Generali beats 2018 targets despite ‘challenging’ Italian market, raises dividend

“But when people do not invest because the economy is not growing, the life insurance business and asset management is growing.” Donnet also claimed that Generali’s 59 billion euros in Italian BTPs was not a concern to investors. Generali has reserved up to 4 billion euros for acquisitions and growth as it looks to asset management and high-margin business in Latin America and Asia. Clarification: This story has been updated to reflect that Donnet claimed that Generali’s 59 billion euros in Ital


“But when people do not invest because the economy is not growing, the life insurance business and asset management is growing.” Donnet also claimed that Generali’s 59 billion euros in Italian BTPs was not a concern to investors. Generali has reserved up to 4 billion euros for acquisitions and growth as it looks to asset management and high-margin business in Latin America and Asia. Clarification: This story has been updated to reflect that Donnet claimed that Generali’s 59 billion euros in Ital
Generali beats 2018 targets despite ‘challenging’ Italian market, raises dividend Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: reuters with cnbccom, pier marco tacca, getty images
Keywords: news, cnbc, companies, management, euros, despite, 2018, generalis, growing, targets, dividend, billion, market, business, beats, reflect, raises, generali, challenging, btps, economy, italian


Generali beats 2018 targets despite 'challenging' Italian market, raises dividend

Europe’s third-largest insurer said it would pay a dividend of 0.90 euros per share, up from the previous year’s 0.85 euros.

When it came to a potential European slowdown in 2019, however, Donnet said Generali was not concerned. He explained that people sought out the solutions Generali provided whether the economy was booming or lagging.

“Our business is very resilient, because when people do invest and the economy is growing, the property and casualty business is growing,” he said. “But when people do not invest because the economy is not growing, the life insurance business and asset management is growing.”

However he noted heavy competition in its domestic market, especially with motor insurance, adding that it was “challenging.”

“In Italy and France, by the way, we had to face very important claims … which obviously had a significant impact on the operating result,” he added.

Donnet also claimed that Generali’s 59 billion euros in Italian BTPs was not a concern to investors.

“(Investors) do not struggle any more on this — we have demonstrated that we have a strong capital position. We have further increased our solvency ratio by 9 percentage points, so our exposure to BTPs is no longer an issue,” he told CNBC.

Generali has reserved up to 4 billion euros for acquisitions and growth as it looks to asset management and high-margin business in Latin America and Asia.

Clarification: This story has been updated to reflect that Donnet claimed that Generali’s 59 billion euros in Italian BTPs was not a concern to investors. The headline has also been changed on this story to more accurately reflect Generali’s earnings release.


Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: reuters with cnbccom, pier marco tacca, getty images
Keywords: news, cnbc, companies, management, euros, despite, 2018, generalis, growing, targets, dividend, billion, market, business, beats, reflect, raises, generali, challenging, btps, economy, italian


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Kraft Heinz slashes dividend, discloses SEC subpoena — stock tanks

Kraft Heinz on Thursday cut its dividend and disclosed that it received a subpoena from the Securities and Exchange Commission in October. Kraft Heinz said it launched an internal investigation into the matter after receiving the subpoena. Kraft Heinz also said it is improving internal controls and procedures to prevent something like this from reoccurring. Kraft Heinz revealed the development in its fourth-quarter and full-year earnings release. For the fourth quarter, Kraft Heinz reported earn


Kraft Heinz on Thursday cut its dividend and disclosed that it received a subpoena from the Securities and Exchange Commission in October. Kraft Heinz said it launched an internal investigation into the matter after receiving the subpoena. Kraft Heinz also said it is improving internal controls and procedures to prevent something like this from reoccurring. Kraft Heinz revealed the development in its fourth-quarter and full-year earnings release. For the fourth quarter, Kraft Heinz reported earn
Kraft Heinz slashes dividend, discloses SEC subpoena — stock tanks Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-21  Authors: christine wang
Keywords: news, cnbc, companies, sec, earnings, slashes, dividend, share, stock, discloses, reported, kraft, subpoena, cents, tanks, company, revenue, heinz, investigation


Kraft Heinz slashes dividend, discloses SEC subpoena — stock tanks

Kraft Heinz on Thursday cut its dividend and disclosed that it received a subpoena from the Securities and Exchange Commission in October.

