General Motors (GM)
Stock History, News, Price
There was a time when it was considered, I am going to paraphrase it - "What was good for GM, was good for America". Even though the said quote was misquoted, it nonetheless shows how powerful GM was at its prime, and my how far have things fallen. Here is GM begging to the Treasury department asking it for $10 billion to finance its Chrysler deal. Here is a company that was so huge that it's size could be registered as a % of American Economy, could even face bankruptcy in 2 years. GM and Detroit Automakers have so heavily relied on trucks and SUVs' to profit, had to see their earnings vanish due to high gas prices. Now, even though gas prices have now fallen, the fate of GM is still a big question mark.
GM Stock News
One of the bright spots, at least in perspective is the
Chevy Volt. Chevy Volt is a hybrid car that is expected to debut in year 2010.
Although, I have never owned any GM vehicle, nor does any of their vehicles
real interest me (in terms of buying), this is one vehicle I would certainly
try to get my hands on. I don't know what drove GM to scrap its EV1 Electric
Vehicle, I hope GM doesn't follow or make such foolish decisions again. More
importantly, GM should not lose its sight in lieu of falling gas prices;
instead it should focus on producing vehicles that rely on alternate sources of
energy. This would ensure that General Motors (GM) bottom line isn't at mercy
of gas prices. The reason SUVs are popular because, people like them - they are
flexible, and have huge spaces. GM should focus on bringing SUVs on the lines
of Chevy Volt. I am sure; people wouldn't discriminate against a Green SUV.
I know this is a bit of an off-topic but, why hasn't anybody
covered the onslaught of Chinese automakers planning to enter US market? I
don't know when the Chinese automakers plan to enter US (probably pushed back
due to weakening economy), but GM should take into account the competition Chinese
automakers can give, especially in such a down economy, people might not be so
hesitant to buy an automobile names "Chery". Some of the Chinese
automakers include Chery, Geely and Shanghai Automotive Industry Corp.
General Motors - GM
Stock History
I will be discussing GM stock's history for the current year
to date, some major news events that affected the price of its stock, how its
competitors Like Ford Motor, Toyoto Motor, Daimler, Chrysler, Nissan, Honda,
and Kia are doing. The article will also report key financial ratios of General
Motors (GM), and its major share holders.
General Motors
Corporation
Ticker Symbol: GM
Last Trading Session GM Stock Activity: On October 31st,
General Motors Corporation stock closed at $5.79. The Stock opened at $5.92,
went up as high as $6.07, and a low of $5.69 in late trading session. In After
Hours Trading, GM stock was up 2.42% at $5.92. The company's shares changed
hands about 18.14 million times, and in Early Trading before market opened, GM
went as low as $5.62.
General Motors
Corporation Stock Info
General Motors has a market capital of $3.28 billion. GM
stock's 52 Week high shows how far GM has fallen. At its 52 Week High, GM stock
traded at an unbelievable price of $39.45! The current trading price? 5.79!
Wow? Whoever had GM stock as a major part of their portfolio must have lost
huge fortunes! The company's 52 Week Low stood at $4.00, not surprising looking
at the current stock price. On average GM stock has a volume of 28.23 million,
and a beta of 1.75, which means that GM stock is 75% more volatile than the
market. There are about 566 millions share floating, and 95% of them are
institution owned - a pretty high number.
Among institutional holders, Dodge & Cox, Southeastern
Asset Management, Brandes Investment, AXA, Capital Research Global Investors,
and Credit Suisse make some of the biggest institutional holders. Capital
Research Global Investors, Capital World Growth and Income Fund, Long Leaf
Partners Fund, Dodge & Cox Balanced Fund, and Capital Income Builder are
some of the major mutual fund holders.
General Motors (GM)
Stock Performance / GM Stock History
General Motors stock started the year at $24.41, and went
through a gradual decline after reaching a 2008 year high of $28.98 in February
1. Believe it or not, this company actually handed out dividends the first two quarters!
How the hell on earth a company strapped for cash, and in huge debt hand out
dividends? The dividends were $0.25 a share. I mean were they worried that GM
stock was going to crash if they didn't pay the dividends? I think they don't
have to worry about that now; GM stock is well on its way. Of all the major Car
Manufacturers, GM stock suffered the most, losing a whopping 76% of its market
value. Honda Motors and Toyota Motor Corporation fare the best losing only in
mid 20s.
The Matchup - General
Motors, Toyota Motor Corporation, Ford Motor Company, Daimler AG, Nissan Motor,
and Honda Motor.
As said earlier, General Motors lost the biggest. Its stock
value dropped by 76%. The closes losers to GM were Daimler AG and Ford Stock. Both companies lost 64% and 67% respectively. The two Japanese
companies, Honda Motor and Toyota seemed to have fared better, but the same
cannot be said be about Nissan. Toyota Motor lost 28% of its stock market
value, while Honda Motor lost 25%, and Nissan lost 56% - if you could say,
comparable to American Automobile Corporations.
In the graph below, you can see how these corporations' stock performed for the year to date.
General Motors and
Auto & Truck Manufacturers
Compared against the industry, Auto & Manufacturers industry has a whole lost about 49% of its value, a lot better than General Motors. S&P 500 also performed better than General Motors. It can be easily said that rising gas prices acutely affected the car manufacturing industry, hence such intense loss in its market value.
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