Chrysler Group, pumped up by the strong demand for its Jeep vehicles and Ram pickup truck, reported healthy second quarter earnings. Its CEO said the solid performance had the company poised for an initial public offering by the end of this year.
Chrysler reported net income of $507 million for the second quarter, up 16 percent from the same period a year earlier. The company said modifications it needs to make to the Jeep Cherokee and Liberty models to prevent fires will take a bite out of earnings for 2013.
CEO Sergio Marchionne, who also serves as CEO of Italian automaker Fiat, which has a controlling stake in Chrysler, said the company is preparing paperwork for its long-awaited IPO. "November or December would be the ideal time" for the Chrysler listing, said Marchionne.
Will there be demand for Chrysler stock? Auto stocks have underperformed the market the last two years except for Tesla Motors. And General Motors, which along with Chrysler was the beneficiary of taxpayer-assisted bankruptcy in 2009, has not enjoyed great demand for its shares until recently.
For more on Chrysler's fortunes, get the rest of the story at AOL Autos.
Improve your investing savvy with the right financial toolset.View Course »