With Stock In Free-Fall General Electric (GE) Sends Out APB to Executives - "Buy The Stock!"

With its stock in free-fall today, despite Friday's 68% dividend cut, General Electric (NYSE: GE) must have sent out an All Points Bulletin (APB) to executives telling them to buy as much stock as they could.

Four GE executives did disclose insider purchases today, and more may be coming:

• Chairman/CEO Jeffrey Immelt bought 50,000 shares today at $8.26, bringing his stake to 1,748,516
  
• GE Capital CEO Michael Neal bought 75,000 shares today at $7.90 and $7.59, bringing his stake to 782,271
  
• Director Ralph Larsen bought 30,000 shares today at $7.65, bringing his stake to 165,284
  
• Director Claudio Gonzalez bought 20,000 shares today at $7.75, bringing his stake to 335,269
  

The insider buying was clearly an attempt at a confidence builder, trying to send the message "GE isn't going anywhere, we will weather this storm". But investors didn't buy into it, with the stock selling-off nearly 11% today.

Investors appear to have a lack of confidence in management, with the dividend cut coming just months after the company vigorously defended it. Investors are mad and voting with their feet.

You May Also Be Interested In

• GE Aerospace (GE) PT Raised to $180 at BofA Securities
• GE Aerospace (GE) beats on top and bottom lines in Q1, hikes profit outlook
• GE Aerospace (GE) PT Raised to $195 at Deutsche Bank