Wall Street is all a twitter over 87 year old billionaire Kirk Kerkorian’s $31 tender bid for GM.
I’m not looking to only be known as a contrarian, but I find much of today’s chatter on this to be a bad
joke:

· Tracinda is a 3.9% GM holder; Unless they backed up the truck
on Monday, that has not been a wining trade; I suspect Kerkorian is buried in
the position (just my guess). Indeed, any purchaser since January 2004 is way
under water; Hardly the so-called Smart Money its been described as;

· What did Kerkorian do in the 1980s? (Begins with a G) This smells
suspiciously similar to me;

· Kerkorian is no spring chicken – is he planning to oversee a 5 year turnaround
plan?

· Unlocking value? GM has an absurd debt to equity ratio (Over $200B in Long term debt) . How much value is
there to be unlocked?

· If you really want to build a position, you quietly
accumulate shares — you do not scream out I’M A BUYER @ $31!

I can understand the appeal of betting on the jockey – but not when he is
riding on a 3 legged horse.

Category: Trading

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

One Response to “Bet the Jockey or the Horse?”

  1. Barry,

    I made the comment in today’s Market Soapbox…. If Kerkorian is sucessful, GM is getting parted out…. no pun intended.

    The Nattering One