The company said it is lowering its quarterly dividend to 40 cents per share as it seeks to accelerate the “deleveraging process to provide greater balance sheet flexibility.”

The stock plunged more than 20 percent in after-hours trade.

The company said the subpoena is part of an investigation into the company’s procurement accounting policies.

Kraft Heinz said it launched an internal investigation into the matter after receiving the subpoena. Following its investigation, Kraft Heinz said it posted a $25 million increase to the cost of products sold after determining it was “immaterial to the fourth quarter of 2018 and its previously reported 2018 and 2017 interim and year to date periods.”

The company said it is cooperating fully with the SEC. Kraft Heinz also said it is improving internal controls and procedures to prevent something like this from reoccurring.

Kraft Heinz revealed the development in its fourth-quarter and full-year earnings release. The company said, however, that it does not expect this issue to be material to financial statements for this period or previous ones.

For the fourth quarter, Kraft Heinz reported earnings of 84 cents a share on $6.89 billion in revenue. Those results fell short of Wall Street expectations for earnings per share of 94 cents on revenue of $6.93 billion, according to Refinitiv consensus estimates.


Company: cnbc, Activity: cnbc, Date: 2019-02-21  Authors: christine wang
Keywords: news, cnbc, companies, sec, earnings, slashes, dividend, share, stock, discloses, reported, kraft, subpoena, cents, tanks, company, revenue, heinz, investigation


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RBS beats full-year profit expectations, warns of ‘heightened’ Brexit uncertainty

Royal Bank of Scotland has slightly beaten expectations by reporting a net income of £1.62 billion ($2.07 billion) for 2018 on Friday. Analysts were expecting a net income of £1.58 billion for the full-year, according to Reuters’ Eikon. In terms of quarterly performance, net income stood at £286 million versus £448 million in the third quarter. In the summer last year, the bank proposed its first dividend in 10 years. However, there are significant concerns over Brexit and the future of the U.K.


Royal Bank of Scotland has slightly beaten expectations by reporting a net income of £1.62 billion ($2.07 billion) for 2018 on Friday. Analysts were expecting a net income of £1.58 billion for the full-year, according to Reuters’ Eikon. In terms of quarterly performance, net income stood at £286 million versus £448 million in the third quarter. In the summer last year, the bank proposed its first dividend in 10 years. However, there are significant concerns over Brexit and the future of the U.K.
RBS beats full-year profit expectations, warns of ‘heightened’ Brexit uncertainty Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-15  Authors: silvia amaro
Keywords: news, cnbc, companies, uk, stood, uncertainty, bank, net, beats, fullyear, heightened, expectations, billion, versus, income, dividend, million, proposed, brexit, profit, rbs, warns


RBS beats full-year profit expectations, warns of 'heightened' Brexit uncertainty

Royal Bank of Scotland has slightly beaten expectations by reporting a net income of £1.62 billion ($2.07 billion) for 2018 on Friday.

Analysts were expecting a net income of £1.58 billion for the full-year, according to Reuters’ Eikon.

In terms of quarterly performance, net income stood at £286 million versus £448 million in the third quarter.

Here are some other highlights for the full-year:

Profit stood at £3.34 billion versus £2.24 billion in 2017

Common Equity Tier 1 ratio of 16.2 percent versus 15.9 percent at the end of 2017

It proposed a full-year ordinary dividend of 3.5 pence per share

The U.K. lender has been at the center of a long legal saga with the DOJ over its selling of toxic mortgages in the U.S. in the run-up to the 2008 financial crisis. The lengthy settlement agreement process had prevented the bank from providing dividends to its shareholders. In the summer last year, the bank proposed its first dividend in 10 years.

