Bailout stigma: Not easy to leave behind

The New York Times said the move puts the value of GM's IPO at $23.1 billion.

The enthusiasm over GM as an investment, said Bruce Clark at Moody's Investors Service, would likely transfer over to the showroom.

"U.S. consumers who don't know anything about over-allocation options or the need for strong liquidity in a cyclical industry knew that something exceptionally good happened to GM last week. That knowledge makes it more likely that they will consider buying a GM vehicle and possibly buy one," Clark wrote in a research note.

The IPO technically reduced the federal government's GM holdings below 50 percent from its stinging 61 percent, which gave way to the nickname "Government Motors."

"We're glad that it's out of government control. We never lost confidence, but it's nice that the bankruptcy, restructuring and IPO are behind us now and we can focus on moving forward." said Gary Lang, president of the Gary Lang Auto Group north of Chicago.

Industry analyst Jessica Caldwell was not convinced GM's prolonged downturn and the government's $49.5 billion rescue did not have a lingering effect.

"The stigma, for most consumers, is still there. I don't think it matters what percentage the government owns, and I don't think most people know," she said.

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