Riffster Posted May 21, 2009 Share Posted May 21, 2009 I am looking at GM stock and I see it at around $1.60. Could they really go kaput? I mean could they go to $0.05 a share or something crazy like that? Could this be the bottom? Say if I invest $1,000 and loose then it is only $1,000 but if their stock goes up to say $20 in a few years then I make $12,000 or so. What is your take? Link to comment Share on other sites More sharing options...
Bluemoon Posted May 21, 2009 Share Posted May 21, 2009 It's a gamble. If they go bankrupt the shareholders are wiped out...meaning you get nothing. If they survive, you could make a killing. Link to comment Share on other sites More sharing options...
KSG_Standard Posted May 21, 2009 Share Posted May 21, 2009 I say, if you can afford to lose $1000 then buy the stock...It could be worth quite a bit in 15-20 years...Or it could be worth nothing...Do you believe in the company? Link to comment Share on other sites More sharing options...
Bluemoon Posted May 21, 2009 Share Posted May 21, 2009 This is a great time to buy stocks...and you can still make some good money buying stocks of established companies that have a good future. You wouldn't make as much as gambling on GM, but you still could do well. Link to comment Share on other sites More sharing options...
Riffster Posted May 21, 2009 Author Share Posted May 21, 2009 All good answers, I am not sure that I believe the company will prevail, it is more that I would like it to prevail. Yea, if they go under and somebody buys the name, because I just don't think a name like Chevrolet would just dissapear. The stocks do not transfer over, the name brand is not the company itself legally speaking. Mmmmh this may be one of those "I should've" instances... Link to comment Share on other sites More sharing options...
KSG_Standard Posted May 21, 2009 Share Posted May 21, 2009 Tough decisions...It seems that the people who have the most money to burn, benefit the most from both a good economy and a bad economy...Lot's of rich people got richer during the great depression. It's hard to imagine any of the big 3 going under, but it's very likely that at least one will...Common stock is the least valuable piece of a company, you are at the very bottom of the debt holders...I just read a couple of articles saying that in all likelihood, GM would end up in bankruptcy court, what happens to all the common stock holders in that event? I also read where Goetlefinger says that the UAW, which will be a 55% stakeholder in Chrysler, plans to sell most of it's stake as stocks...It seems unlikely to me, that the USA will be building the same number of new cars during the next 5-7 years, as we did in the past several years...so leaner companies, with slower growth? Who knows...good luck and we're all counting on you! Link to comment Share on other sites More sharing options...
max2343 Posted May 21, 2009 Share Posted May 21, 2009 If you got the Cash buy more, I just bought 5 times what your thinking about and Dragging your feet on. Just last week it was the lowest since 1933. It will bounce back big time from where it's at now. This is the time that the Rich Clean-up. Everything and I mean Everything is worth a lot less and now's the time to buy-up Everything you can. GM isn't going Anywhere. Good luck to-ya. In a few years, We'll both be laugh-in, Big Time. Link to comment Share on other sites More sharing options...
Bowdiddley Posted May 21, 2009 Share Posted May 21, 2009 They've already announced that bankruptcy is inevitable. I'd look for something else if I were you. If and when it does go bankrupt your investment would be gone. Right now is a good time to look at sugar and coffee futures, if you play the futures market.:- Link to comment Share on other sites More sharing options...
TheLiveSoundGuy Posted May 21, 2009 Share Posted May 21, 2009 Even if it does go back up, unless you are playing with at minimum 500,000 shares, you are not going to be seeing any real sort of return. Even at that level it is going to need to be a loooong term investment. I am not an investor in this market, but I do work for a financial news television network, so I am exposed to this on a daily basis. The market is not going back to where it was anytime soon. It will recover, but it is going to be a long slow recovery with little gains here and there. Personally, I wouldn't. We ran this story back in November, but if anything it is in more dire straits now more than it was then. (for best vid quality view in HQ. This before we went HD) The Wizetrade Television Network General Motors segment I like the Foo's avatar by the way. I also still miss your cap. That was one classic hat! Link to comment Share on other sites More sharing options...
badjuju342 Posted May 21, 2009 Share Posted May 21, 2009 Do not buy GM stock under any circumstances! They have a one week deadline before going into bankruptcy and the only way that will not happen is if the gov't buys the "good'" part of GM and the 'bad" part goes under. Go outside , set your money on fire and you will accomplish the same thing as if you bought GM stock. Plus the dealership that are getting cut are gonna start suing GM so their money problems ar going get MUCH worse.... Link to comment Share on other sites More sharing options...
