Shortly after the opening bell, we can be exiting our position in GE Healthcare , selling 550 shares at roughly $65. Following Friday’s trade, Jim Cramer’s Charitable Trust will not own a position in GEHC. We’re cutting loose our small position in GE Healthcare and raising some money following two negative developments over the past 48 hours. First is the impact of tariffs. Per GE Healthcare’s annual report filed in February, it has 15 manufacturing facilities situated within the U.S. and 28 locations overseas, including in China, India, Israel, Mexico, Brazil, Europe, South Korea, and Japan. Normally, a diversified supply chain is the envy of firms since it allows them to be flexible in disruptive times. But not on this era of high reciprocal tariffs. GE Healthcare’s international presence works against them. Second, the corporate’s China exposure is problematic. The country’s response to the tariffs is simply too much to bear for this medical equipment company. In response to the increased tariffs, China said Friday it would impose 34% retaliatory tariffs on all goods imported from the U.S. As well as, China announced an anti-dumping probe in medical CT X-ray tubes from the U.S. and India. This crackdown on medical equipment will likely be a setback to the green shoots GE Healthcare saw earlier this yr. These two recent negative developments usually are not price defending for the smallest position within the portfolio. Plus, this extra money will increase the defensiveness of the portfolio on this uncertain moment Based on premarket prices, we’ll realize a lack of about 12% on our last remaining shares. (Jim Cramer’s Charitable Trust is long GEHC. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you’ll receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked a few stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Eli Lilly hits $1 trillion market value, first for health care company
An indication with the corporate logo sits outside of the headquarters of Eli Lilly in Indianapolis, Indiana, on March 17, 2024.Scott...
