Market Minute: GM Profit Beats Forecasts; Hardees, Carl's Jr. Up For Sale?

×
General Motors races past expectations, and a pair of fast food chains could go up for sale. Those and more are what's making business news Thursday.

The Dow industrials (^DJI) fell 25 points Wednesday. The S&P 500 (^GPSC) lost 6 points and the Nasdaq (^IXIC) rose a fraction.

gm earnings chevy impala stocks investing wall street automotive industry
Mario Tama/Getty Images2014 Chevrolet Impala sedan
General Motors (GM) quarterly profit fell by 24 percent, but that was still better than expected. The company says its loss in Europe narrowed significantly. Analysts say the second half of the year should be more profitable for GM, as it rolls out a series of new models.

Separately, GM's Chevrolet Impala has been named as Consumer Reports' top sedan in the U.S. It's the first time a domestic brand has won that honor in more than 20 years.

The restaurant chains Hardees and Carl's Jr. could soon go on the auction block. Reuters reports that CKE, which owns both chains, may put them up for sale after withdrawing a planned IPO late last year. A deal could be worth more than $1.7 billion.

Facebook (FB) is making lots of friends on Wall Street after blowing past earnings estimates. The company turned in a solid profit, reversing a year ago loss. Mobile ad revenue –- considered the key to its future growth -- now accounts for 41 percent of its total, up from 30 percent just three months ago. Facebook shares are soaring on the news.

Other stocks moving up on earnings news include Visa (V), E-Trade Financial (ETFC) and Qualcomm (QCOM). But shares of the footwear-maker Crocs (CROX) are getting stomped.

Also reporting this morning: 3M (MMM), Bristol-Myers (BMY), and two airlines: Southwest (LUV) and United Continental Holdings (UAL).

After the bell it's Amazon.com (AMZN) and Starbucks (SBUX).

And a bit of good news for TV viewers in New York, Los Angeles and Dallas. Time Warner Cable (TWC) and CBS (CBS) have extended the deadline on contract talks until Monday. Their deal had been set to expire this morning. Time Warner Cable is threatening to pull the plug on CBS and its Showtime unit in a dispute over fees for the programming.

-Produced by Drew Trachtenberg.


Increase your money and finance knowledge from home

Asset Allocation

Learn the most important step in structuring an investment portfolio.

View Course »

Behavioral Finance

Why do investors make the decisions that they do?

View Course »

Add a Comment

*0 / 3000 Character Maximum

21 Comments

Filter by:
dameem2

For those crying about lost money, that's bankruptcy! If you fools will remember, the CEO of GM at the time did not want to file bankruptcy. The goverment fired him and forced GM to file. Most of the contract items that happened after the filing, were set in motion years before. I personally know a couple of people who worked at GM, and had their entire 401k in GM stock. Guess what? They lost their a$$, both OVER 100,000 each and had to change their retirement plans. One wasn't so lucky as he was management and got forced to retire less than a year later.

July 25 2013 at 4:31 PM Report abuse +1 rate up rate down Reply
Jim

GEEE any company can show a profit if you forgive all its debt and its starts at zero with billions of dollars in inventory! How shocking! NOT!

July 25 2013 at 3:28 PM Report abuse +1 rate up rate down Reply
parthenon1

If they are finally making a profit then the corporation should along with the UAW make a substantial payment on the debt by buying a large bloc of shares at triple the value of the stock. At present we tax payers stand to lose something more than the 2.9 Billion $ that we already lost in the Chrysler fiasco.

July 25 2013 at 3:21 PM Report abuse -1 rate up rate down Reply
richlee

Garbage Motors losing less than expected? How is that news ?????

July 25 2013 at 3:21 PM Report abuse rate up rate down Reply
raidrmik67

I wonder how much Hardee's has changed since I was a kid? I haven't been to one since I moved back to CA 30 years ago, they had great roast beef and ham/cheese sandwiches.

July 25 2013 at 2:44 PM Report abuse rate up rate down Reply
bettebeegreen

Wow, GM and Chryser made in the backs of Taxpayers' bailouts, not because of their own initiative. Meanwhile, headlines today say "Losses could total $11.2 BILLION when U.S. government sells its GM stock". I think GM and Chrysler should send refund checks to every U.S. taxpayer

July 25 2013 at 1:54 PM Report abuse rate up rate down Reply
Dennis

Hardee's/Carl's Jr. used to have awesome friend chicken and roast subs. They need to get back to what made them awesome.

July 25 2013 at 12:35 PM Report abuse rate up rate down Reply
rrusrjr2

Sucked in again by a headline. Read like GM was making big dough, but no, it really was that quarterly drop in profits was not as severe as predicted. Then, the Obama administration surely told their GM stooges, to say that the next quarter should be better. Right. As if any of this 'performance' pays back the remaining $27.5 billion outstanding from the bailout. Obama hoping some China investors take GM off the books; he has already publicly stated the Feds should not be in the car business. A thinly veiled expression that the bailout for GM was not a success to anyone but the UAW benefits packages. And those UAW jobs slowly going away as GM invests more and more in China factories.

July 25 2013 at 12:23 PM Report abuse rate up rate down Reply
geraldlsolis

Do the Math: Government Motors got $45 BILLION from Uncle Sap and then a kangaroo bankruptcy court erased another $45 BILLION on GM's legal debt that they owed to creditors, subcontractors, employees, bondholders, stockholders, and dealerships. So GM ended up with ZERO debt and $45 BILLION in FREE CASH. OK, so they ran down into the basement and printed up some fancy stock certificates and handed them to Uncle Sap and told the world they had "repaid the loan". Really? And they still pay NO Federal Income Taxes until Uncle Sap thinks they're "healthy enough". And, they are EXEMPT from funding their employee Pension Plans, which is illegal for every other Company in America. And with all of this, they're making 3% profit. Wow! But, they know that no matter how they run the company, Uncle Sap will always come to the rescue with more MONEY! What a Deal!

July 25 2013 at 12:02 PM Report abuse rate up rate down Reply
dave7838ds

You want fair and balanced and oh you want share the wealth. If not then don't vote for the pos that 's in D.C.

July 25 2013 at 11:44 AM Report abuse +1 rate up rate down Reply