Bill Nygren (Trades, Portfolio), Oakmark Fund portfolio manager, appeared on CNBC Tuesday afternoon to discuss his addition to his holding in General Electric (GE, Financial).
"This is a very different company looking forward than looking back," Nygren said, highlighting the focus of new CEO John Flannery on return on invested capital and capital allocation.
Nygren said he expects higher-than-average growth from GE and that it will trade at a premium as the new CEO achieves better business operations.
Nygren owned 15.05 million shares of GE as of the second quarter-end but said in the interview he has increased the stake an undisclosed amount. He holds 0.17% of its shares outstanding, well below the 5% threshhold for reporting to the SEC.
GE shares declined 26.6% year to date, closing Tuesday trading at $23.19 per share.