RBS’ chief executive Ross McEwan said in a statement: “2018 was a year of strong progress on our strategy – we settled our remaining major legacy issues, paid our first dividend in ten years and delivered another full year bottom line profit.”

However, there are significant concerns over Brexit and the future of the U.K. economy.


Company: cnbc, Activity: cnbc, Date: 2019-02-15  Authors: silvia amaro
Keywords: news, cnbc, companies, uk, stood, uncertainty, bank, net, beats, fullyear, heightened, expectations, billion, versus, income, dividend, million, proposed, brexit, profit, rbs, warns


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Cramer Remix: CenturyLink’s slashed dividend isn’t a huge surprise

If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make. “If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.” But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. B


If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make. “If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.” But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. B
Cramer Remix: CenturyLink’s slashed dividend isn’t a huge surprise Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-14  Authors: elizabeth gurdus, alex wroblewski, bloomberg, getty images, scott mlyn, adam jeffery
Keywords: news, cnbc, companies, slashed, surprise, centurylinks, centurylink, share, isnt, cramer, wrong, remix, dividend, yield, stock, went, thats, stocks, huge


Cramer Remix: CenturyLink's slashed dividend isn't a huge surprise

If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make.

“If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.”

Cramer flagged the cautionary tale of the stock of CenturyLink, an old-school telephone and data service provider which, until recently, had the largest yield in the S&P 500. But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. Shares fell to a new 52-week low.

Referencing his November warning about the stock, Cramer said he saw this coming based on what happened to two other, similar companies whose stocks are now too small for him to mention on air.

“Over the years, their CEOs repeatedly told me that their dividends were safe. But … this part of the telco industry [is] a dinosaur. Their stocks gradually went lower as their revenues shrank, making their yields seem more attractive. Management insisted that the market had it wrong and their dividends were safe,” the “Mad Money” host explained.

But when their stocks went from near $100 a share to the single digits, that turned out to be totally wrong. And while CenturyLink has a better balance sheet, Cramer implored investors to learn a lesson from its cut and do their own homework.

“With CenturyLink, it was obvious to anyone with discipline that the sky-high yield was a red flag, even as many analysts failed to see the cut coming,” he said. “Some things are simply too good to be true, and a stock with an 11.5 percent yield? That’s one of them.”


Company: cnbc, Activity: cnbc, Date: 2019-02-14  Authors: elizabeth gurdus, alex wroblewski, bloomberg, getty images, scott mlyn, adam jeffery
Keywords: news, cnbc, companies, slashed, surprise, centurylinks, centurylink, share, isnt, cramer, wrong, remix, dividend, yield, stock, went, thats, stocks, huge


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Cramer Remix: CenturyLink’s slashed dividend isn’t a huge surprise

If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make. “If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.” But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. B


If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make. “If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.” But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. B
Cramer Remix: CenturyLink’s slashed dividend isn’t a huge surprise Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-14  Authors: elizabeth gurdus, alex wroblewski, bloomberg, getty images, scott mlyn, adam jeffery
Keywords: news, cnbc, companies, slashed, surprise, centurylinks, centurylink, share, isnt, cramer, wrong, remix, dividend, yield, stock, went, thats, stocks, huge


Cramer Remix: CenturyLink's slashed dividend isn't a huge surprise

If you ask CNBC’s Jim Cramer, reaching for a stock’s dividend yield is one of the dumbest mistakes an investor can make.

“If you see a stock sporting a yield that’s well in excess of what you can get elsewhere, I think you should be skeptical,” he said Thursday on “Mad Money.” “Most likely, it’s not a bargain, it’s a sign that the dividend is going to be cut.”

Cramer flagged the cautionary tale of the stock of CenturyLink, an old-school telephone and data service provider which, until recently, had the largest yield in the S&P 500. But on Wednesday, management slashed the dividend from $2.16 a share to $1.00, saying they would focus on creating value in other ways. Shares fell to a new 52-week low.

