A good time to buy GM?
A waking giantI'm not sure which year of the GM death watch America is now in, but I know we're several years into the death march. And, with stock value crashing, it seems easy to believe the end is near for the General. So, why is Barron's predicting that GM stock could triple in value over the next few years?
Cost cutting and great foreign sales. GM has already trimmed a lot of corporate fat and by 2010 GM will be saving $4 - $5 billion dollars per year due to its new contract with the UAW.
Coincidentally, 2010 is also a very interesting year for new GM products. In 2010, the world could see two plug-in hybrid vehicles from GM: the Chevy Volt and the Saturn Vue hybrid. Additionally, GM will also a launch a new lithium-powered hybrid powertrain that can be integrated into almost any vehicle.
Around 2010, GM and its shareholders could find themselves in the perfect storm, but instead of death - GM critics please close your eyes now - it could be an amazing rebirth.
Labels: Chevy Volt electric vehicle concept, Hybrid Vehicles, plug-in hybrid vehicles, saturn vue hybrid
posted by Dahcredyns at
7:59 AM
4 Comments:
such a development would be great for america. gm-haters are stupid. i'm sorry but you can dislike gm products, but to want to see gm go into bankruptcy is simply anti-american. it's self-hate. we need a more progressive gm, not a bankrupt gm. you can't blame gm for cheap oil. you can't blame gm for the sequoia. gm is suffering because of a lot of bad decisions. give 'em a chance to correct. that's the american way, isn't it?
i have to admit that in the past i was a gm-hater longing for their death, but i no longer subscribe to the haters-camp. an efficient gm would be great for america, for the world.
before blaming gm, i think haters have to ask, why has oil been so cheap in america for so long? why have we fought so many wars and battles in the oil-rich parts of the world for so long? isn't there a connection? isn't that obvious?
I'm not saying that gm hasn't colluded in some manner, but i don't think they are the source of the problem. blame them for participating, but did they have much choice? larger forces were at work and gm simply went along for the ride.
I agree that I have disliked GM's mnagement for a long, long time. But I would also hate to see them go bankrup as well. If Ford/GM went under, you can bet the house tha Toyota and Honda would cease innovating overnight. Personally, I do hope that GM is starting to "get it", since i would buy a hight-quality, American-made compact hybrid car in a minute if one existed (and Malibu doesn't count since it gets a whopping 1MPG improvement from it's anemic BAS mechanism).
Fast Money guys weren't too excited about GM stock today, especially after monthly sales figures. They referred to the Barron's article, but stated there was a lot of time to go down before now and 3 years out, when Barron predicts good things for GM.
Another analyst on CNBC was particularly bullish on GM, even after the sales figures, because he believed there new products were on track.
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