It’s early 2006 and General Motors Corporation has been going through some tough times lately. It’s been losing a great deal of money, and its annual dividend has been cut to $1. The company’s strategy is to restructure by getting smaller while working on labor and product line problems at the same time. Once that’s done management feels the firm will return to profitability and begin a long period of growth at about 3% per year. Analysts generally feel the firm needs to shrink by a little less than 30%, but won’t be able to downsize at a rate of more than 10% per year because of fixed costs and union contracts. GM’s stock price has been declining steadily for some time and is now selling in the neighborhood of $20 per share, which is the lowest it’s been for many years. You’re an analyst for Barnstead and Heath, a small brokerage firm that employs a number of financial consultants who advise clients on stock investments. Some of the consultants feel that GM’s management is on the right track and that their strategy will work as planned. Given that assumption, they’ve asked you if they should tell their clients that this is a good time to buy GM stock. How would you advise them?