GregT

GE: Struggling Short-Term, But Should Do Fine Long-Term

The big risks are credit ratings downgrade or unexpected writedowns in the financial services unit.

However, if neither of these happens by the time they report quarterly earnings, we should see some strength in the stock. There are big advantages in this market to having a AAA credit rating. GE will be able to do deals profitably that others won't. Take a look at WFC. They have lots of access to cheap capital and they have grown their revenues tremendously because their competitors are having trouble.

It's not often that you can get a company with this kind of quality at such a good price.