By on July 3, 2008

cheerleader-38.jpg"We continue to question whether GM will be able to sustain eight different brands and over 13,000 franchises with less than 20 percent market share." TTAC? Nope. Deutsche Bank analyst Rod Lache, as quoted by the Detroit News. GM's stock fell below $10 a share yesterday, and the prognosis isn't good for the company whose stock has fallen by more than 70 percent in the past year. Even Merrill Lynch analyst John Murphy, described by his peers as "last guy defending the [GM] bunker," said he expected GM's stock to fall to $7 and forecast "significant losses" for GM this year and next. When even the cheerleaders start predicting a losing season, the team doesn't stand much of a chance. It looks like GM could use a new coaching staff, and fast.

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12 Comments on “GM’s Cheerleaders Put Down Their Pom-Poms...”


  • avatar
    gcmustanglx

    GM has needed new leadership for a long time. This isn’t a new thing.

  • avatar
    RayH

    I don’t normally comment on the pictures of perty gals ya’ll put up, but that one up there is alright.
    If the stock goes around $4.50 or so, I think I’ll buy some. Whenever Barrack says something about a potential bailout, that should push it up .50 or $1 or more that day. Anyone have a guess if it’ll go lower than $4.50 in the next month?

  • avatar
    Bill E. Bobb

    That bottom is headed straight to Canton Ohio when she puts down her pom-poms.
    Whatta Hall Of Fame azz.

    Somebody say something about GM?

  • avatar

    13.000 franchises.
    BTW – there’s a story there. It’s worth looking into who supplies those with the materials they are required to buy — it’s kind of strange when a company makes more money selling interior decoration to its dealers than it does from making the cars those dealers are then required to buy.

  • avatar
    Pch101

    To be fair, Rod Lache has not been a mindless booster of Detroit and his analysis has generally been on point. Among the analysts working for investment banks, he seems to be one of the only ones who actually provides analysis, instead of veiled sales pitches to buy stocks.

    Lache has been advocated slashing the size of GM for quite awhile, and was talking about the problem of fleet sales and uncompetitive products long before anyone else on Wall Street seemed to notice. He’s one of the few good ones out there.

  • avatar
    thalter

    Robert:

    If you are going to distract us with cheerleaders, at least use the correct terminology. Ask any cheerleader (or wikipedia, if you are not fortunate enough know any): They are called pom-pons, not pom-poms.

  • avatar
    jkross22

    First, Giddy up.

    RayH, I was having the same thought enter my mind yesterday about GM. At what price is the price right? I was thinking $6. Ford may already be priced right for a buy, but with so much turmoil yet to come this year, I have to believe these two companies have some more value to shed.

  • avatar

    Don’t worry Rick, there’s still plenty of cheerleaders left at GMI who’ll believe your spin when you say, “It won’t be long now!”.

  • avatar
    troonbop

    Pom poms! The other just doesn’t make sense. I suspect you’re thinking of something else…

  • avatar

    I always thought it was Porn poms. ;-)

    pom-pom is the one.

    pom-pom 1 |ˈpäm ˌpäm| (also pompom or pompon)
    noun
    a small woolen ball attached to a garment, esp. a hat, for decoration.
    • a cluster of brightly colored strands of yarn or plastic, waved in pairs by cheerleaders.
    • a dahlia, chrysanthemum, or aster with small tightly clustered petals [as adj. ] : miniature, pompom, and border dahlias.
    ORIGIN mid 18th cent.: French pompon, of unknown origin.

  • avatar
    hltguy

    Hot photo, I’m sorry, what was the article about?

  • avatar

    They aren’t all out of cheerleaeders:

    http://www.msnbc.msn.com/id/25481305/

    GM is suffering from an industrywide crisis driven mostly by factors beyond the company’s control, including high gas prices, the housing slump and the credit crunch, Toprak said.


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