General Motors (GM) NewsBite - GM Q2 Loss Widens to $15.5B

Posted on Friday, August 01, 2008 10:42 AM

General Motors Corp. (GM) opened at 10.42. So far today, the stock has hit a low of 10.26 and a high of 10.64. GM is now trading at 10.64, down 0.43 (-4.13%). The stock hit its 52 week high of 43.20 in October and set its 52 week low of 8.81 in July. GM has been moving downwards for the past year. General Motors announced this morning its second quarter loss widened to $15.5 billion on weak North American sales and higher expenses due to labor unrest and its massive restructuring plan. The company posted an adjusted loss of $11.21 per share on revenue of $38.2 billion, while analysts predicted a $2.62 per share loss on revenue of $44.57 billion. Technical indicators for the stock are neutral and improving while S&P gives GM a neutral 3 STARS (out of 5) hold rating. If you’re looking for a hedged play on this stock, consider a September bear-call credit spread above the $15 range. GM stock could rise up to 41% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]