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Stock #4: General Electric (GE)

Although the 10 stocks for 2009 are greatly exceeding expectations, not all is perfect. If there is one mistake on the list of stocks it would be General Electric (GE).

I vastly underestimated the risk posed to the company by its finance arm. Even though the company appears to have the resources to withstand massive write-downs of poor performing loans, investors care little. Shares of GE are down more than 37% making it one of the poorest performers on this list. I would have been much better served selecting Honeywell (HON) in looking for a beat-up industrial concern for the list.

But I'm reluctant to jettison GE despite the disappointment. Locking in a loss is never a good idea. In addition, the worst of the financial crisis looks to be behind us. The government and the Federal Reserve are proving to be a solid backstop for struggling financial companies, including GE.

I don't expect a homerun here for the rest of the year, but one just never knows.

NEXT: Stock #5: Chesapeake Energy (CHK)