Cramer's Stop Trading! Don't Blow Up the GM IPO (8/16/10)

Includes: AMZN, EBAY
by: Miriam Metzinger

Stocks discussed on Jim Cramer's Stop Trading! TV Segment, Monday August 16.


Cramer thinks that at least 30% of GM's shares from its IPO should be available to retail investors. Some could be available at Amazon (AMZN) or investors could bid for shares on eBay (EBAY). This would be a smart move, because shareholders will be more likely to go out and buy GM products, which may create a "virtuous cycle" for the company. Given the anti-Wall Street mood in the government right now, Cramer urged the banks handling the deal to avoid the temptation to add extra banking fees, and should be happy to cover costs; “Don’t take the political risk of blowing this deal up,” Cramer said. “It ain’t worth it.”


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