Shares of General Electric
So whats going on? Well the company announced that the year over year drop in revenue was due to weakness in "GE's energy connections business." While their renewable's division along with their power units division out performed it was not enough to put a cap on the energy losses.
Another key metric that investors tend to focus on is their "cash flow from operations" which plummeted 67% from a year earlier. Some analysts noted that they gave a pass to GE on this due to some of that reflecting a loss from their recently sold, appliances division.
Finally, guidance. Investors always look to the company for future guidance and GE did not paint a pretty picture going forward. The company said that earnings are likely to end the year at the bottom of its range at $1.60 per shares. In addition the company did not comment or update its outlook for 2018 which was a bit of a surprise though with a new CEO coming in is not unheard of.
Now the good news. If you are a long term investor that likes to buy stocks that are out of favor and wait for the turnaround then you may have found your stock. GE is trading at a discount of over 20% from its highs, 18% of which have happened this year. Also, while its not really known to be the best dividend stock out there, you do get 3.60% while you hold.