Gas Prices Going Down; Chrysler IPO soon & Telsa Jumps into Autonomous Driving
3:17 PM, Sep 20, 2013
Chrysler could file for its initial public offering any day now, but it will be awhile before you can buy stock in the auburn hills automaker.
Wall street experts say the IPO announcement could happen this week, but there's a lot to do before the stock hits the open market.
The time frame for you to purchase the stock is probably late this year or early 2014, but there's a sticking point and it's the stock price.
I talked with auto analyst Jim Hal and he believes Chrysler's CEO Sergio Marchionne is trying to balance a lower valuation for his company while the u-a-w is looking for a higher stock price to boost their pensions and benefits.
"The background on the IPO is fascinating: You have value seen by Chrysler at around $4 billion and you see the valuation by VEBA (retirees health care trust) and the UAW at around $10 billion, so there's this gap."
General Motors is working on a cheaper electric car with a longer range. The Achilles heel for most all-electric vehicles is the miles per charge, typically in the 40 to 50 mile range. Now GM is working on an all-electric that can travel 200 miles per charge and cost about 30-thousand dollars.
Seems GM is targeting Telsa with this new program by creating an electric range that matches the Tesla Model S, but will costs about 40-thousand dollars less.
Just like g-m and ford (Chrysler doesn't admit to an all-electric program yet) Tesla is now in the autonomous driving game. The California all-electric car company revealed its "auto-pilot" program on Twitter where CEO and founder Elon Musk has posted a "help wanted" ad for engineers with the ability to develop a self-driving car.
Gas prices going down in time for Halloween? No trick, it's the treat thatt gasbuddy-dot-com is predicting.
Analysts with the website say between now and October 31st the price at the pump could drop by 25 cents a gallon. that's certainly a treat!
The prediction is based on prices over a five year period from the middle of September to October 31
st, and the data show gas typically plunges during that time frame due to less demand.
Tthat would bring the cost of a gallon of regular unleaded to just under the three dollar mark. The current average in Detroit today is around 3.23 a gallon.
Of course a hurricane, turmoil in the Middle East and if the US attacks Syria all could factor in tightening up the oil supplies and drive the cost of gas back up.
Like Us. We Like You.
Get local stories delivered directly to your newsfeed.