GE– Is it Possible?

For many years, I have been waiting for the day that the investment community would see the potential of the giant industrial GE. Although that day may still not have come, I feel that many of those who are “in the know” have now begun to join the bandwagon. Since the first time I really started to look at GE as an investment, the massive machines such as jet turbines and Jenbacher engines just captivated my mind.

I see the technology involved in those turbines, and it is amazing to say the least. I have always been fascinated with complicated machines and large infrastructure, and very few companies can compete with GE in those respects. Their scope is fantastic and runs the gamut in the industrial sector.

Along with the massive machines goes the high tech ability to communicate with each one of them both externally and internally. We have, now, truly entered the future, and it looks very bright. GE is at the forefront of that journey, and It looks like they are going to take the reigns and plow forward.

It is now easy to see why investors are getting on the bandwagon. I wonder why they were not so positive and optimistic a few years ago. Although nothing is guaranteed in life, GE has definitely started to build a beautiful foundation for the future. Getting rid of bad financial issues and building out the industrial arms is the key to the puzzle. Nothing is going to be easy, and I am sure the road will be rocky from here on for a while. However, things are looking better, and once some of the loose ends are tied up, I think GE will push its business performance higher and the stock price should follow in step.

The price of the stock has been so depressed for so long, it really has not contributed to the bull market of the past few years. Maybe that will change in due time. For now, I am just trying to enjoy some positive news, and a new multi-year high. They say, “Good things come to those who wait.” I feel that statement is very true, but I also believe that good things come to those who make them happen. I truly believe GE is making it happen. By virtue of association, I hope to reap some of those good things, and I am feeling no issues with having to wait.

From the first time I bought shares of GE, I saw the trees and not just the forest (As I typed this post, GE passed 29 for the first time in many years and it is 29.15). I see great products and services in a company that is reinventing itself as the premier Industrial of the world. Time will tell, but for now, I am OK with my investment in GE.

Keep cranking,

Robert the DividendDreamer
AKA — Seeking Dividends

Follow me on Twitter– Seeking Dividends@DividendDreamer

Seeking Dividends
AKA — DividendDreamer

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About dividenddreamer

Doing what I can to make the best of today and the most of tomorrow.
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6 Responses to GE– Is it Possible?

  1. Nice thoughts on GE. I am a big fan of GE and it is the largest holding in my portfolio. I am happy that the company is slowly turning around and it is getting reflected in the stock price… though the stock was at these levels few months ago only to see it drop back to low 20s. Lets see if it can find a bottom from here on and grow from here.

    • Thanks for stopping by. I feel that GE is now starting to fire on all its cylinders. The backlog is where the money is going to truly start rolling in. In a few years, GE will be delivering jet turbines for the new planes and all those orders will translate into sales for years to come. It is amazing how it works with the turbines for those jets. It takes many years of trial and error and investment before the first dollar is booked. The new engines are going to pump the numbers quite a bit, and I want to be there when the sales are booked. If some of the world economies can stabilize, GE will be in the right place to capitalize on it. Alstom, Synchrony, Electrolux deal, GE Capital, share buyback, dividend increase, complete restructur- All those things need to be addressed and tightened up, and we will see a new beast.

      I have been asked why I invested in GE. I answer with- It is the only company I truly know anything about. I am fascinated by the technology and the machines themselves. They are the lifeline of many economies, and they are the reason we are able to travel and enjoy life as we know it. If the company is run at peak efficiency and I get in early enough before things are corrected from the past, I should reap some of the benefits. In order to make money, it is better to be in at the bottom than to buy in at the top. So, hopefully, we are on our way to a top.

      Good luck.

      Keep cranking,

      Robert the DividendDreamer
      AKA — Seeking Dividends

      Follow me on Twitter– Seeking Dividends@DividendDreamer

  2. EvenKeel says:

    Unfortunately GE’s dividend is now significantly below its 5-year average, so a lot of the value opportunity is gone for the time being. Looks like it’ll take a recession and/or a serious bear market to bring GE’s valuation back to attractive.

    • Believe me, I know that all too well. I had a large position in GE before the cut. I actually made an effort to buy those shares just to collect the dividends right before the stock plunged. However, I added significantly to the position and lowered the cost significantly. Now, since the dividend grew quite a bit, the yield on cost is quite fine. The way I see it is that what is done is done. I am looking forward to capital appreciation, and in the process collecting the dividends. I made an effort to buy most of my shares in IRA accounts, so if the stock moves to the levels that I have been anticipating- no taxes. Plus, I reinvested all the dividends at depressed prices, so those shares are all yielding a very nice %. If the stock declines, I am buying more shares because when all the deals are done, divs are going to be growing and the stock should also see appreciation in relation to the EPS.

      I have come to terms with this position in GE, and if it appreciates in value, then even better. Until then, I will keep collecting the dividends. Currently, I have been buying T with my GE dividends in the last few quarters since the price ran up. I see T in the same light that I saw GE a few years back, so I am building the position as quickly as possible.

      Good luck.

      Keep cranking,

      Robert the DividendDreamer
      AKA — Seeking Dividends

      Follow me on Twitter– Seeking Dividends@DividendDreamer

      Good luck

  3. Vivianne says:

    I’m glad you’re back posting!

    Most people would go for FB, AAPL, Uber, etc, but I think the most boring stocks are safest investments and return the most to shareholders. With the recent sales of Financial wings, GE should have a lot of cash for R&D, and dividend for many years to come I like cash rich companies. 🙂

    • Thanks for stopping by.

      Hopefully, things follow the plan. I have seen this opportunity for quite a few years, and it might just play out

      Keep cranking,

      Robert the DividendDreamer
      AKA — Seeking Dividends

      Follow me on Twitter– Seeking Dividends@DividendDreamer

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