PeakTrader.com

[arthur]

GM's market cap is below $12 Billion, and its annual dividend is $2.00, which is about a 10% yield. Also, GM is trying to sell half of its finance unit, GMAC, for $10 Billion. It may want to finish a deal this week to help its major shareholders (e.g. mutual funds) before the end of the year.

GM has the potential to rise above 30 quickly, because all the negative news may be priced-in. So, a positive announcement, e.g. a large share buyback, would easily send the stock way up. Moreover, GM could buy all its shares and become a private company, if it wanted to, although it would lose the prestige of being on so many indices.

I don't recall GM or any Dow 30 stock declaring bankruptcy. However, it seems, that possibility is why the stock is so low.