If you are Buffett: GM or F?

Discussion in 'Stocks' started by Enfinity, Jul 20, 2007.

  1. Buffett moves in this sector. Berkshire's brand brings cachet to the name of a suffering company brand with a very "understandable business" and a global footprint.

    Buffett wants global exposure...here's the China growth play. He wants a "big acquisition," well this would be very BIG.

    I strongly believe that GM's biggest problem is their image and I believe Buffett is the kind of investor icon that can inspire consumer confidence in this global brand again.

    Thoughts please.


    P.S. I believe F continues divesting until...
  2. +1 Agree the new CEO is cleaning house still.

  3. Daal


    if you think buffet would buy gm you need to have your head examined. gm is a failed business, they haven't made money in quite a while. in the mean time their debt is compounding billions every year($7b last year, more than they have made in a single year ever). bankruptcy will be the only way out of this
  4. The only GM Buffett will buy is a Caddy that he's driving right now.
  5. Daal


    yes. this is not to say they dont have decent cars, its just that the only person that makes any money from gm is their CEOs and corporate executives.
  6. You've got to differentiate good business selling at a discount and bad business selling at a discount.
  7. Neither.

    People who own stock in either company mistakenly believe they own a part of the business which is not the case cause the bond holders own both companies.
  8. If he could puy GM US in bankruptcy or get rid of it and keep GM China, there's a plan. Secondly, WEB looks for an economic moat, scratch that idea in the auto sector.
  9. SteveD


    Jimmy Buffett wouldn't buy GM or F....