtonpost.com/news/...=.560b20882041 |
It's best to not be early...... or in Wall Street parlance --- Don't try to catch a falling knife.
Let it play out -- and wait for them to begin to post a couple quarters of improved earnings and cash flow etc. You're only going to pick up a few pennies if you're lucky and catch it on the lowest day of trading.
Remember that there are LOTS AND LOTS of people holding this stock that are looking for any excuse to SELL it now with the low dividend and poor growth prospects.... Think about a Microsoft for 10 + years of going nowhere.... and then they finally get a new CEO and off she goes.
This is also known as "dead money" --- money that sits for years without a decent return in dividend, since it's a KNOWN % and you could have invested in something else with double or triple the dividend %)...