Zeev's Turnips Patch-No Politics (ZEEV)

[madrose1]

May 12, 2006
07:37 EDT GM theflyonthewall.com: General Motors-GM upgraded to Buy from Hold, tgt $35@MDLD
The firm has upgraded shares of GM on expectations for successful negotiations between the UAW-GM-DPH, improving earnings, and cost savings.

07:32 EDT GM General Motors-GM firm advises not shorting the stock at current levels-IL@GSCO
The firm feels that strike risk is eased by the probability GM, the UAW and Delphi will reach a deal and support from the stock still comes from T900 momentum which creates favorable earnings comps YoY. Aggressive marketing and less competition within the SUV segment will continue to drive T900 momentum, along with pick-up model launches. While the firm's analysis from a fundamental valuation viewpoint implies basically that there isn't any value for GM stock, looking at it as a trading stock, the firm sees support N-T in the $25-$30 range.