Skip to main content
No. of Recommendations: 2
General Electric is looking at splitting itself up after poor shareholder returns in the past year.

I owned GE years ago and sold it at a profit before it began its long-term decline.

I never expected to own it again, but today I bought some shares as a pure speculative play.

The market has decided that the whole must not be worth the sum of its parts, since the price is still near session lows.

Nonetheless, on the outside chance that one of the units (perhaps healthcare) may be worth as much by itself in the future as the whole is worth today, I don't mind holding it on pure speculation.

In a market where there is a shortage of stock shares to buy, breaking up GE into 2 or 3 companies would at least give the "total market" buyers another symbol or two to include in their ETF purchases.

A few years in the future, spinoffs may be worth as much as an IPO might be today.
Print the post  

Announcements

This is a Politics Free Board
Politically charged posts are not permitted on the Metar Board. If you make a political post, and it is alerted, the post will be removed. Thanks!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.