Not all Fools agree. Paul Larson (TMF Parlay) is bullish. Rick Aristotle Munarriz (TMF Edible) is not. So, read Paul's take. Then read Rick's take. Then, read the rebuttals to see how each Fool fires back.
Then, well, vote! And, when you're done, check out our Duel Flashback for a look back at our February take on America Online <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: AOL)") else Response.Write("(NYSE: AOL)") end if %>. Yes, AOL.
The Bull Argument...
GE shareholders have done well because GE has done well. The company has been on a massive, profitable growth spurt for pretty much the duration of my life. It has wisely cornered many markets that have a high degree of profitability while scuttling those business lines that were bringing marginal returns. Quite simply, GE is the world's premiere conglomerate.
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The Bear Argument...
I guess you can teach the Old Economy some New Economy tricks. Earlier this year, when General Electric lapped Cisco <% if gsSubBrand = "aolsnapshot" then Response.Write("(Nasdaq: CSCO)") else Response.Write("(Nasdaq: CSCO)") end if %> and Microsoft <% if gsSubBrand = "aolsnapshot" then Response.Write("(Nasdaq: MSFT)") else Response.Write("(Nasdaq: MSFT)") end if %> to reclaim the top spot in market valuation, it was hailed as a victory of the tortoise over the hare. Unfortunately for GE, the story -- and the race -- doesn't end there.
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