I think it is a good time to buy ge stock is this true?

Question

I think it is a good time to buy ge stock is this true?

Answer 1

Peter gave you quite a few good reasons that GE might be a good buy.  Let me give you one reason why it might not be a good buy.  Some years ago GE besides being a manufacturing company decided also to become a finance company.  Today finance operations account about 1/3 of their revenue.  I have not heard if GE is going to have any finance business write offs but I certainly would not be the least bit surprised if they were to.  

The question might be asked is GE a manufacturing company with a finance operation or is it a finance company with a manufacturing operation.  With that in mind the question becomes how to evaluate such a company.  Apparently, there appears to be some doubt currently regarding that point.

Answer 2

You and a million other people.

The only way to tell is to wait and see.

(I would suggest that "you" don't really know -- you are not expressing a reason why it is a good time to buy -- but rather you are regurgitating the opinion of a dozen talking heads who are saying the same time.  Buy the time you hear the 3rd or 4th repeat of the same idea, most people will think it is their idea)

Answer 3

Worse time ever, buy waffles!! Good luck!

Answer 4

I'm actually looking at purchasing GE myself.

Here's why:

The stock is very out of favor, and such stocks have a tendancy to be oversold.

The stock has been trading at better and better price/earnings ratio for some time.

The stock's book value has been going up for the last ten years.

So the stock has been becoming a better and better 'deal' for the last number of years.

It is also heavily involved in electrical power generation technologies, (including alternatives like wind and nuclear), Water purification technologies

GE has been spinning off some of it's less profitable enterprises, starting with it's appliance division, it will hopefully follow with it's media division. [ with the absence of the media division, CNBC will actually be able to feature the stock which they can't do right now...]

GE will benefit from increased interest in shipping by rail, in the aerospace upcycle, interest in alternative energy, and worldwide concern with clean water. A significant portion of the company is its financial arm, and financial stocks may have a little bit more hurt in them, but they are at or near the bottom by most estimations.

I'm going to watch the stock... its beta is .44 so it's been trading with less volatility than the stock market in general. When the market pops to the upside, I'm going to buy some.

Answer 5

Keep in mind that just because a stock is at or near a 5-year low doesn't necessarily mean it's cheap.

Answer 6

GE is currently trading at its all time low at around $29.00 from last years high of about $42.50

In my opinion, yes it is a good time to buy, but be sure you know and have your technicals on the company right, and don't take my advice and use it for a trading decission. We don't know each other and I would hate to see you loose money.

Keep an eye on it for the next few days though, it is possible that it could go lower.