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GE is lost, 'I don't want to go near it,' says expert

  • GE popped on Monday after it announced CEO Jeff Immelt is stepping down, but that's not enough to get market expert Louis Navellier to buy the stock.
  • However, Edward Jones' Jeff Windau likes the GE story, particularly restructuring out of capital.
  • "We are really looking for that thoughtful, concise, strategic vision to come back out," Windau said.

Shares of General Electric popped on Monday after it announced CEO Jeff Immelt is stepping down, but that's not enough to get market expert Louis Navellier to buy the stock.

Sales and earnings are expected to be down this quarter, and being a multinational the company is going to be hurt by a strong dollar, he said.

"This company is lost, and until we have positive forecasts in sales and earnings, I don't want to go near it," the chairman and founder of Navellier & Associates told "Closing Bell" on Monday.

GE closed up 3.5 percent on Monday. The stock hit its 52-week low on May 18 and is down 29 percent since Immelt became head of GE on Sept. 7, 2001. It has been the worst performer of the Dow Jones industrial average since that time.

John Flannery, current president and CEO of GE Healthcare, has been named CEO of the company, effective Aug. 1, and chairman effective Jan. 1, 2018.

Jeff Windau, an analyst at Edward Jones, likes the GE story, particularly restructuring out of capital.

"This is a business that really focuses on the needs of humanity. So we're looking at it from a long-term perspective, growth in transportation, energy, health care," he said in an interview with "Closing Bell."

"There's a lot of things that can go right for the company in the long term," he added.

Windau thinks Flannery needs to take a deep dive into the business and really lay out strategies for growth.

"We are really looking for that thoughtful, concise, strategic vision to come back out," he said.

Navellier thinks the new CEO should focus more on the domestic front.

"I'd just break up and sell what I can sell in the strength that's not going to have sustainable earnings," he said.

—CNBC's Evelyn Cheng and Lauren Thomas contributed to this report.

Disclaimer

Disclosures: Edward Jones has received compensation from GE for providing non-investment banking securities-related services within the past 12 months.