Deutsche Bank lowers GE to Sell

|By:, SA News Editor

General Electric (NYSE:GE) -1.6% premarket after Deutsche Bank downgraded shares to Sell from Hold and reduced their price target to $24 (from $28).

According to the firm: The stock is overvalued given "weak earnings quality" and the "wide gap between non-cash and cash earnings."

GE's cash flow has become worse in recent quarters and that the exclusion of non-operating pension accounting along with a high level of underfunded pension obligations create earnings quality pressures.

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