MikeRom Posted May 21, 2009 Share Posted May 21, 2009 You should have bought it when the execs dumped all their shares, it's up 25% today. Nice return. Link to comment Share on other sites More sharing options...
max2343 Posted May 21, 2009 Share Posted May 21, 2009 :-({|=/ Link to comment Share on other sites More sharing options...
TommyK Posted May 21, 2009 Share Posted May 21, 2009 I am looking at GM stock and I see it at around $1.60. Could they really go kaput? I mean could they go to $0.05 a share or something crazy like that? Could this be the bottom? Say if I invest $1' date='000 and loose then it is only $1,000 but if their stock goes up to say $20 in a few years then I make $12,000 or so. What is your take?[/quote'] Sounds to me like you understand the situation and don't need our help. Risk as much as you can afford, then stand back and see what happens. Link to comment Share on other sites More sharing options...
TommyK Posted May 21, 2009 Share Posted May 21, 2009 I say' date=' if you can afford to lose $1000 then buy the stock...It could be worth quite a bit in 15-20 years...Or it could be worth nothing...Do you believe in the company?[/quote'] There in lies the rub, for GM anyways. When the company continued to crank out gas guzzling behemoths... even though gasoline prices was in the stratosphere and foreign competition was selling small cars like hotcakes in a lumber camp, no one in management, no one at the top, no one on the board of directors, said to the CEO, "ARE YOU DAFT?" Makes it hard to trust the company. The current CEO of Ford, when he took office, asked his people, "What was our big money maker last year?" They told him, quite proudly, "The TAURUS." "Grand," said he, "How many do we plan to build next year?" "None," said they, "we've drop the product." Not sure what 'he' said next, but I suspect it was something like this, "ARE YOU DAFT?" No surprise, the Taurus was back in the line-up. No surprise, the CEO had just come form Boeing.. .You guessed it, he IS a rocket scientist. No surprise, still, Ford took no bail-out money. Seems Ford changed it's captain just in the nick of time. The GM board of directors didn't get the hint. I still don't think they do. Get out your McMaster Carr catalogue boys... Look under "C" C-l-u-e. Now buy one. Link to comment Share on other sites More sharing options...
badjuju342 Posted May 21, 2009 Share Posted May 21, 2009 Back in 2005 , one of the GM muckity mucks showed up on a website I admin and hopefully this will give you a clue the intelligence level of these guys. Me : "We want the Camaro back ! You don't have ANY V8 RWD 2 door sport coupe in your lineup and the GTO is pretty bland. I want a coupe with some styling cues that doesn't look like a Grand Am. Something perhaps a bit retro in looks but a musclecar! And I can't afford a 50,000.00 Corvette ". Mentally deficient GM guy:" Oh the 2 door sport coupe segment is dead! Our bread and butter is the SUV market, we just can't build enough of those! I 've been telling you to keep the faith , someday we will!" Me: "Really ? The 2 door sport coupe segment is dead?" Mentally deficient GM guy: " Yes , REALLY". Me: " Then perhaps you would care to explain how the dead 2 door coupe market redesigned MUSTANG is selling as soon as they arrive in dealer showrooms?????" Mentally deficient GM guy " yeah.....well... uhhhh....." Shortly after this convo , Katrina came , oil companies tasted blood and the huge SUV market tanked.... 5 years later , ( only 2 years after they had the concept car showing) GM finally stopped dragging their feet and made the thing . And guess what? Go into any Chevrolet dealership and tell them you want a 1SS or 2SS Camaro , you will be put on a waiting list even you pay cash. They cannot make these cars fast enough.... Link to comment Share on other sites More sharing options...
Bluemoon Posted June 1, 2009 Share Posted June 1, 2009 I am looking at GM stock and I see it at around $1.60. Could they really go kaput? I mean could they go to $0.05 a share or something crazy like that? Could this be the bottom? Say if I invest $1' date='000 and loose then it is only $1,000 but if their stock goes up to say $20 in a few years then I make $12,000 or so. What is your take?[/quote'] Hopefully you didn't invest!!!! :) Link to comment Share on other sites More sharing options...
