Monday, July 10, 2017

Grabbed two more shares of GE

I put out a limit order today for 2 shares of GE at 25.88 and got it. I feel like I'm doing the limbo. This stock keeps going lower and lower,  seemingly without reason. There has been a change in leadership that is welcome. There is a 3.69 percent yield at current levels and a payout ratio of 58.9 percent. There was some speculation about the dividend, but it appears to be safe. In fact they are paying down debt. Morning Star gives them a 4 star rating.

It's not my favorite stock in the world. I'm not going to mortgage the farm to buy GE. But at this value and yield, I'll find room to grab a couple of extra shares here and there.

Disclosure: Long GE

4 comments:

  1. Yeah I've owned GE for the better part of a decade now and it's been mostly dead money besides the dividend. Even that was hacked in the crisis, but it's doing a lot of interesting things and having a new CEO may spark some new life in the company and interest in the stock. Here's hoping at least!

    ReplyDelete
    Replies
    1. DD,

      Thanks for the response. They're not my favorite company. I liked the value and the dividend.

      Delete
  2. I don't own GE and I'm not currently looking to add it to my portfolio. However, it seems you purchased it at a decent price. This is only one metric, but looking at the 52 week range, you purchased GE closer to the 52 week low mark. But, regardless, the lower the price, the more shares you can purchase, which eventually will be a good thing if GE decides to start rising again.

    ReplyDelete
    Replies
    1. DP,

      Thanks for the comment. I did have some growth concerns. However, the one year price consensus price target is near 32. The last time the price was this low was October of 2015. They don't appear to be having a cash flow problem, and the dividend is solid. Majority of analysts have a positive or neutral outlook on them.

      Delete

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