Why It's Time to Buy "Government Motors" Stockhttp://www.fool.com/investing/general/2013/04/20/time-to-buy-government-motors-stock-yes-really.aspx John Rosevear
April 20, 2013
I hear it from readers all the time: General Motors (NYSE: GM) is still the automaker that lots of you love to hate.
I get it. The 2009 bailout-bankruptcy-overhaul orchestrated by the Obama administration left a lot of hard feelings in its wake. Bondholders who lost out and dealers who were forced to close felt burned, and to this day they, and plenty of other folks, hold it against GM.
I've been writing about GM for a long time. I know all the arguments, I've heard it over and over from all sides.
But here's the thing: This GM is a different company from the one that went down the tubes in 2008. It has a different CEO, different leaders in key positions, and a whole different strategy from the one that got Old GM in so much trouble before 2009.
I've bought stock in this new GM, because more and more I like what I see from the new team. Here's why I think it's worth setting aside those hard feelings and taking a closer look at this new improved automaker.
A big transformation that's still unfolding
But in way, that's what makes GM an intriguing investment opportunity. GM still has lots of work to do, and the stock price reflects that. But that work -- some of which is many years overdue -- is now getting done:
Each of these efforts represents one good answer to the question: Why isn't GM making more money? Closing the profit gap between GM and its global peers, Volkswagen and Toyota (NYSE: TM), is one of Akerson's highest priorities.
As a GM shareholder, that's exactly what I want to hear from a CEO.
More big changes, below the surface