GM's Recall Scandal Could Spread to Parts Suppliers
NEW YORK (TheStreet) -- What's with the automobile industry with all of those recalls? Toyota
These issues are occurring in the wake of the General Motors
This issue was ignored during the GM taxpayer bailout. As the story goes, Delphi apparently told GM the part causing the problem was below specifications but GM used them anyway thinking that they were not unusable.
On Thursday there were two announcements from GM: The company placed two engineers on paid leave as part of this recall investigation, and the auto maker will take a first-quarter charge of $1.3 billion to cover costs related to recall repairs.
We crunched the numbers to help you decide if and when to invest. Here are the nine profiles and the "Crunching the Numbers" tables follow.
The weekly chart is positive but overbought with its five-week modified moving average at $60.06 with the chart showing parabolic characteristics. A monthly value level is $51.80 with weekly and quarterly risky levels at $64.94 and $78.07.
Delphi Auto ($66.63) is up a leading 10.8% year-to-date despite supplying the ill-fated part to General Motors. The stock closed below its 21-day SMA at $67.02 on Thursday after setting an all-time intraday high at $70.48 on April 2.
The weekly chart is positive but overbought with the five-week MMA at $65.76. A semiannual value level lags at $42.57 with a quarterly pivot at $67.09 and monthly and weekly risky levels at $69.06 and $70.30.
The weekly chart is positive with the five-week MMA at $15.59. Quarterly and monthly value levels are $15.20 and $15.17 with weekly and semiannual risky levels at $16.07 and $16.73.
The weekly chart is neutral with its five-week MMA at $18.05. Semiannual and quarterly value levels are $13.78 and $9.08 with weekly and semiannual risky levels at $19.39 and $21.10.