Referencing his November warning about the stock, Cramer said he saw this coming based on what happened to two other, similar companies whose stocks are now too small for him to mention on air.

“Over the years, their CEOs repeatedly told me that their dividends were safe. But … this part of the telco industry [is] a dinosaur. Their stocks gradually went lower as their revenues shrank, making their yields seem more attractive. Management insisted that the market had it wrong and their dividends were safe,” the “Mad Money” host explained.

But when their stocks went from near $100 a share to the single digits, that turned out to be totally wrong. And while CenturyLink has a better balance sheet, Cramer implored investors to learn a lesson from its cut and do their own homework.

“With CenturyLink, it was obvious to anyone with discipline that the sky-high yield was a red flag, even as many analysts failed to see the cut coming,” he said. “Some things are simply too good to be true, and a stock with an 11.5 percent yield? That’s one of them.”


Company: cnbc, Activity: cnbc, Date: 2019-02-14  Authors: elizabeth gurdus, alex wroblewski, bloomberg, getty images, scott mlyn, adam jeffery
Keywords: news, cnbc, companies, slashed, surprise, centurylinks, centurylink, share, isnt, cramer, wrong, remix, dividend, yield, stock, went, thats, stocks, huge


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California Gov. Newsom calls for ‘new data dividend’ for consumers

LOS ANGELES — In his first state of the state address on Tuesday, California Gov. Gavin Newsom proposed “a new data dividend” that could potentially allow residents to get paid for providing access to their data. “California’s consumers should also be able to share in the wealth that is created from their data,” Newsom said, from the State Capitol in Sacramento. The Democrat said tech companies that “make billions of dollars collecting, curating and monetizing our personal data have a duty to pr


LOS ANGELES — In his first state of the state address on Tuesday, California Gov. Gavin Newsom proposed “a new data dividend” that could potentially allow residents to get paid for providing access to their data. “California’s consumers should also be able to share in the wealth that is created from their data,” Newsom said, from the State Capitol in Sacramento. The Democrat said tech companies that “make billions of dollars collecting, curating and monetizing our personal data have a duty to pr
California Gov. Newsom calls for ‘new data dividend’ for consumers Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-12  Authors: jeff daniels, kevork djansezian, getty images, saul loeb, afp
Keywords: news, cnbc, companies, consumers, newsom, proposed, dividend, tech, gov, california, personal, address, plan, calls, privacy, data, state


California Gov. Newsom calls for 'new data dividend' for consumers

LOS ANGELES — In his first state of the state address on Tuesday, California Gov. Gavin Newsom proposed “a new data dividend” that could potentially allow residents to get paid for providing access to their data.

“California’s consumers should also be able to share in the wealth that is created from their data,” Newsom said, from the State Capitol in Sacramento. The Democrat said tech companies that “make billions of dollars collecting, curating and monetizing our personal data have a duty to protect it.”

Newsom, who took office just over four weeks ago, also used the address to call for the reeling in of two big-ticket projects — the state’s high-speed rail and proposed Delta twin tunnels.

The data dividend proposal follows the state legislature’s passage last year of a landmark data privacy bill, granting consumers specific rights related to their personal digital information that’s collected, shared or maintained by businesses. The legislation allows consumers to request that personal information be deleted and requires businesses that collect personal data to disclose how and why it’s being used.

Newsom said his staff asked him to come up with the plan. He didn’t provide details in his address, but some tech experts have suggested that companies like Facebook and Google should pay consumers for their data.

Democratic State Sen. Bob Hertzberg, who represents part of Los Angeles County and was one of the primary authors of the data privacy bill, described the plan as “the next frontier of the online and privacy conversation.”

Representatives for Facebook and Google didn’t immediately respond to requests for comment.


