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Why Does Comcast Want NBC?

Comcast wants political clout. Plain and simple.

US is becoming like 3rd world countries where corporations can add political clout to their intangible assets.

Pfizer Wastes No Time Realizing Cost Efficiencies

Tough work is cut out for PFE. They have to wring significant cost out of the combined company. The rate of new product introduction will be significantly low in addition to the patent expiration of block buster drugs, so the margins are going to be down, given these realities the current PE of 15. I think it should be looked like a utility company albeit a good utility company for valuation purposes.

GE CEO Immelt: Misdirected on Healthcare

This is just ranting and useless drivel.

GE: Buy on Valuation

Isn't the past rosy earnings were from GE finance? If so then the future may not return to the same level as you predict. Also, GE has another dud, the appliance division in their portfolio. They have to make some major portfolio re-alignment before returning to consistent earnings growth.

Exxon Mobil Is a Buy

The biggest problem for XOM is it is a global piñata with bulls eye for the politicians to take aim at.

Pfizer: How to Win or Lose the Lottery

Workfaster: You missed the whole point of the article instead focused on a technical detail.

Medicines and human body do not function linearly. That is why most medicines have some adverse side effect; their overall benefits significantly outweigh the side effects. Punishing PFE with $1.2 billion will have more negative impact in terms of cost going up to make up the loss and restricted knowledge sharing thereby denying benefit to patients. Economically $1.2 billion is siphoned from private hands to government.

A lawyer CEO for the world largest pharmaceuticals company, go figure.

How Will a Sustained Recovery Be Possible?

Current political climate is anti growth and does not support sustainable economic growth in America. Responding to some of the earlier comments

1) To a large extent global corporation’s financial performance has been de-linked to America’s economic performance, either they are expanding abroad or cutting cost in America. So Captainccs comment is not relevant.
2) If current percentage of healthcare is 16%, then with government takeover is it going to go down? Certainly not, it will go up while quality going down. There are countless examples, within and outside of fantastically failed government programs
3) Each American is on the hook to the tune of $36,000 for their part of the federal debt. Almost, ½ the population pay no tax, what do think the other tax payers are going to do? Both capital and people are frantically moving to reduce their tax exposure
4) Leading to the next point, the cash on the sidelines will be inefficiently deployed to reduce/avoid tax or altogether leave shore, further putting a damper on the growth
5) With Obamacare small businesses have to pay 8% of the payroll to the government if they do not offer healthcare. Naturally businesses will cut cost by reducing the headcount further increasing the unemployment rate
6) Additionally Americans have barrowed to their hilt, compounding the debt load; the mirage of social security, retiring baby boomers have to cut their expenses to sustain, so the consumerism will be in hibernation for a generation now

All in all not good for economy, maybe end of life counseling is not all that inappropriate.

Just How Important Is GE Capital?

GE capital business is more than extending capital for its equipments. I particularly do not have a problem GE being in the financing business. I specifically have a problem with the incompetent CEO. As a conglomerate the management ought to have recognized the exposure due to over reliance on profitability from one division. They have masked the inefficiencies in other businesses by projecting the unsustainable profitability. I still do not believe the GE management has recognized the problem. Now they are using NBC to curry favors with the Obama administration so that they can keep their position.

GE future is now tied to the hip with the Obama administration not based on management, business strategy or product innovation.

Why I Bought Abbott Laboratories Despite Health Care Reform

Pharmaceuticals are like utilities these days. With looming Obamacare, price regulations and general negative political climate there won’t be much investment going into developing new drugs instead the focus will be on cost management and acquisitions. It is foolhardy to value them as pharmaceuticals and make investment decisions.

Healthcare Sector Poised for Growth and Profitability

With Obamacare, healthcare is as exciting as utilities.

In few years most of the drugs manufactured will be generic and sold to government at a previously agreed cost + 5% margin. Aging population may increase demand for drugs but only choice will be generics manufactured in some third world country.

The real opportunity is in buying those manufacturing outfits.

Modeling Boeing's Share Price

In the commercial airlines sector 787 is a better product than 380. I agree once the production problems are taken care, 787 will be a cash cow for a long time. I predict airlines will soon realize 380 to be commercially unviable and switch to 787. Southwest proved passengers prefer direct flights, 787 will become the dominant equipment for connecting international destinations directly. With better fuel efficiency all international airlines will want 787 to be part of their fleet. With 787 airlines can offer new market segments and avoid big and busy airports further eroding the need for 380.

GE's Imagination at Work

Better late then never.

This still does not absolve Immelt of his incompetence. The mark of an exceptional conglomerate is not to gamble the future of entire company by skewing heavily for profit on one line of business. Immelt failed miserably and should not be trusted with CEO responsibilities going forward.

India Projected to Be the Fastest Growing Economy in 2010

Isn't US economy now more under the control of state? I am bearish on the US economy.

In addition to government interference of the free market; high government debt, projected high inflation and nationalization of healthcare will keep the economy bogged down. Also, if cap & trade pass you can expect whatever manufacturing that is left will also shift to China & India.



On Jun 24 08:19 AM Bandwagon2009 wrote:

> And in my opinion it would grow even faster, and be more sustainable,
> if they got rid of the last vistages of the "license raj".
>
> I will take an un-controlled, chaotic, anarchic, creative, innovative
> economic model, over state control anyday...which is why I believe
> that inspite of the recent hiccups the US economy is going to be
> more robust in the long term than the our friend in Europe.
>
> For India's sake though I hope the growth percolates down to the
> 2/3 of the population who still on the edge of abject poverty. What
> we need is torrent, and not a trickle "down".

GE Capital Back in the Game (to Win)

Jack has been gone for a while. For the record he made money for the shareholders.

The real culprit is Immelt. I am surprised to hear no peep about him.

How Obama's New Financial Rules Might Bite GE

Immelt need to be fired for the following reasons:

1)GE's performance under his tenure. Don’t blame it on the broad market.
2)For chumming with the President to gain political cover for his failures, instead of stewarding the company to better future
3)Prostituting GE’s assets (NBC, MSNBC) to provide biased political coverage to save his rear end from getting kicked out of his CEO position
4)Making false statements about dividend payouts
5)Failure to demonstrate CEO skills to lead a large company like GE