Gm

[Guy]

I haven't heard much about how GM is doing since they paid the government back. What's the latest on GM these days??

 

[Max]

The bad news is that GM stock is at $26.31, down from about $38 the last time I was following it. The good news is $26.31 is a screaming deal for a company that is making very good profits these days.

 

[Guy]

You say they are making good profits these days? What accounts for that? They don't seem to be selling more cars than usual---or are they?

 

[HANG]

You say they are making good profits these days? What accounts for that? They don't seem to be selling more cars than usual---or are they?

They aren't selling more cars than usual but they are doing well. The US auto industry is kicking butt right now since the bailouts. All of the money has been returned already.

 

[Max]

The way I understand it is that they are not selling more cars, but they have reorganized and cleaned up their business practices so much that they are making a much better profit on each car sold than they used to. Cool, huh?