Company: cnbc, Activity: cnbc, Date: 2019-02-12  Authors: jeff daniels, kevork djansezian, getty images, saul loeb, afp
Keywords: news, cnbc, companies, consumers, newsom, proposed, dividend, tech, gov, california, personal, address, plan, calls, privacy, data, state


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Skanska fourth-quarter operating profit, 2018 dividend lag expectations

Swedish builder Skanska reported on Friday a smaller rise than expected in fourth-quarter operating profit and proposed a lower dividend than expected. Operating profit at the Nordic region’s biggest builder, and one of the biggest in the United States, was 2.38 billion crowns ($257 million) against a mean forecast in a Reuters poll of analysts for 2.64 billion. “We can see — still — a big demand going forward. If you look at the U.S., the maintenance and the investment in infrastructure is incr


Swedish builder Skanska reported on Friday a smaller rise than expected in fourth-quarter operating profit and proposed a lower dividend than expected. Operating profit at the Nordic region’s biggest builder, and one of the biggest in the United States, was 2.38 billion crowns ($257 million) against a mean forecast in a Reuters poll of analysts for 2.64 billion. “We can see — still — a big demand going forward. If you look at the U.S., the maintenance and the investment in infrastructure is incr
Skanska fourth-quarter operating profit, 2018 dividend lag expectations Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-08  Authors: reuters with cnbccom
Keywords: news, cnbc, companies, operating, expectations, dividend, 2018, profit, crowns, fourthquarter, lag, proposed, going, forward, billion, skanska, biggest, builder


Skanska fourth-quarter operating profit, 2018 dividend lag expectations

Swedish builder Skanska reported on Friday a smaller rise than expected in fourth-quarter operating profit and proposed a lower dividend than expected.

Operating profit at the Nordic region’s biggest builder, and one of the biggest in the United States, was 2.38 billion crowns ($257 million) against a mean forecast in a Reuters poll of analysts for 2.64 billion. A year earlier, the profit was 738 million.

“We can see — still — a big demand going forward. If you look at the U.S., the maintenance and the investment in infrastructure is incredibly large going forward,” Anders Danielsson, CEO of Skanska, told CNBC’s “Squawk Box Europe” on Friday.

“So, we don’t really see a slowdown within the market that we are active in the U.S.,” he added.

Skanska proposed a dividend of 6.00 crowns per share, down from 8.25 crowns and below the 8.35 crowns seen by analysts.


Company: cnbc, Activity: cnbc, Date: 2019-02-08  Authors: reuters with cnbccom
Keywords: news, cnbc, companies, operating, expectations, dividend, 2018, profit, crowns, fourthquarter, lag, proposed, going, forward, billion, skanska, biggest, builder


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L Brands falls after cutting annual dividend in half

L Brands shares fell 4 percent postmarket Monday after the company said it would slash its annual dividend in half to $1.20. L Brands reported adjusted earnings of 16 cents a share versus a Refinitiv estimate of 15 cents. It also reported $2.77 billion for the third quarter, in line with the preliminary sales figures it released on Nov. 8. It also raised its full-year earnings outlook, saying it now expects earnings between $2.60 a share to $2.80 a share. L Brands said stores open more than a ye


L Brands shares fell 4 percent postmarket Monday after the company said it would slash its annual dividend in half to $1.20. L Brands reported adjusted earnings of 16 cents a share versus a Refinitiv estimate of 15 cents. It also reported $2.77 billion for the third quarter, in line with the preliminary sales figures it released on Nov. 8. It also raised its full-year earnings outlook, saying it now expects earnings between $2.60 a share to $2.80 a share. L Brands said stores open more than a ye
L Brands falls after cutting annual dividend in half Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-19  Authors: waverly colville, craig warga, bloomberg, getty images
Keywords: news, cnbc, companies, brands, preliminary, reported, released, cutting, falls, half, share, dividend, sales, annual, earnings, company, line


L Brands falls after cutting annual dividend in half

L Brands shares fell 4 percent postmarket Monday after the company said it would slash its annual dividend in half to $1.20.

