Although Ford stocks are worth $2.66 at yesterday's closing, and they are roughly half the size of GM, Ford has a total market value of over $6 billion.

GM, (closed at $6.91 yesterday) meanwhile has a current market value of $3.9 billion.

Mattel is worth $5.8 billion. Harley-Davidson is worth $6.3 billion.

Currently, GM's stocks haven't been this low since 1953.
To find match Ford's current stock level, one needs to go back only to 1985.

Ford (remember, it's about half the size of GM globally) has $23 billion in cash right now.

GM (again, twice the size of Ford) has unencumbered assets worth only about $20 billion.

GM also is all but bankrolling Delphi in addition to other suppliers, much more (and much deeper) than Ford by far.

GM's only good funding news is that it has an overfunded pension which it could delay payments to it's trust fund..... a move the UAW will never allow.

I've been saying for some time Ford is in a far better position than GM. I based that on the cash on hand in relation to the size of the company, & the number of vehicles (and divisions) that have to be funded, as well as where both are in labor and factory costs: Ford bought out nearly 50% of their blue collar workers, has drastically shrunk their management staff, and has or are about to shut down half the factories they had a couple years ago while total production has dropped roughly 1/3 (still making more vehicles per factory and per worker lowering cash burn).

Ford also has an extremely aggressive new product schedule which we're already at the early part of.

GM needs to get it's act together... like yesterday!

GM right now has the ability to get new models out quicker than any other company on the planet. Yet they don't seem to use that ability. GM has global resources that are far bigger than Ford, yet it's Ford that's able to quickly get overseas models diverted to US factories for sale here.

The problem is GM's decision makers.

The RWD Impala was killed.... over just 1 mpg?!!
The Orlando won't be made here..... because there's nothing else here like it?!!
The "Excitement Division" gets a Chevy Aveo?!!

Buick's Lexus aim is able to be derailed by dealers who kill the RWD Park Avenue because they want to keep selling to retirees?!

As we see with the Malibu, the Camaro, the G8, the Cadillac division, & even the Aura, the problem isn't the vehicles. One can say that Bob Lutz lived up to his part of the bargain by improving the cars GM brings out. The problem is in deciding which vehicles come out and the still snails pace (even by today's high speed standards) that these cars come out. It was nearly 6 years ago, GM was "Globalizing" it's engineering and development of vehicles. Yet, even now, GM develops cars (which they debut at US auto shows) that they don't engineer to be sold here in the US. And when they do finally think about selling it here, it's going to take years to "certify" it. Meanwhile, Ford does in in less than 18 months.

GM has great product. They had alot of great ideas that were in the pipeline. Yet, just like GM missed the resurgence of RWD coupes sedans 4-5 years ago by being "Wait-And-See Motors", they are seemingly unable to adjust to today's changing market.

No one wants to see GM fail. Not even die-hard Ford fans.

GM needs to do a revolutionary change in it's decision making process much like Ford has done.

GM already has more talent and resources. They need to stop pissing it away.

 

I just saw GM roll by at $5.75, down $1.16 and Ford at 2.42, down $.24 so far today.

 

Investors are much more likely to purchase as stock at $5 vs. a stock that's sitting at $2 regardless of what the overall value of the company is. $2 is very close to $1 and anything less that that is considered volatile and makes investors leery.

Both GM and Ford should consider whether or not reverse splitting their stocks might not make them more attractive to investors. GM at $10 and Ford at $12 sound a heck of a lot better on paper, even if the "real" value hasn't changed.

 

GM needs to eliminate some divisions if its going to remain competitive. No other major manufacturer that still has some strength left has more than two divisions. Streamlining is a good way to save money, heck even simple "rebadging" comes at a price.

Unfortunately that means dropping everything but Chevrolet and Cadillac.

 

I've always wondered why there couldn't be "GM" dealerships instead of brand dealerships and have them sell everything but with out the over lap. Have GM be the brand and Chevy Camaro, Pontiac Solstice, and Buick Enclave be the models.

 

^Then they would be down to 10% of the market.

 

Toyota has Lexus and Scion. So, Cadillac, Chevrolet, and Saturn?

 

That's what the gamble of the stock market is good for.

 

I think that this would be ideal, but the problem is you'd have to buy out thousands of dealerships to make it work.

I think it's a great idea in theory, though. Only 1 model per platform allowed.

 

What about Opel or Holden? You can't leave out the overseas sales.

 

Here's another tidbit.

As of today, the General Motors Corperation is worth less in constant dollars than it was in 1929.

Opinions?

 

http://www.businessweek.com/ap/finan.../D93NNPDG0.htm

Buy! Buy!! Buy!!!

 

Speaking of legalized gambling, any GM stock you buy has a very real chance of being valued at $0 by next year.

 

less than the 22% of US market share they have now. Probably about 15% of the market if they do it right.

 

Look the goverment cannot save everyone.
Let GM go BK7
There will still be many car companys to pick our cars from....
Ford will be around forever because those people are doing the right
things with their newest products.Not like GM