Anyone buying GM Stock in IPO?

[LostInMoscow]

Originally Posted by a_Username

This statement really bothers me, do you not doubt the government ability?

[1bad65]

As to the original question, no I won't be buying GM stock. They have two huge strikes against them. 1) History. People who owned GM stock before got hosed, big time. Those who do not learn from history are doomed to repeat it. 2) Entities that are Gov't owned always lose money. The point of investing in stocks is to invest in companies that you think will make money.

Now I may end up being proven wrong, but I'll at least admit it if it happens.

[ViperTomcat]

Short Answer for me:

No, I will not. I would buy stock in Ford and if Chrysler goes public again, but not GM for a while.

[ljstella]

http://www.autoblog.com/2010/08/10/r...-pay-off-debt/

Thought I'd leave this here too...

[Russell James]

Pass.

Once burned twice shy. I tend to avoid investing in instruments that flushed my money down the toilet once already.

It's like getting kicked in the nuts, and then being asked if you'd like to be kicked in the nuts again. Uh, no.

[Craig]

Originally Posted by FenwickHockey65

So you're here...why?

I'm here to actually contribute to the discussion, and offer members here considering plunking down hard-earned money some much-needed perspective beyond the typical pom-pom waving from people like you. When I joined this site GM had not declared bankruptcy, the CEO was claiming they never would and I had every intention of buying a new Camaro. But when the facts change my views change with them, which is obviously a difficult thing to swallow for those who are "GM loyal to the end". And last I checked I actually drive a Camaro. What's your excuse?

This one deserves a TTT given recent developments. When the CEO suddenly announces his resignation mere days before the biggest IPO in American history, then said IPO gets delayed, more than a few potential investors have to be asking themselves WTF is going on in the GM boardroom. Dan Akerson will be the fourth CEO this company has had in a span of about eighteen months. The turnaround in GM products is undeniable. Management, on the other hand, still doesn't look like they're quite ready for prime time. This of course isn't necessarily the case but in this day and age perception=reality for all intents and purposes and this is undeniably a PR disaster at the worst possible time.

[All-Or-Nothing]

Originally Posted by ljstella

http://www.autoblog.com/2010/08/10/r...-pay-off-debt/

Thought I'd leave this here too...

Obviously you only read the title to the article. Here is a quick snippet.

Rather than direct bailouts, Ford has been able to take advantage of several government-backed low interest loan programs like the Advanced Technology Vehicle Manufacturing program run by the Department of Energy to fund new vehicle development and factory retooling. Ford is also getting tax breaks and low interest loans from various states as well as other countries like the UK and Russia. At the same time, it has used profits earned in the past year to pay down higher interest debt earlier than planned. In doing so, Ford hopes to get back from junk bond status to investment grade by late 2011 or early 2012.

[All-Or-Nothing]

Originally Posted by Craig

This one deserves a TTT given recent developments. When the CEO suddenly announces his resignation mere days before the biggest IPO in American history, then said IPO gets delayed, more than a few potential investors have to be asking themselves WTF is going on in the GM boardroom. Dan Akerson will be the fourth CEO this company has had in a span of about eighteen months. The turnaround in GM products is undeniable. Management, on the other hand, still doesn't look like they're quite ready for prime time. That may or may not be the case but it is undeniably a huge blow when it comes to perception from potential investors.

Just to add to this point.



General Motors Co. incoming Chief Executive Officer Dan Akerson’s biggest challenge in selling investors on the company’s initial public offering may be convincing them he can revive the unprofitable European unit.

In Europe, the Detroit-based automaker’s only unprofitable region, losses totaled $637 million before interest and taxes in the first half. Its updated Astra compact failed to reverse a drop in market share and unions still are stinging over plans to close Adam Opel GmbH’s factory in Antwerp, Belgium.


More at the link.....http://www.bloomberg.com/news/2010-0...s-fixable.html

[Craig]

You can't make this stuff up. Originally reports said the IPO would be filed at the end of last week. Then the CEO announces his departure the day before, and the IPO was delayed to this week.

Now reports indicate it's been delayed again.

One can only hope the delay, if true, is in order to make more shares available to the public at large. If this is the case (although it's ALL speculation) then they're to be commended because frankly every American taxpayer should, in principle, have the chance to purchase shares at the initial offering price. If not they're literally flushing money down the drain, because this type of thing destroys investor sentiment. I was thinking that declaring management "not ready for prime time" may have been overly harsh, but now, assuming reports are accurate, well...

http://www.cnbc.com/id/38746289