For our younger readers, the headline is a reference to the headline Variety sported following Black Tuesday, 1929:
Although the prior day's decline was larger, 12.82% vs. 11.73%, Black Tuesday was terrifying to market participants because of the volume.
That day's 16 million shares traded set a record that would not be exceeded until 1968.
On that Tuesday GE dropped 28 bucks to close at 222, a decline of 11.2%, making today's move look smallish except when you consider that the DJIA was only down 0.29% today.
Because L.P. Hartley was on the money with the opening line of his novel, The Go-Between:
"The past is a foreign country: they do things differently there"I'll attempt to translate Wall Street Lays an Egg into modern vernacular:
GE under Immelt= Epic FailThere, I got that off my chest.
The funny thing is, I haven't touched the stock in over a decade, it is the mismanagement that rankles, not any pecuniary loss caused by the 50% decline in the stock price since Immelt took over.
Here he is explaining the 3rd quarter results in the earnings call transcript, via Seeking Alpha.
And here's MarketBeat:
General Electric Earnings: Analyst Takeaways
General Electric is still getting hammered on its revenue miss this morning. Shares are down more than 5%, weighing on the S&P industrial sector Friday. Here’s some of what analysts are spotlighting in the industrial giant’s financials.
Scott Davis, Morgan Stanley: “The key to the stock’s decline today is revenue and operating miss in the big Energy Infrastructure segment. Though GE indicates it was expected, clearly not well communicated as top line missed our recently lowered forecast by 8%, consensus by at least that much. In a business that is now mostly razor/razorblade service of a huge installed base, this type of revenue miss is unprecedented. We are sympathetic to the market’s concern here.”...MORE