GM IPO coming. Will you invest

Thanks to everyone for the great replies in this thread. I decided that I couldn't go with GM when I put serious thought into this trade opportunity. I decided to sink a decent chunk of money into noncommunist Ford back on July 28th. I bought in at $12.95 a share and am very happy with the current price of $16.77. To me, betting on Alan Mulally is far better than betting on gov't fiat. I'm still roayally ticked off that I didn't have the courage to jump on Ford when it was down and out, but I think getting in at $12.95 will prove to be a solid move over the long term.
 
General Motors shares jump on Wall Street return​

NEW YORK – General Motors stock began trading on Wall Street again Thursday, signaling the rebirth of an American corporate icon that collapsed into bankruptcy and was rescued with a $50 billion infusion from taxpayers.
The stock rose sharply in its first minutes of buying and selling, going for nearly $36 per share — almost $3 more than the price GM set for the initial public offering. The stock pulled back slightly by early afternoon. It had traded for less than a dollar when the old company filed for bankruptcy last year
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http://news.yahoo.com/s/ap/20101118/ap_on_bi_ge/us_gm_ipo
 
does anybody really expect GM to trade nearly double the share price in the next two years? and even if they do, that's like expecting your 26 year old children to live in your basement and carrying them on your health insurance.

back in my day, that was a stigma, nowadays it's a mandate.

as an alternative:

Rapping Hamsters Help Kia Allay Quality Concerns
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http://www.bloomberg.com/news/2010-...te-quality-concerns-as-sales-in-u-s-soar.html

“A friend mentioned the Soul because he liked the commercials,” Mincey said. “I took a look, went for a test drive, did my research and I was sold.”
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http://www.youtube.com/watch?v=HQ-CDE_r_wg
 
http://www.bloomberg.com/news/2010-...-to-nyse-after-raising-20-billion-in-ipo.html

The Treasury needed to sell all of the GM shares it held at an average price of $43.67 to break even on its investment. That would require its remaining 500 million shares to be sold at $53.07 each, data compiled by Bloomberg show.
“We will only get our money back if we are very patient and if GM performs very well,” said Joe Phillippi, principal of consulting firm AutoTrends Inc. in Short Hills, New Jersey. “GM will really have to hit the ball out of the park in the next couple of years.”
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from a taxpayer standpoint i'd like to see that happen. still wouldn't invest in that company. but if it gets that high i'm sure it would be great news for the equities i choose to hold instead.
 
James48843 said:
GM's IPO complete- shares raise $23.1 Billion Dollars.

http://www.businessweek.com/news/2010-11-17/gm-ipo-raises-20-billion-selling-common-preferred.html

To begin trading tomorrow under the stock symbol GM.

That will make a significant dent into what GM owes Uncle Sam.
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significant dent, sold at a loss.

and by my calculations overvalued vs. say, ford, who didn't need to pitch their junk on the taxpayer to survive.

now who said i didn't have no moral fiber?

plus, everytime i sit in my 1k '94 buick i feel like i got 'food stamps' written all over my forehead. but it gets good mileage.

no thanks. i will never buy another GM vehicle, nor ever invest in that broken business model.

eat up buttercups, just don't choke on it.
 
I will be a buyer for long term but not at the initial offering. It will teater totter after the IPO. My bet is you can get it cheaper later. At least until we see Global Economic Recovery.
 
It is amazing that somehow GM reports another blowout quarter just as the IPO is being planned. The good news always comes out the top. See TCSM 10 year chart or BX chart.

Let's be honest here. GM is not the next Google or cure to cancer.
 
GM posts another profit, moves toward stock sale​

DETROIT – In a signal moment for the turnaround of the American auto industry, General Motors is edging toward a public stock sale, and its profits are now solid enough that the demanding CEO will step aside, saying his work is done.
GM said Thursday that it made $1.3 billion from April through June, its second straight quarter in the black and a complete reversal from last year, when it was forced into bankruptcy and the U.S. government took a majority stake.
CEO Ed Whitacre said he would leave his post Sept. 1. He said the GM board knew all along that he would do so after the company returned to health, and industry analysts said it was an important step leading up to the stock sale.

http://news.yahoo.com/s/ap/20100812/ap_on_bi_ge/us_earns_gm
 
Auto Ex-GM Engineer Arrested for Trying to Sell Hybrid Secrets to China
http://www.dailytech.com/ContactStaff.aspx?id=97
July 23, 2010 12:03 PM
15817_GM_Engineer_Mug_Shots.jpg

Shanshan Du, a former GM engineer, and her husband, Yu Qin were arrested and charged Thursday with trying to sell stolen GM hybrid secrets to China. (Source: Detroit News)



Man have heard of knockoff Chinese electronics clones of popular American products -- from the iPod to laptop computers.

