By Yilei Sun and Brenda Goh

FILE PHOTO: The GM logo is pictured at the General Motors Assembly Plant in Ramos Arizpe, Mexico

FILE PHOTO: The GM logo is pictured at the General Motors Assembly Plant in Ramos Arizpe, Mexico

BEIJING (Reuters) – General Motors Co’s (GM) vehicle sales in China grew 12% over July-September versus the same period a year earlier, the Detroit automaker’s first Chinese quarterly sales growth in two years. The second-biggest foreign automaker in China by units – after Germany’s Volkswagen AG – said on Monday it delivered 771,400 vehicles in China in the third quarter. That followed a second-quarter fall of 5%.

GM has a Shanghai-based joint venture with SAIC Motor Corp Ltd making Buick, Chevrolet and Cadillac vehicles. It has another venture, SGMW, with SAIC and Guangxi Automobile Group, producing no-frills mini-vans and which has started manufacturing higher-end cars.


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China sales of mass-market brand Buick rose 26% in the third quarter, GM said in a statement. Sales of its mass-market Chevrolet marque fell 20% whereas those of premium brand Cadillac jumped 28%.

Sales of no-frills brand Wuling grew 26%, whereas those of mass-market Baojun vehicles tumbled 19%.

GM has seen its China sales suffer in a crowded market and slowing economy. To revive its fortunes, it wants electric vehicles (EVs) to make up over 40% of new launches over the next five years in China, where the government promotes greener cars.

The automaker’s Wuling Hong Guang MINI EV, a micro two-door EV with a starting price of 28,800 yuan ($4,200), was China’s biggest-selling EV in August.

GM’s sales in 2019 fell 15% from a year earlier to 3.09 million vehicles. The automaker delivered 3.65 million vehicles in 2018 and 4.04 million units in 2017.

(Reporting by Yilei Sun and Brenda Goh; Editing by Christopher Cushing and Jacqueline Wong)

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Shares of General Electric  (GE) – Get Report have been volatile lately but bulls are getting back in control.

On Friday, Goldman Sachs analysts resumed their coverage with a buy rating and a $10 price target.

The upgrade comes just a few days after it was reported that GE received a Wells Notice amid an insurance accounting probe.

Wells Notice, accounting probe – not terms you like to hear about a stock when making the bull case. But Goldman Sachs said GE is becoming a “leaner, structurally more productive company with better capital discipline.”

That may be true, although fundamentally, there are still plenty of concerns. However, I am encouraged by the way the stock has been trading the last few days despite what should be perceived as negative news.

You know what they say: Nothing is more bullish then when a stock rallies on bad news. Let’s look at the charts.

Trading General Electric

Daily chart of GE stock.

Daily chart of GE stock.

Last month, GE stock was putting together another solid rally. I was looking to see if shares could rally up to the 23.6% retracement near $7.30. On the downside though, I said the stock needed to hold the 20-day and 50-day moving averages as support.

That didn’t happen.

On the plus side, $6 again held as support as GE continued to carve out a nice low. On Thursday, shares burst higher once again, gaining 5.4% and clearing the 20-day and 50-day moving averages and downtrend resistance (blue line).

GE is again petering out near $7 though, leaving traders in a tough (and exhausted) spot.

From here, let’s see if shares can get above $7 and rotate over the September high at $7.17. Above that puts the 23.6% retracement in play at $7.31. If it

AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a” of International General Insurance Co. Ltd., (IGICL) (Bermuda) and International General Insurance Company (UK) Limited (IGIUK) (United Kingdom). Concurrently, the rating of International General Insurance Holdings Limited (IGI) (United Arab Emirates), now an intermediary holding company, has been withdrawn at the company’s request. The outlook of these Credit Ratings (ratings) is stable.

At the same time, AM Best has assigned a Long-Term ICR of “bbb” to International General Insurance Holdings Limited (IGIC) (Bermuda). The outlook assigned to this rating is stable.

The ratings of IGI reflect its balance sheet strength, which AM Best categorises as very strong, as well as its strong operating performance, limited business profile and appropriate enterprise risk management (ERM).

