Market Wrap-Up for Nov.18 (GM, UNP, FCX, COH, MA, LTD, BKE, more)


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Baseball, Hot Dogs, Apple Pie & Chevrolet! The much-anticipated IPO of General Motors ( GM ) has finally arrived and Wall Street is rejoicing, judging by the early stock price reaction. I keep scratching my head about the company though, wondering what has really changed for the company from a business standpoint. It seems tough to justify its current $50 billion valuation.

New GM CEO Dan Akerson said this was the right time for the company to go public again, but stopped short of promising that taxpayers would be paid back with future stock sales. I realize it is impossible to guarantee any GM payback, but you think he could have waited till after today's party to take some air out of what could be the reality of the situation. As I said yesterday, I hope that the company's job picture stabilizes first and foremost, because that is what the country needs now. After all the glowing attention the company's IPO has received, you can bet the big media players will certainly be glad to have GM's advertising dollars flowing back in.

Elsewhere, commodity stocks are having their bounce after the recent mini-correction. It will be interesting to see if the commodity playes we watch are in the process of making a lower high, or if this was simply a minor bump in the road on the way to making further highs. You probably know by now that I am not a big fan of commodity-led rallies, especially when we all know higher commodity prices can come back to bite consumers in their everyday spending.

Today's triple-digit rally was led by various companies, including Union Pacific ( UNP ), Freeport McMoran ( FCX ), Coach ( COH ), and MasterCard ( MA ). Limited Brands ( LTD ) and Buckle ( BKE ) both reported solid earnings and said they were paying out special one-time cash dividends. If you are into the dividend capture style of investing, you may want to keep these two names on your radar. There will certainly be some short-term attention paid to both companies. Long-term investors need to assess the possibility of how the stocks will trade once the ex-dividend dates are hit. Remember, you need to own the stock prior to the ex-dividend date to be able to receive the dividend payout, and the stock price will be negatively adjusted on the ex-dividend date to reflect payment of the dividend.

Be sure to check out the latest "Learn to Be Rich" articles as I'd like everyone to gain the money knowledge they need to navigate through other parts of their financial life outside of investing. And of course, check our our currently "Recommended" names on our industry-leading "Best Dividend Stocks" list.

Thanks for reading everybody. See you tomorrow!

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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