GM's IPO - Two Provocative Queries


#1

When account is taken of:



(1) General Motors accounts for 41% of the entries on Consumer Reports’ 2010 Worst Cars list and



(2) General Motors had 22% of the new U.S. car market in 2008 and has 19% of the new U.S. car market in 2010 (through September),



would you:



(1) Tell your mother-in-law that GM shares are a good investment?



(2) Tell only your mother-in-law that GM shares are a good investment?


#2

What, one provocative query wasn’t enough?

If you’re worried about GM’s future, I’ve got one word for you: China.


#3

“(1) Tell your mother-in-law that GM shares are a good investment?” . . . YES
[b]"(2) Tell only your mother-in-law that GM shares are a good investment?"[/b] . . . NO

Two More Provocative Queries

Is this another one of your scientific evalutions ?
Are you done, yet ?

P.S. This should not be posted in Repair and Maintenance. It’s ALWAYS important to work ACCURATELY and pay attention to details.

Respectfully,
CSA


#4

If you base your investment decisions solely on what’s in your rear view mirror, you shouldn’t be making investment decisions.
The value of the investment has more to do with what the company will look like in the future, and where the stock is priced. Does it pay a dividend? How old is your mother in-law and what is her long term goal?
Keep in mind much of GM’s revenue results from GMAC, not from auto production.


#5

If you’re worried about GM’s future, I’ve got one word for you: China.

Is that because GM is investing heavily in China and moving manufacturing and engineering jobs to China and India???


#6

If you base your investment decisions solely on what’s in your rear view mirror, you shouldn’t be making investment decisions.

REALLY…You should talk with Warren Buffet…That is his MAIN reason he’ll invest in a company…Past performance is paramount to everything else…If you invest in how you THINK a company will perform without looking at it’s past performance you might as well just go to Vegas.

Direct quote from Warren Buffett - "In the business world, the rearview mirror is always clearer than the windshield. "


#7

In addition to what Mike said, it’s pretty much impossible for us as mere consumers to know what GM is going to look like in the future. They might turn it around and build fantastic cars. They might decide to build piles of scrap instead. If they take the latter option, do you really think they’re going to tell the public about it? “Buy GM cars! They’re CRAPPY!” is not a marketing campaign I see them coming out with.

So since there’s no way, short of kidnapping the CEO and forcing him to look at Honda porn until he answers our questions, for us to actually know what they’re going to do in the future, we have to look at what they’ve done in the past.

And based on that, I’m a little more interested in investing in them due to some vehicles they’ve produced in the very recent past, but I’m still quite cautious due to the vehicles they produced for 3 decades. As a cautious investor who does not play Wall Street as though it were a slot machine, that means I’ll keep my eye on them, but wait to see if they’re really turning things around.


#8

I dabbled in the last post a little bit. But I am now out of that one and this note will be my last word in either one. Mr. Bleeker is obviously up to who knows what and has no interest being in a discussion about it. Maybe he’s reading, but he’s not discussing. So whatever he’s doing I don’t want any part of it.

I am going to ignore his posts and I’d actually raise the possibility that everyone should just let them go as well - just IMHO.


#9

Mr. Bleeker runs http://www.autooninfo.net/ - a website which claims to be about auto quality education - - I say claims not as a pejorative, but because I haven’t the time (or the inclination) to fully research the site to see if it’s legit or biased.

He’s a mathematician (undergrad / masters) and a lawyer.


#10

Well maybe, but I was thinking GM is already big in China. They’ve been there for a while, and Buick is a very popular brand there.

Consumer Reports 2010 worst car list (which I also read) has little to do with the world market, and may not have much impact on GM’s overall future.

Besides, their US models are getting better.


#11

Thanks for the “heads up”. I too will no longer respond to Mr. Bleeker’s posts. I’ll not be a pawn in whatever his game is.

A lawyer eh? I guess it’s tougher for a lawyer to make his name now that they no longer make Corvairs…


#12

I will be happy to give you a thorough, well-reasoned argument backed up by multiple citations, for $350 per hour.


#13

“…much of GM’s revenue results from GMAC…”

I doubt that. GMAC is now called Ally Financial and it is owned mostly by the US Government. GM currently owns only 16.6% or so.


#14

This thread, just like the other, is an utter crock of crap.