EVOL! Posted June 1, 2009 Share Posted June 1, 2009 GM is trading below a $1 today. BUY, BUY! It's a fire sale. Link to comment Share on other sites More sharing options...
Riffster Posted June 1, 2009 Author Share Posted June 1, 2009 Hopefully you didn't invest!!!! :) Nope, when I initially posted I had not read all the news at the time, after reading I decided to hold off. Coincidentally I checked on it today, (I was in Destin, Florida all last week getting drunk and sunburned). I am still curious what this stock is going to do but I am on the sidelines. Where I did miss the boat is the stock NOV, I was going to buy when it dipped below $20 and I didn't. ouch. Link to comment Share on other sites More sharing options...
Flight959 Posted June 1, 2009 Share Posted June 1, 2009 Didnt they go bust today!? Link to comment Share on other sites More sharing options...
Riffster Posted June 1, 2009 Author Share Posted June 1, 2009 Yep but there is money to be made in this mess, the day range is $0.27 to $1.01. Say you bought in at $0.27 and sold at $1.01 you could have more than tripled your money in a day. Hard to time it that way but possible nevertheless. Link to comment Share on other sites More sharing options...
Bluemoon Posted June 1, 2009 Share Posted June 1, 2009 Most likely common stock holders will lose everything. A sobering stat: "Investors ended up with nothing in 22 of the 36 publicly traded companies with at least $100 million in assets that had reorganization plans approved in 2008" Link to comment Share on other sites More sharing options...
Homz Posted June 1, 2009 Share Posted June 1, 2009 I still have confidence in American companies. Hmmm, imagine that an American believing in the strength of the American worker and the American product. What motivation could be attributed to those that want GM to fail. Hmm, well they could be agents of foreign governments or they could be in favor of foreign companies taking an even greater foot hold or they could be senators from states that have a vested interest in destroying organized labor or they could just be anti-American. I suppose they could also have noble intentions. What that would be I haven't a clue. There is a difference between simply not being in favor of government programs and the desire to see a failure of an entire manufacturing base in America. Note the difference in the posts and the difference in the posters, please. Link to comment Share on other sites More sharing options...
KSG_Standard Posted June 1, 2009 Share Posted June 1, 2009 All that sounds good in theory homz, and I agree in principal. The problem, it seems to me though is more complicated. GM is a global company, when you buy a GM product, the parts come from all over the world, the designs come from all over the world and the assembly of the vehicles occurs all over the world. I wanted to do my part and buy an American vehicle, but after buying my Chevy, I found that it had been assembled in Mexico, with parts made all over the world (metric fasteners all over the truck) and electronics made overseas, etc. I believe that Chrysler and Ford are the same. How do we compete in a global market with our cost structure so high? As a consumer, I want the best widget I can buy for the best price. What is the solution? The Chinese are making Buicks, same vehicle, comparable quality, same parts, same manufacturing systems, etc, as we use in the States. The Chinese worker will build that Buick for $10/month, our workers, deserve and need a much higher income to live in the US. It doesn't appear that there are any easy solutions... Link to comment Share on other sites More sharing options...
bigac/dcfan Posted June 1, 2009 Share Posted June 1, 2009 That's a really bad idea considering they went bankrupt. You should buy into Ford instead. Link to comment Share on other sites More sharing options...
Homz Posted June 1, 2009 Share Posted June 1, 2009 All that sounds good in theory homz' date=' and I agree in principal. The problem, it seems to me though is more complicated. GM is a global company, when you buy a GM product, the parts come from all over the world, the designs come from all over the world and the assembly of the vehicles occurs all over the world. I wanted to do my part and buy an American vehicle, but after buying my Chevy, I found that it had been assembled in Mexico, with parts made all over the world (metric fasteners all over the truck) and electronics made overseas, etc. I believe that Chrysler and Ford are the same. How do we compete in a global market with our cost structure so high? As a consumer, I want the best widget I can buy for the best price. What is the solution? The Chinese are making Buicks, same vehicle, comparable quality, same parts, same manufacturing systems, etc, as we use in the States. The Chinese worker will build that Buick for $10/month, our workers, deserve and need a much higher income to live in the US. It doesn't appear that there are any easy solutions...[/quote'] Reasonable. Must be reasonable day. Good post. Link to comment Share on other sites More sharing options...
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