The company, known for its brands Victoria’s Secret and Bath & Body Works, beat profit expectations. L Brands reported adjusted earnings of 16 cents a share versus a Refinitiv estimate of 15 cents. It also reported $2.77 billion for the third quarter, in line with the preliminary sales figures it released on Nov. 8.

It also raised its full-year earnings outlook, saying it now expects earnings between $2.60 a share to $2.80 a share. The company had previously forecast full-year earnings between $2.45 a share and $2.70 a share.

L Brands said stores open more than a year saw sales rise 4 percent year over year, also in line with the preliminary results it released earlier this month.

WATCH:Here’s how Target is making a comeback


Company: cnbc, Activity: cnbc, Date: 2018-11-19  Authors: waverly colville, craig warga, bloomberg, getty images
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Cramer’s GE retrospective: The analysts that got it right and the CEOs that got it wrong

Analysts that got it right, CEOs that got it wrong: Cramer’s GE retrospective 6 Hours Ago | 01:01General Electric’s troubles have been followed by many, but two Wall Street analysts have correctly called the industrial’s prolonged downfall every step of the way, CNBC’s Jim Cramer said Thursday. Tusa, the original bear, resumed coverage of GE on behalf of J.P. Morgan in May 2016. “This is when things really started to snowball for GE,” Cramer said. When GE pushed Flannery out and gave former Dana


Analysts that got it right, CEOs that got it wrong: Cramer’s GE retrospective 6 Hours Ago | 01:01General Electric’s troubles have been followed by many, but two Wall Street analysts have correctly called the industrial’s prolonged downfall every step of the way, CNBC’s Jim Cramer said Thursday. Tusa, the original bear, resumed coverage of GE on behalf of J.P. Morgan in May 2016. “This is when things really started to snowball for GE,” Cramer said. When GE pushed Flannery out and gave former Dana
Cramer’s GE retrospective: The analysts that got it right and the CEOs that got it wrong Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-15  Authors: elizabeth gurdus
Keywords: news, cnbc, companies, ges, dividend, ceos, tusa, stock, cramers, retrospective, inch, analysts, cramer, wrong, right, ge, analyst


Cramer's GE retrospective: The analysts that got it right and the CEOs that got it wrong

Analysts that got it right, CEOs that got it wrong: Cramer’s GE retrospective 6 Hours Ago | 01:01

General Electric’s troubles have been followed by many, but two Wall Street analysts have correctly called the industrial’s prolonged downfall every step of the way, CNBC’s Jim Cramer said Thursday.

Stephen Tusa, an analyst at J.P. Morgan, and John Inch, a Gordon Haskett analysts formerly of Deutche Bank, “have been negative on GE for ages now, and they have been relentlessly and painfully right,” Cramer said on “Mad Money.”

“They nailed this story every step of the way, even when the company itself seemed to be totally clueless — or perhaps something even worse — about its own prospects,” he said. “Which is why you do need to take your cue from these two gentlemen and wait until the real problems they say are solved before you get bullish. And they sure aren’t there yet.”

Tusa, the original bear, resumed coverage of GE on behalf of J.P. Morgan in May 2016. He gave the stock an underweight rating and wrote a 235-page memorandum questioning its earnings and cash flow forecasts.

No other analyst joined Tusa in the sell camp for about a year, during which he warned of potential dividend cuts and said bullish analysts were far too optimistic about GE’s cash situation, Cramer said.

In May 2017, then-Deutsche Bank analyst John Inch got on board, adding to the negativity with a new theory: that even if GE ousted then-CEO Jeff Immelt, a new CEO would bring about new negativity because he would have to instantly lower Wall Street’s expectations.

Inch’s prediction came true when John Flannery took over in August 2017, setting off a series of increasingly negative news reports unraveling many of the positive stories Immelt had told Cramer in their February 2017 interview.