On 17 March 2020, IGI and Tiberius Acquisition Corporation (Tiberius) announced the completion of their business combination. As part of the combination agreement, IGI exchanged its shares for common shares of IGIC, becoming a wholly owned subsidiary. IGIC is a new public company, listed on the Nasdaq, and is now the ultimate parent of the group. Tiberius and IGI raised approximately USD 146 million as part of the transaction, of which USD 41 million was added to IGI’s balance sheet.

IGI’s strong operating results have been underpinned by robust underwriting performance over the long term. However, the company’s performance is affected by foreign exchange movements, largely through exposure to GBP-denominated business from IGI’s growing U.K. book of business. The company reported a five-year average combined ratio of 92% (2015-2019), despite the impact of catastrophe losses in 2017. AM Best views IGI’s underwriting discipline as a key factor supporting its good financial results and expects the company to report strong, albeit potentially volatile, profits in prospective years.

General Electric GE shares jumped higher in pre-market trading Friday after analysts at Goldman Sachs resumed coverage of the industrial group with a buy rating and a $10 price target.

Goldman Sachs analyst Joe Ritchie, citing the progress towards a ‘”leaner, structurally more productive company with better capital discipline” during the two-year tenure of CEO Larry Culp, said the group’s free cash flows will improve next year as its higher-margin businesses recover from the worst of the coronavirus pandemic. He also argues there is potential upside for both the stock and its longer-term price target heading into the group’s third quarter earnings on October 28.

Culp told investors last month that GE’s industrial free cash flows would be positive before the end of this year, a noted improvement from his July update that it would likely turn positive on in 2021.

General Electric shares were marked 3.3% higher in early trading Friday to change hands at $6.86 each, a move that extends the stock’s one-month gain to around 10%.

In late July, when GE published a wider-than-expected second quarter loss of $2.2 billion, Culp noted “faster progress on elements within our control, including our targeted cost and cash preservation actions.’

GE’s second quarter revenues fell 38.5% from last year to $17.7 billion, a figure that topped analysts’ forecast by around $700 million for the three months ending in June. Industrial free cash flow was also better-than-forecast, at -$2.1 billion from $-2.2 billion in the first quarter, and the conglomerate said at the time it expected to be free-cash flow positive by next year.

Revenues from GE Power, one of the group’s biggest divisions, remained reasonably solid, down 11.1% to $4.16 billion, while Aviation revenues fell 44% to $4.4 billion as global aircraft demand collapsed during coronavirus travel restrictions and Boeing’s

a sign on the side of a building: Image of General Electric (GE) logo on the top of a corporate building with clear blue sky in the background.

© Source: JPstock/
Image of General Electric (GE) logo on the top of a corporate building with clear blue sky in the background.

Is now the time to buy General Electric (NYSE:GE) stock as shares tread water? Not so fast! Shares are down big due to its novel coronavirus headwinds. But, as the pandemic affects its turnaround plan, it’s hard to see a rebound in the cards anytime soon.

a sign on the side of a building: Image of General Electric (GE) logo on the top of a corporate building with clear blue sky in the background.

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Image of General Electric (GE) logo on the top of a corporate building with clear blue sky in the background.

How so? Even before the outbreak, the company faced a laundry-list of problems. Issues from years past snowballed into major hurdles. Granted, it wasn’t like the company was twiddling its thumbs. By bringing on Larry Culp as CEO, the company made a smart and proactive decision.

But, while Culp is a talented CEO, GE has a lot of moving parts. And, said parts need a lot of maintenance. In short, fixing this company, and its disparate operating units, is easier said than done.


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That’s not to say Culp hasn’t made the right moves. His aggressive actions could help make General Electric “lean and mean” down the road. But, for now, everything hinges on the outbreak fading, and things “returning to normal.”

So, what’s the call here? Until the situation changes, there’s not much reason to buy this hard-hit stock.

GE Stock, Pandemic Headwinds and the Turnaround

General Electric was already a basket case before the outbreak. Except for its Healthcare unit, the company’s various units were facing big challenges.

I give GE credit for putting Culp (an outsider) at the helm, rather than a company “lifer.” A change of the guard was more than overdue. Prior management made poor decisions, as seen from