Let's see... hmmmmm... GM trading near 15-20 year lows... PE 6's; Dividend tax cut in place... Yield 5.75%; GM trades in mid-90's 3-4 years ago... Pru downgrades to sell today. Very timely! Nice work. For me... new longs today 4K shares. And I'll buy all the way down. Good trading all.
You're welcome! And I don't doubt that 30 is a reasonable target. That little gap down there looks pretty good. But... take today's action for example, that would be quite a positve for this stock should it close above the 50 day moving average, with a long tail, and oh my gosh what if it closes higher than the open???? Only 9 cents away right now. I want a total of 20K shares.
Long term (past the next few months), you're right, I think it's a great 'investment' at this price. But, for my trading account (relatively short term), I like it moving downward for the near future. Good-Luck
Not near 15-20 year lows ... look at the chart below and see where it was in the 1983-1988 (15-20 yrs. ago). It appears to me as if it's up 100% since the late 80's. http://finance.yahoo.com/q?s=GM&d=c&t=my&l=on&z=b&q=l IMO GM was incredibly overbought then ... of course that was when the market hit its max point of irrationality (early 2000). I commend companies like Prudential who are willing to actually put Sell ratings on stocks. But it does have a good yield right now that may go even higher.
Don't forget to take into acct the stock split in 1989 2:1 and adjust the chart accordingly. You guys are right on the short term and I hope you all make money. Hopefully I am right on the longer term. DH I am with you on the bravos for a firm to ring out a SELL rec. It just seems to be about 50 points late. You know, not that they had to get you out at the top to be respectable.. but for cryin' out loud!!!
I'll be looking to short GM come Monday as well. Entry within the 1st hr of trading. Target price $30. Stop LOSS NONE. 1000 shares. Good Luck to all... especially to MR JORDAN.
STOP LOSS NONE?? wall street loves guys like you, you shouldn't be like that though. always have a stop.
why would you "buy all the way down"? Is the market wrong and you are the only one, or one of the few smart ones who is "right"? I have no opinion on GM, never owned it... ever. But if it goes lower why buck the trend... do you think people are "crazy" for selling GM? If so, then as a trader you got the wrong reason to buy it now. Like TrendFader said to me on QCOM... you can't rationalize the markets or take it personally, and why try?! Ice
I didnt play GM, possibly a short candidate on THURS, but it will be intraday. so are you guys still holding onto your GM positions Long and SHORT?