“This is when things really started to snowball for GE,” Cramer said. “In November of last year, Flannery held an analyst meeting where he did indeed cut the dividend and revealed some disturbing details about the core business, including the fact that GE’s dividend had been larger than its industrial cash flow for years. […] Turns out the bears were right all along.”

In 2018, Tusa and Inch dug deeper. They flagged GE’s ailing power business and underfunded pension liabilities as major concerns, and Inch predicted GE’s removal from the Dow Jones Industrial Average.

Meanwhile, GE kept proving them right. When GE pushed Flannery out and gave former Danaher CEO Larry Culp the CEO role, Tusa predicted another dividend cut and more multi-billion-dollar charges. Inch, now at Gordon Haskett, said GE could end up paying even more to fix its long-term insurance policy problems.

GE’s most recent quarter proved them right. Culp slashed the dividend to 1 cent and took a $22 billion goodwill impairment charge for the power business, which sent shares of GE into the single digits.

“Two weeks ago, Inch said he could potentially see the stock shrinking to $5, assuming that GE Capital doesn’t ultimately become insolvent,” Cramer said. “Now he’s talking about escalating liquidity risks. Then last week, Tusa cut his price target to $6. He thinks the real problem here is the fundamentals are deteriorating.”

So for investors wondering if and when the industrial giant’s stock will ever bottom, Cramer suggested looking to these two bearish oracles.

“The point here is that Tusa and Inch have nailed GE every step of the way, to the point where I don’t think this stock will be able to rebound until these two bears sign off on its turnaround plans,” the “Mad Money” host said. “And they sure haven’t done so yet.”


Company: cnbc, Activity: cnbc, Date: 2018-11-15  Authors: elizabeth gurdus
Keywords: news, cnbc, companies, ges, dividend, ceos, tusa, stock, cramers, retrospective, inch, analysts, cramer, wrong, right, ge, analyst


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GE CEO admits regular investors have fled the stock since he cut the dividend to a penny

General Electric CEO Larry Culp acknowledged Monday that his decision to slash the quarterly dividend to a penny sent regular investors scrambling. “When we announced on our earnings conference call that we were taking our dividend down to 4 cents a year, we didn’t do anything positive for our retail shareholder base and they have been exiting the stock, I think, as a result,” Culp told CNBC’s David Faber on “Squawk on the Street.” But even with the stock’s slide over the past several weeks, Cul


General Electric CEO Larry Culp acknowledged Monday that his decision to slash the quarterly dividend to a penny sent regular investors scrambling. “When we announced on our earnings conference call that we were taking our dividend down to 4 cents a year, we didn’t do anything positive for our retail shareholder base and they have been exiting the stock, I think, as a result,” Culp told CNBC’s David Faber on “Squawk on the Street.” But even with the stock’s slide over the past several weeks, Cul
GE CEO admits regular investors have fled the stock since he cut the dividend to a penny Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: michael sheetz
Keywords: news, cnbc, companies, penny, stock, ceo, decision, worst, culp, fled, retail, investors, admits, shares, company, weeks, dividend, ge, regular, cut


GE CEO admits regular investors have fled the stock since he cut the dividend to a penny

General Electric CEO Larry Culp acknowledged Monday that his decision to slash the quarterly dividend to a penny sent regular investors scrambling.

“When we announced on our earnings conference call that we were taking our dividend down to 4 cents a year, we didn’t do anything positive for our retail shareholder base and they have been exiting the stock, I think, as a result,” Culp told CNBC’s David Faber on “Squawk on the Street.”

But even with the stock’s slide over the past several weeks, Culp says GE “would make those same decisions today, because those were the right decision to make sure the company is facing forward.” GE shares have fallen about 20 percent in November, on pace for its worst month of trading since February 2009.

About one-third of GE shares are held by retail investors, a higher than average mix for a public company.


Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: michael sheetz
Keywords: news, cnbc, companies, penny, stock, ceo, decision, worst, culp, fled, retail, investors, admits, shares, company, weeks, dividend, ge, regular, cut


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