Larry Culp, the CEO of GE, gave a calm and measured interview with CNBC’s David Faber this morning, the exact demeanor that got GE in this mess in the first place. This is a company built by Jack and destroyed by Jeff. Their acquisitions and asset sales have been horrendously ruinous throughout the years. And all of those chickens are coming home to roost now, with an underfunded pension of $31 billion and debt in excess of $115b.
GE has now entered the negative feedback loop. It’s an auto-catalyst that perpetuates itself until it’s gone. I’ve seen this countless times before and it almost always ends bad. GE must do something bold and quickly, else we’ll start to see credit agencies downgrade their debt, their lines of credit withdrawn, and the company forced into bankruptcy.
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Everything in crash mode. Italy is gonna leave the eu. California utilities up in flames, apple has no new buyer’s left. Civil war in florida. And China finally recognizing over production and massive excess supply
Trump is gonna pin the crash on the dems and the fed.
He’ll definitely try. Such an idiot.
ROST hovered at all time highs through all this vol. Did they cure cancer? Shorted here.
GE was built by Jack with a built-in self-detonating time-release self-destruction app, aka financial engineering shenanigans in order to beat earnings, quarter after quarter after quarter, by a Madoff-style one cent. He handed off the whole flaming bag-o shiite to Immelt, the fall guy.
Jack and Jeff walked away rich AF and so will Culp. The day you become CEO you have it made. You can put your feet up on the desk and watch it burn to the ground because you negotiated your exit on the front end.
AAPL hit 195 (actually 194) and I went neutral on the stock: much better short opportunities in other stocks at that point.
Probably buy some OTM puts right before next earnings when AAPL will unsurprisingly surprise to the downside.
Larry Culp is an undertaker. A lot of senior citizans are going to get screwed.