Lilguy

GE Earnings: Industrial Bellwethers Are Now Getting Hit

Kathy--Despite its inclusion in the DJ Industrials, GE is truly the poster child for conglomerates. Its earnings fell short because of shortfalls in its large (40% of revenues) financial business, not in manufacturing. The key reason the stock dropped today is that the CEO said things were OK as recently as two weeks ago, so the downside surprise was really a surprise to WS analysts. (I don't think it was a surprise to serious investors who research the stocks they buy.)