Wall Street Fustrated With GM Leadership And Government Ownership

Many securities analysts have "buy" ratings on the stock and are hopeful that a raft of new cars and trucks hitting showrooms over the next year could ignite growth at the automaker, which was bailed out by the U.S. government in 2009.

Yet they have nagging doubts. GM's European business is a mess, there is a big question mark over whether growth is slowing in China, and they worry the U.S. government's stake is holding the company back. There also are concerns that Chief Executive Dan Akerson is not communicating with investors clearly enough or pushing to change GM's hidebound culture fast enough.

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manthony1948 - 10/20/2012 2:27:02 AM

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Yes, let's all shed a tear for the poor scumbags on Wall Street.

Steve - 10/20/2012 12:18:28 PM

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Let me get this straight: The Feds poured billions of (borrowed) dollars into failing Giga Enterprises, and because the Feds are holding a pile of devalued stock (market value is far below book value), it's their fault that GM is underperforming?

That's pretty messed up thinking.

Here's a hint at what's REALLY going on...
Chrysler went bankrupt. The Feds threw billions of (borrowed) bucks at them. Then recently, GM and Chrysler both went bankrupt. The Feds once again threw billions of (borrowed) bucks at them both. GM is doing badly again. When someone keeps drowning, it's NOT the fault of the guy who throws him a life-preserver. It's the guy in the water who can't swim.

Guru Steve says: Either let those failing Giga Enterprises learn to swim on their own, or let them die, like they deserve. We've all forgotten those poor, unemployed buggy manufacturers and makers of carriage and horse accessories, who lost their jobs and business as a result of the invention of "the horseless carriage" (Henry Ford, be damned!) Those folks eventually got other jobs, new businesses sprung up, n the country prospered in spite of the dead buggy industry and related peripheral businesses. Maybe there's something to learn here.

bfghemicuda - 10/20/2012 5:12:03 PM

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Steve, In the 80s Chrysler never filled bankrupcy.

Steve - 10/21/2012 12:11:12 PM

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bfghemicuda: I stand corrected. Chrysler didn't actually go bankrupt in the 80s. They were *about* to, and reached out to government coffers to prevent that. If we're focusing strictly on the technicalities and legalities of bankruptcy, then I respectfully bow to you. If we're talking about Giga Enterprises needing government (tax-payer) handouts to survive, then I stand by my statements.

bfghemicuda - 10/21/2012 6:24:03 PM

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Steve: As far as your Giga Enterprises analogy I definately agree.