It's the hottest stock on Wall Street and it's not even available yet.
Because of explosive interest, General Motors' initial public stock offering is up $6 from yesterday, but is it a good deal? Will retirees want it?
General Motors heads back to Wall Street this Thursday.
At first, its stock offering was in the mid to high $20s, now it's in the low to mid $30s.
"If the government gets out of the company and the company is well run, this could be a really good stock for the longterm," says Tim Nash of Northwood University.
Nash says the positives are that the company is now profitable producing $10-million vehicles. It can also write off $52-billion in future profits.
However, Nash's negatives include the offering being too soon. He says the new company doesn't have the track record.
Also, the government is offering only one-third of its share. Nash believes it should offer all of it.
If you're thinking you can pick up some stock this Thursday you could be wrong.
"With the IPO, you may not be able to buy 10 shares at this point and time. You may want to wait a couple of weeks for the stock to go up or down to be able to buy it in small lots at the exchange," says Nash.
Workers took concessions and retirees gave up some benefits to make the company more profitable.
"We're doing the right thing," says UAW Local 599 president Bill Jordan in Flint.
The Local represents more than 11,000. Roughtly 95% of them are retired. Will they be buying stock?
Jordan says, "It's mixed because we had a lot of retirees that had a lot of their pension money tied up in it and they don't want to take any risk whatsoever."
However, those who are looking to invest are giving GM considerable consideration.
For now, Tim Nash isn't one of them. However, he's already second guessing himself.
"Maybe you can interview me when the government sells the remaining 40% of the stock. Maybe I'll be wiping away the tears because I didn't buy a stock that doubled or tripled."
Experts say to consult your financial broker if you are interested in purchasing stock.
To celebrate GM's initial public stock offering, CEO Dan Akerson will be ringing the stock market bell this Thursday.
