J.P. Morgan Stephen Tusa downgraded General Electric shares underweight from neutral and cut its 12 month price target to $ 5 from $ 6.
But the analyst has changed his view back to clearly negative on Monday:
"Sj The downgrade of our downgrade is that the street is significantly over projecting the FCF study program (free cash flow) in the coming years, by levels that we estimate at zero Currently, as Power / Renewables is still weak, GECS (GE Capital Services) likely to consume material money for the foreseeable future, Aviation basics, such as underlying FCF, are weaker than meeting their eyes, while long-term sectoral influence, including rights, leaves the company exposed to liquidity problems in the event of a recession that may be needed a dilutive sale of the rest of the health care system. "
This is an evolving story. Check back for updates.