GE shares jump again as Wall Street loves Danaher deal

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A GE Healthcare Ltd. BioProcess machine stands on display during the International Pharmaceutical Expo (Interphex) in New York.

A day after General Electric’s surprise announcement of a biopharma sale to Danaher, Wall Street crowed about the embattled industrial conglomerate’s $21.4 billion deal.

GE shares rose 3 percent in trading Tuesday as several analysts pointed to GE’s deal as a positive for the stock.

“In our opinion there is no fundamental case for GE’s share price to have further downside risk,” William Blair analyst Nicholas Heymann said.

UBS analyst Peter Lennox-King believes this new source of cash for GE, as well as the benefits, is a boon for the company.

“The sale of GE BioPharma to Danaher effectively puts the leverage question to bed,” Lennox-King said.

Deutsche Bank analyst Nicole DeBlase was the odd one out among the group, however, despite raising the firm’s price target on GE to $11 a share.

“GE is left with the less attractive parts of the Healthcare business,” DeBlase said of the deal.

Here’s what major Wall Street analysts said about GE’s deal.