A: Investors left holding shares of a company that files for bankruptcy protection are understandably bitter. And the hard feelings are especially hard to take when shares of the company that arises out of bankruptcy ends up performing relatively well.
And that's been the case for investors of the old General Motors, which filed for Chapter 11 reorganization on June 8, 2009.
Common stock holders in the old General Motors were essentially wiped out, watching their shares morph into shares of Motors Liquidation. The common stock originally traded on the Pink Sheets but was later canceled.
Meanwhile, shares of the new GM, which went public in 2010 have held up reasonably well. Shares of GM were initially priced at $33 a share, so those early investors are down, since the stock is trading for $29.10. But GM stock is up 50% from July 2012.
But, unfortunately for shareholders in the old GM, the relative safety of the new GM's stock is of no value to them. Shares of the old GM are canceled. Investors must learn from this situation and remember to never hold shares of an individual company's stock this long. Investors must bail out when shares decline 10% or more to avoid such a catastrophic loss.
Yep Unfortunately the "current" GM stock is different than the GM stock of 1989. GM went bankrupt in 2011. It's original stock changed to Motors Liquidation Company (MTLQQ) and is essentially worthless today. There was no conversion from the old stock to the new stock.
Each share of GM stock became a share in Motors Liquidation. While it was widely reported that the shares were worthless, those shares still traded, then and now, over the counter. It was as though people just couldn't believe GM shares could actually be worthless.
The 20 analysts offering 12-month price forecasts for General Motors Co have a median target of 45.00, with a high estimate of 95.00 and a low estimate of 33.00. The median estimate represents a +36.45% increase from the last price of 32.98.
General Motors has 48.79% upside potential, based on the analysts' average price target. General Motors has a conensus rating of Moderate Buy which is based on 8 buy ratings, 5 hold ratings and 2 sell ratings.
Consult both current and previous indexes which cover the time period when the company was active. If you discover that a company has merged into or been acquired by a company that currently exists, contact the successor company's investor relations or shareholder services department about redeeming the stock.
Trace your old shares with registrars Capita, Computershare and Equiniti, which will be able to search their records. If they locate unclaimed dividends, they will issue cheques to the value of the amount that is due.
According to the latest long-term forecast, General Motors price will hit $35 by the end of 2023 and then $40 by the end of 2025. General Motors will rise to $45 within the year of 2026, $55 in 2027, $60 in 2028, $65 in 2030, $70 in 2032, $75 in 2033 and $80 in 2035.
Stocks . USA . Allowing for the 90-day total investment horizon and your slightly conservative level of risk, our recommendation regarding General Motors is 'Strong Hold'.
The intrinsic value of one GM stock under the Base Case scenario is 82.25 USD. Compared to the current market price of 32.47 USD, General Motors Co is Undervalued by 61%.
If the manufacturer agrees to repurchase your vehicle, you will receive a refund for the vehicle's purchase price, minus any mileage or usage fees. You may also be eligible for additional compensation for out-of-pocket expenses related to the defects, such as towing fees, rental car costs, and repair expenses.
Sell Worthless Stock if Your Broker Holds the Shares
Many brokers have a plan to let their good customers sell them worthless stock for $1 or 1c for the lot. If you are a good customer, and stock is with the broker, ask. You should be able to negotiate some solution that will be satisfactory to both sides.
Detroit automaker General Motors announced on Friday that it's bringing back a quarterly dividend after suspending it early in the pandemic to preserve cash. The company is also resuming what it calls “opportunistic share repurchases,” with plans to buy back $5 billion worth of its own stock.
Introduction: My name is Kareem Mueller DO, I am a vivacious, super, thoughtful, excited, handsome, beautiful, combative person who loves writing and wants to share my knowledge and understanding with you.
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