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General Electric: The Bears Are (Finally) No Longer Running The Show


- General Electric's stock has performed well so far in 2019, but it is still down by ~23% over the last year.

- I believe that the bears are no longer running the show, but any serious misstep by management will change this in short order.

- I am long General Electric, and I plan to stay long through at least 2021.

General Electric ($GE) has a lot to prove to the market before it is able to get out of the dog house, but I believe that the company's new(ish) CEO, Mr. Larry Culp, has been able to greatly improved investor sentiment since taking over in late 2018. To this point, GE shares are significantly outperforming the broader market on a YTD basis.

The stock is still materially lower than it was 52 weeks ago (down over 23%), but, in my opinion, the narrative for this company/stock has changed (for the better). More specifically, headline risk has played a major role in the movement of GE's stock price for the last two-plus years, but Mr. Culp has finally convinced the market to focus more on the story/data than the noise. It appears that the bears are no longer running the show.

Read more here.

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