GM Stock Nearly Doubles in One Week

**Ming** · 07-23-2008, 11:09 AM

How about some positive news for a change? - Ming

At 11:46AM ET: 15.5116 1.1916 (8.32%)

http://finance.yahoo.com/echarts?s=G...ol=GM;range=5d

GM stock last week briefly bottomed in the 8 dollar range.

GMI Flashback: Time to Buy? Investment Firm Advises Clients to Sell GM Stock

Quote:

The decline in oil also reflects an increased appetite for risk among traders who previously viewed the Treasuries and commodities as safe havens for their positions, but are now cautiously nibbling along the bottom of credit market victims. And demand factors continue to place downward pressure on oil, with today's inventory status report expected to reveal another increase in gasoline stocks due to reduced consumer demand in the US. The lower oil prices sent energy shares 3.3% lower, but resulted in a 2.7% advance in consumer discretionary shares, with General Motors (NYSE:GM) up 9.4%

http://www.foxbusiness.com/story/mar...ly/-1449367998

tirediron · 07-23-2008, 11:11 AM

[quote=Ming;1463388]How about some positive news for a change? - MingQUOTE]

Thank you, that is a nice change on this site.

wescoent · 07-23-2008, 11:12 AM

Good thing I covered my short with only a 6% loss...

RamJet502 · 07-23-2008, 11:13 AM

That's a nice bump, but have the fundamentals changed? Is there a business vision in place that will bring profitability in the near future?

Kennyboy · 07-23-2008, 11:19 AM

What must come down must come up.

Beau · 07-23-2008, 11:24 AM

Wes, how did you lose money on the short, did you think it was going to keep dropping?

ericmvest · 07-23-2008, 11:42 AM

It seems investors are having a difficult time placing a value on General Motors stock. The run down on General Motors stock since the unfavorable Merrill Lynch analysis seemed extreme. Maybe the stock market is efficient in the long term, but in the short term it seems to be driven by emotions rather than logic. Humans tend to get caught up in a herd mentality and buy high and sell low. Wise investors with the cash to invest can make a killing in these situations.

An interesting side note is that Merrill Lynch posted a $4.9 billion second quarter loss. I wonder if their analysts are more competent than their senior management?

FenwickHockey65 · 07-23-2008, 11:43 AM

Hahh...GM hates me and wants me to fail.
I was going to buy when it fell below $10, but thought I'd wait to see if it'd drop a bit more.
Not anymore.

Anyways, good news for GM. Let's hope they can keep it up.

**BigAls87Z28** · 07-23-2008, 11:44 AM

Should have bougt a few hundred shares last friday....

wescoent · 07-23-2008, 11:56 AM

Quote:

Originally Posted by Beau

Wes, how did you lose money on the short, did you think it was going to keep dropping?

After it bounced up to $12, I thought there might be a correction the next day. But oil prices kept falling, so there was no correction. I covered the short before it got too out of hand. I'm thinking about trying again right before GM releases Q2 results.

However, I'm not overly worried about the bucks I lost. On July 11th, when Fannie and Freddie TANKED, I was feeling squirrelly, did some quick sells of existing positions, and dumped 3/4ths of my high-risk portfolio into them... FNM at 6.70, and FRE at 3.90.

Slowrider5 · 07-23-2008, 12:00 PM

I'm counting on one more drop before the market has truly bottomed out.

gmmerc5 · 07-23-2008, 12:06 PM

Quote:

Originally Posted by Slowrider5

I'm counting on one more drop before the market has truly bottomed out.

Double bottom???? I thought GM would have top out at around 14 and turn.

Mplsspyder · 07-23-2008, 12:12 PM

Guess that group of GM dealers who bought the $1 million of stock are feeling pretty good about now.

jbernie · 07-23-2008, 12:21 PM

Quote:

Originally Posted by RamJet502

That's a nice bump, but have the fundamentals changed? Is there a business vision in place that will bring profitability in the near future?

Oil going down $20 a barrel does wonders, it may not necessarily change things for GM itself, but when the lower cost of oil gets to the pumps and people are paying less for gas, they have more money (in theory) for other things which helps the economy overall.

That and the announcement from GM last week which may or may not be enough depending on your view shows to the market that they are making changes to improve the long term financial health of the business.

2002 Caddy · 07-23-2008, 12:27 PM

The high point today was $16.35...

Other then the dividend cut, the fundimentals haven't changed at GM... What has changes is the price of oil has dropped another ~$2.00 a barrel today.

The market it betting that we will all go back to Trucks and Ute's when we smell the sweet sent of cheap gas...

I'm not so sure....

If the July sales numbers are "good" or at least better then Toyota... This will hold... If not, this is going to be a wild ride.

07-23-2008, 11:11 AM	#2 (permalink)
tirediron 3.5 Liter V6 Join Date: Aug 2007 Location: Flint, MI Drives: 07 HHR 07 G6 Posts: 217	Re: GM Stock Nearly Doubles in One Week [quote=Ming;1463388]How about some positive news for a change? - MingQUOTE] Thank you, that is a nice change on this site.

