Saturday, September 25, 2010

Attention GE: Huge After Hours Breakout for Siemens AG (SI)

Siemens is  GE's much better managed doppelgänger.*
After closing up 5.5% in regular trade on Friday the stock was up another $7.12 to $114.08 after hours.
AH trading can often fade the following trading day but if not this is a very important (and profitable for those who are long) move, breaking through resistance that has stopped the stock four times in the last year.
Here's the chart from Yahoo Finance:
Chart forSiemens AG (SI)

In our Sept. 17 post on SI I said:
Siemens; ABB lifted to conviction buy at Goldman: ABB, Siemens, Schneider to Gain From Demand for Smart Grids, Goldman Says (SI; ABB):

We are fans of both ABB and Siemens.*
The art of understatement.
If you have time this weekend take a look at one of the classiest operations in the world. We have dozens of post on SI, here are a few to get you started, for the rest use the search blog box, keyword Siemens.
September 23, 2010 Zacks Upgrades Siemens to Outperform with $121 price Target (SI)

August 2, 2010 
Dear General Electric: "Siemens Beats on Higher Revenues" (SI)
July 1, 2010 
"Siemens Wants To Be Number One In Solar Thermal" (SI; GE)
June 29, 2010 
Siemens Sees Strong Profitability, Decides to Open a Bank (SI)
May 10, 2010 
Dear General Electric, Siemens: American Superconductor to Begin Licensing 10 MW Wind Turbine this Year (AMSC; GE; SI)
February 9, 2010 
"Siemens aims for 1/5 of world smart grids business" (SI)

*I loathe Jeff Immelt for what he has done to GE, formerly the crown jewel of American technology.
The S.O.B. was within days of having to bankrupt the company in September 2008 when no one would touch GE Credit commercial paper. And the rent-seeking corporatist...
April, 2010
"Can General Electric Still Manage?" (GE)
April 2008
GE's Immelt reduced to whining after homicidal rant from Jack Welch (GE)
May 2008
GE Stock Lower Than Sept. 10, 2001 Close; Immelt Buys Some (GE)
June 2009
GE: Government Enterprises
Oct 2009
Immelt’s Plans May Comfort Investors as Profit Falls (GE)
Oct. 2009
General Electric; Jeff Immelt: FAIL (GE)
Nov. 2009
General Electric Pursues Pot of Government Stimulus Gold (GE)
March 2010
General Electric has been an investor disaster under Jeff Immelt (GE)
I haven't owned GE since '99. I was fortunate to not own this stock for the last decade; as of the open on Friday the stock was down over 50% during Immelt's nine-year tenure. Friday's 3.22% up-move got the loss down to 48%.
In the late '90's a very wealthy and very smart investor said to me:
"GE's phony-baloney earnings smoothing is going to have to end, it's approaching the level of a joke, in addition to violating the '33 act"....
We have a lot of positive posts on GE, usually along the lines of:
Oct. '09: Can R&D Save General Electric?" and "GE's Risky Energy Research" (GE)
Combined with lobbying and firing Immelt....
Dec. 31, 2009
Cheers! To a decade of innovation at General Electric’s labs (GE)
The stock is down another dime at $15.25.
If you do a blog search on "General Electric" you'll see that I
don't much care for Jeff Immelt and his rentseeking/quasi-fascist approach to political capitalism. Research and Development has long been one of GE's strengths, so much so that it may be what saves the company.*
I'll buy the stock the day Immelt is fired by the board....
July 15, 2010
"Immelt Stakes General Electric's Growth on Higher R&D as NBC, Finance Shrink" (GE)
A subject near and dear to our flinty hearts,*
And fire Immelt....
As you can see, a fine obsession.
"So Hitler, Satan and Jeff Immelt walk into a bar..."