General Electric (NYSE:GE) +3% premarket to $12.45/share after RBC Capital upgraded the stock to Outperform and raised its price target to $15 from $13, with upside to $17 (+45%).
"There's still much to fix, and it will take time to assemble his team, ramp/triage the problems, and put his imprint on the breakup plan. But, we believe that a floor has now been put in."
"The short-covering on Oct-1 on the news was swift, signaling investors’ enthusiasm. We have known Mr. Culp for 15+ years and have deep respect for his leadership and relentless focus on operating excellence and accountability."
"We would not be surprised to see Mr. Culp try to persuade his longtime CFO at Danaher, Dan Comas, to join him at GE. We believe that it is unlikely a coincidence that Mr. Comas recently stepped down as CFO at Danaher."
Wolfe Research also upgraded GE to Outperform, while Citi proclaimed a "new beginning" for General Electric.
Previously: GE mulls additional dividend cut (Oct. 01 2018)
Previously: GE +10% after luring all-star CEO, but turnaround will be tough (Oct. 01 2018)
Now read: GE: Flannery Kicked Out The Door »
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