07-23-2008, 11:12 AM	#3 (permalink)
wescoent 4.4 Liter Supercharged Northstar Join Date: Dec 2004 Posts: 2,426	Re: GM Stock Nearly Doubles in One Week Good thing I covered my short with only a 6% loss... __________________

07-23-2008, 11:13 AM	#4 (permalink)
RamJet502 6.2 Liter Vortec V8 Join Date: Jan 2006 Location: Las Vegas, NV Drives: 2001 Chevy Silverado Posts: 2,726	Re: GM Stock Nearly Doubles in One Week That's a nice bump, but have the fundamentals changed? Is there a business vision in place that will bring profitability in the near future? __________________

07-23-2008, 11:19 AM	#5 (permalink)
Kennyboy 5.3 Liter Vortec V8 Join Date: Apr 2005 Location: Long Beach, CA Drives: Caddy CTS Posts: 1,416	Re: GM Stock Nearly Doubles in One Week What must come down must come up. __________________

07-23-2008, 11:24 AM	#6 (permalink)
Beau 3.8 Liter V6 Join Date: Aug 2005 Drives: Single turbo MKIV Supra '06 2.0T 6MT Passat Sedan Posts: 425	Re: GM Stock Nearly Doubles in One Week Wes, how did you lose money on the short, did you think it was going to keep dropping?

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07-23-2008, 11:42 AM	#7 (permalink)
ericmvest 3.8 Liter Supercharged V6 Join Date: Feb 2007 Posts: 624	Re: GM Stock Nearly Doubles in One Week It seems investors are having a difficult time placing a value on General Motors stock. The run down on General Motors stock since the unfavorable Merrill Lynch analysis seemed extreme. Maybe the stock market is efficient in the long term, but in the short term it seems to be driven by emotions rather than logic. Humans tend to get caught up in a herd mentality and buy high and sell low. Wise investors with the cash to invest can make a killing in these situations. An interesting side note is that Merrill Lynch posted a $4.9 billion second quarter loss. I wonder if their analysts are more competent than their senior management? Last edited by ericmvest : 07-23-2008 at 12:00 PM.

07-23-2008, 11:43 AM	#8 (permalink)
FenwickHockey65 7.0 Liter LS7 V8 Join Date: Dec 2007 Location: West Chester, OH Drives: Chevrolet Malibu LS, GMC Envoy SLE, GMC Sonoma SLS Posts: 5,165	Re: GM Stock Nearly Doubles in One Week Hahh...GM hates me and wants me to fail. I was going to buy when it fell below $10, but thought I'd wait to see if it'd drop a bit more. Not anymore. Anyways, good news for GM. Let's hope they can keep it up. __________________ Proud to drive American. Proud to drive GM. Current Cars: 2007 Chevrolet Malibu LS: 2.2L ECOTEC I-4 2003 GMC Envoy SLE: 4.2L Vortec 4200 I-6 1998 GMC Sonoma SLS Ext. Cab: 4.3L Vortec 4300 V6 Former Cars: 1993 Saturn SW2 (1993-2006, 243,000 miles) 1989 GMC Safari SLT (1989-2003, 293,000 miles) Future Car: 2010 Chevrolet Camaro 2LT RS: 3.6L DI VVT V6 Last edited by FenwickHockey65 : 07-23-2008 at 12:31 PM.

07-23-2008, 11:44 AM	#9 (permalink)
BigAls87Z28 GMI Mod/Camaro Fanatic Join Date: Apr 2003 Posts: 9,254	Re: GM Stock Nearly Doubles in One Week Should have bougt a few hundred shares last friday.... __________________ GMInside News BigAls87Z28 1993 Caprice 9C1 1987 Camaro Z28 1972 Camaro RS

07-23-2008, 12:00 PM	#11 (permalink)
Slowrider5 2.0 Liter Supercharged ECOTEC Join Date: Oct 2003 Location: Indiana Drives: 2004 GMC Sierra 1998 Pontiac Trans Am Posts: 185	Re: GM Stock Nearly Doubles in One Week I'm counting on one more drop before the market has truly bottomed out. __________________ -Dan 2004 GMC Sierra SLT Z71 1998 Pontiac Trans Am WS6 Convertible

07-23-2008, 12:12 PM	#13 (permalink)
Mplsspyder Walking Join Date: Jan 2005 Posts: 13	Re: GM Stock Nearly Doubles in One Week Guess that group of GM dealers who bought the $1 million of stock are feeling pretty good about now.

07-23-2008, 12:27 PM	#15 (permalink)
2002 Caddy 3.6 Liter V6 Join Date: May 2007 Posts: 1,238	Re: GM Stock Nearly Doubles in One Week The high point today was $16.35... Other then the dividend cut, the fundimentals haven't changed at GM... What has changes is the price of oil has dropped another ~$2.00 a barrel today. The market it betting that we will all go back to Trucks and Ute's when we smell the sweet sent of cheap gas... I'm not so sure.... If the July sales numbers are "good" or at least better then Toyota... This will hold... If not, this is going to be a wild ride. __________________ How many shares of GM do you own? If you love GM and if you love Rick, BUY SOME! They're going cheap only $20.00, nope 15.50, nope 14.77, nope 13.77... CRAP $11.50 OMG 10.06 Stop the presses! The turnaround has begun... we are back trading in the 12's Never mind back in the 10's, 9's, 8's, 7's, 6's, 5's, 4's This is killing me Last edited by 2002 Caddy : 07-23-2008 at 12:38 PM.

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