UPDATE: As of 5/5/09
We do not recommend buying GM stock at this time and recommend selling.
It is anticipated that they will do a reverse split of 100 to 1, making shares value around 25 to 45 cents.
Again, we recommend you sell now and do not buy GM stock until after the reverse split has happened.

OK, I get asked this question about EVERY hour, so I will give you the summary.

The answer is NO, not right now.

GM stock is a “strange bird” right now but there is a TIME TO BUY.
There are two times to buy it.

1- The first time to buy it is the day they announce they are filing chapter 11.
You should buy it then in the late morning to early afternoon.

2- The next time to buy it is a few weeks afterwards.

The first few hours will be a panic SELL OFF.
This is where everyone is trying to get their money OUT before it goes close to zero.
However, the stock will see a bounce up shortly afterwards.

It will then have another dive a few weeks after that day.

Buy GM stock when the panic selling starts and either sell the next day, or hold for 2 – 4 years.

Why do I know this works?
I did the same thing with Delta Airlines.
Bought it around 48 cents when they filed.

General Motor’s stock is a good buy once it hits rock bottom.
There is no way to guess that number but don’t try and be too precise.
Again, it is a buy and hold for the long term.

GM Summary:

General Motors Corporation and its subsidiaries engage in the development, production, and marketing of cars, trucks, and related parts worldwide. It offers small, midsize, sports, and luxury cars; and pickup, van, utilities, and medium duty trucks. The company sells its products under the Chevrolet, Buick, Saab, GMC, Pontiac, Cadillac, Hummer, and Saturn, Opel, Vauxhall, Isuzu, Holden, and Daewoo brand names in Canada, Europe, Latin America, and Asia Pacific. General Motors also provides a range of financial services, including consumer vehicle financing, automotive dealership and other commercial financing, residential mortgage services, automobile service contracts, personal automobile insurance coverage, and commercial insurance coverage. In addition, the company offers after sale services, such as maintenance, light repairs, collision repairs, and vehicle accessories. General Motors markets its products through distributors and dealers, as well as through retail dealers. As of December 31, 2007, the company operated 6,776 vehicle dealers in the United States, 729 in Canada, and 330 in Mexico, as well as approximately 14,052 distribution outlets in the rest of the world. It has collaboration with PTT Public Co., Ltd. for the development of alternative fuels for vehicles. The company was founded in 1908 and is based in Detroit, Michigan