By: Scott Davis
Folks – we’re unsurprisingly still getting a ton of questions on GE. At $18, it’s an asset play now. Our liquidation and DCF valuations easily get us to a $27 stock. Aviation and Healthcare alone are probably worth the entire value of the company. Just have to get comfortable that the rest of the assets more than offset liabilities – and we think they do. We think folks underestimate the value of Power long-term, and we have external validation on Baker Hughes. Plus all the other smaller assets GE owns (Renewables, Grid, Locos, Lighting, etc.). We’ve put together an updated slide deck outlining our thoughts (see the link below).
GE Report Here