Supplement to August 9, 2009 Weekly Report
|GE stock peaked at
nearly $60 in late 2000. Although it participated in the 2003-2007 bull
market, it did not rise to its prior peak. It closed at $14.70 on August
7, 2009. The scale is logarithmic and dampens the sourness of the
dilettante infestations that drive this once great company to the south.
The management is now bent on what is referred to as "political
management." Rather than using special interests, they have
representatives in direct contact with the executive branch of government.
Fundamentally, this is a stock to avoid. The Mid-term Indicant, however,
will signal buy when and if its price moves above the bearish yellow
curve. They may manage some lucrative government contracts. As you can see
from the chart, they do need quite a bit of help, in spite of their sleazy
methods of acquiring it.
|If the first data point originated in the
early 1950's, GM stock would still be moving south. In other words a buy
and hold position made in the early 1950's in General Motors would have
lost you money over the last half century.
|Eastman Kodak has been removed from the Dow30.
The Indicant will move it to the Indicant Select Stocks. Eastman employed
thousands of MBA's from some of the country's finest academic institutions
over the past forty years. One has to wonder why? At any rate, it along
with GM is now a penny stock. Neither are recommended as fundamental buys.
The leeches are not quite through with it.