The following video is from Monday's MarketFoolery podcast, in which host Chris Hill, along with analysts Jason Moser and Matt Argersinger, discuss the top business and investing stories of the day.
General Electric (NYSE: GE ) announced on Monday that it's buying oilfield services firm Lufkin Industries (UNKNOWN: LUFK.DL ) for $3.3 billion. Shares of Lufkin were up sharply on the news, but shares of GE were down. Did GE overpay? What does the deal mean for investors going forward? In this installment of MarketFoolery, our analysts talk about what the deal means for investors and discuss some other oil stocks on their radar.
For GE, the recent financial crisis struck a blow, but management took advantage of the market's dip to make strategic bets in energy. If you're a GE investor, you need to understand how these bets could drive this company to become the world's infrastructure leader. At the same time, you need to be aware of the threats to GE's portfolio. To help, we're offering comprehensive coverage for investors in a premium report on General Electric, in which our industrials analyst breaks down GE's multiple businesses. You'll find reasons to buy or sell GE today. To get started, click here now.
The relevant video segment can be found between 0:38 and 5:41.