The largely underreported story is the role intellectual property theft plays in the creation of these products. Often Chinese engineers directly steal designs which are used to produce cheap clones.

That issue has been brought under the microscope with the arrest of Shanshan Du, 51, and her husband, Yu Qin, 49, for attempting to steal hybrid trade secrets and sell them to China according to the Detroit News.

The bizarre story begins in 2000 when Du obtained a job working at General Motors. Soon she became involved with hybrid vehicle efforts, and from 2003 to 2005 she collected thousands of pages of design documents and a wealth of computer files. When she left GM in 2005, she focused on trying to sell the information on behalf of her Michigan startup Millennium Technology International, MTI, which she and her husband founded in 2000.

Her husband Qin, a U.S. citizen who immigrated from China, also appears deeply involved in the scheme. He bragged to his friends at his workplace -- Troy, Michigan-based electrical systems and equipment maker Controlled Power Co. -- that he had scored a deal to supply hybrid technology to China's Chery Automobile.

However, the documents never got to Chery, according to the FBI. The pair's scheme slowly unraveled. In 2006, pursued by the feds they began destroying documents only to be charged for destruction of evidence. Those charges were later dropped.

Breakthroughs in the case came when the FBI seized a flash drive that Qin was keeping at Controlled Power Co., which contained some of the stolen documents. Further progress was made when the FBI obtained copies of emails sent to Chery and others trying to sell the documents. The pair were arrested in Michigan Thursday on conspiracy, wire fraud, and other charges.

The FBI made it clear that its taking the case very seriously. Andrew Arena, head of the FBI in Detroit, "Theft of trade secrets is a threat to national security."

Qin's attorney, Frank Eaman, seemed resigned to the charges, starting "This investigation has been going on so long I figured if they had a basis, they would have charged them a long time ago."

Chery has fought with GM in the past over IP theft issues. Its QQ minicar, produced in 2002 looked identical and was almost identical mechanical to GM's Chevrolet Spark. GM's Daewoo unit in South Korea developed the Spark; GM has accused Chery of somehow obtaining its design information and used it to produce the QQ.


Source:

http://www.dailytech.com/ExGM+Engin...Sell+Hybrid+Secrets+to+China/article19135.htm
 
WorkFE said:
Don't expect to buy it at a discount either. GM shares will not open anywhere near 2.
My guess is mid teens. I am only a buyer if it comes in under Ford, currently 12 and some change.
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That is an excellent point; however, I am really impressed with GMs penetration into China's market. For some reason the Chinese love Buicks.
 
Don't expect to buy it at a discount either. GM shares will not open anywhere near 2.
My guess is mid teens. I am only a buyer if it comes in under Ford, currently 12 and some change.
 
James48843 said:
The article says they will file with the SEC during the week of August 16th. The actual IPO sale of shares will take place sometime after that- the IPO will be completed before November- but they don't have the exact information yet as to when and how the IPO will take place. I am talking with my broker and asking to get a small amount during the early sales. Some shares will be available before they actually show up listed on an exchange somewhere. No word yet which exchange they are going to be listed on.
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Thank you for the insight.
 
lacaprup said:
Oh, I must have read it wrong. I though it mentioned to actually have the IPO before November. When they file for it on August 16, is that the first day shares go on sale?
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The article says they will file with the SEC during the week of August 16th. The actual IPO sale of shares will take place sometime after that- the IPO will be completed before November- but they don't have the exact information yet as to when and how the IPO will take place. I am talking with my broker and asking to get a small amount during the early sales. Some shares will be available before they actually show up listed on an exchange somewhere. No word yet which exchange they are going to be listed on.
 
Oh, I must have read it wrong. I though it mentioned to actually have the IPO before November. When they file for it on August 16, is that the first day shares go on sale?
 
lacaprup

lacaprup

Member
http://www.cnbc.com/id/38372124

It looks like sometime around October GM shares will be offered to the public. Will you invest? When Ford dropped to sub $2 I wanted to invest about 10k in their stock, but I didn't have the sack to do it. If I would have, that intial 10k would be 121k today. :mad: I'm not going to miss out on GM this time around. I don't expect the amazing return that Ford produced, but I expect it will be big.
 
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