0R0E.L - General Motors Company

LSE - LSE Delayed Price. Currency in USD
37.84
-0.25 (-0.66%)
At close: 2:47PM BST
Stock chart is not supported by your current browser
Gain actionable insight from technical analysis on financial instruments, to help optimize your trading strategies
Chart Events
Neutralpattern detected
Performance Outlook
  • Short Term
    2W - 6W
  • Mid Term
    6W - 9M
  • Long Term
    9M+
Previous Close38.09
Open37.61
Bid0.00 x 0
Ask0.00 x 0
Day's Range37.61 - 37.84
52 Week Range37.61 - 37.84
Volume107
Avg. VolumeN/A
Market Cap53.556B
Beta (5Y Monthly)1.42
PE Ratio (TTM)11.60
EPS (TTM)3.26
Earnings DateN/A
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target EstN/A
Fair Value is the appropriate price for the shares of a company, based on its earnings and growth rate also interpreted as when P/E Ratio = Growth Rate. Estimated return represents the projected annual return you might expect after purchasing shares in the company and holding them over the default time horizon of 5 years, based on the EPS growth rate that we have projected.
Fair Value
XX.XX
N/A
Research that delivers an independent perspective, consistent methodology and actionable insight
Related Research
    View more
    • Bloomberg

      Tesla's Overexcited Fans Should Cool Down a Little

      (Bloomberg Opinion) -- Back when Tesla Inc. delivered 95,000 cars to customers during the spring quarter of 2019, the stock price was languishing at about $235 and Elon Musk’s electric car company was valued at “only” $40 billion. Fast forward a year and the shares are now priced at more than $1,200. With a market capitalization of $224 billion, Tesla has surpassed Toyota Motor Corp. as the world’s most valuable automaker.Yet in the second quarter of 2020, Tesla delivered 91,000 vehicles — about 5% fewer than the same period last year. That’s pretty underwhelming for a company whose fans view it as a fast-growing technology company in the mold of Amazon.com Inc., rather than a sluggish metal-bashing carmaker. So how is the massive recent jump in its market value justified?In fairness, it shows resilience to sell this many cars when the company’s main California plant was shut by the pandemic for much of the spring period. Doubtless, Tesla’s new Shanghai plant picked up the production slack, which suggests the expense and effort of getting that China factory up and running was worth it. The launch of Tesla’s new Model Y crossover vehicle will have helped. Ford Motor Co. and General Motors Co. both saw their U.S. deliveries decline by a third in the same quarter. Nevertheless, Tesla’s stock market acolytes pushed the shares up another 8% on Thursday, adding $16.5 billion to the market value. Such exuberance is hard to understand. Musk’s company sold 7,650 more vehicles than analysts expected during the second quarter, and the stock price jump equates to about $2 million of added shareholder value for each of those additional sales. This seems a little excessive given that a Tesla Model 3 sells for less than $40,000, and the profit margin on those cars is pretty slim.  The shareholder reaction makes even less sense when you consider that Tesla investors aren’t really meant to buying the stock because of the company’s current sales, which are less than 4% of Volkswagen AG’s. Rather, the investment case is a long-term one: that it will come to occupy a dominant position in clean transport and energy in the years ahead. That explains why the shares trade at 320 times its analyst-estimated earnings this year. Viewed through this lens, Tesla’s ability to shift a few thousand extra cars in recent weeks shouldn’t matter so much for the valuation.  Investors’ tendency to overreact to Tesla news made more sense when its survival was open to doubt. A year ago it was laying off workers, U.S. sales were slowing and its retail strategy was confused. Senior staff kept heading for the exit. The company was burning through cash and ran pretty low on financial fuel. It had just $2.2 billion of cash in March 2019, compared with more than $8 billion now.But subsequent evidence that Tesla can sell cars for more than it costs to produce them has transformed the mood — and with it Tesla’s stock price.Instead of “killing” off Tesla, the tepid electric offerings of established carmakers such as Audi and Mercedes have only underscored the quality of their rival’s battery and powertrain technology (the same can’t be said of Tesla’s build quality). Volkswagen’s software problems with its forthcoming ID.3 electric vehicle suggest catching Tesla won’t be straightforward, even with the Germans’ vast resources.Tesla’s stratospheric valuation appears to have become self-reinforcing. Should it require more money to fund its roughly $9 billion of capital expenditure over the next three years, it can raise it from shareholders without worrying about diluting them too much.Similarly, holders of more than $4 billion of convertible bonds that Tesla issued to fund its expansion should be happy to convert them into stock, rather than demand cash repayment, taking some of the pressure off the company and its balance sheet.  Still, Tesla’s valuation remains impossible to justify by any standard metrics. Analysts’ average price target is more than 40% below the current level. Even Musk has suggested that the share price, which has almost trebled since the start of 2020, is too high — although, as with his taunting of the U.S. Securities and Exchange Commission and his comments about “fascist” lockdowns, it’s usually better to tune out what Musk says and focus on his actions instead.  The skeptics might have more faith in Tesla’s new position as the leader of the automaker pack when Musk stops his provocations and his shareholders stop getting giddy over modest good news.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • GM's China sales drop 5% in second quarter, underperforms industry recovery
      Reuters

      GM's China sales drop 5% in second quarter, underperforms industry recovery

      General Motors Co's <GM.N> vehicle sales in China dropped 5.3% between April and June from the corresponding period last year, underperforming the industry average amid a recovery from the coronavirus fallout on the world's biggest auto market. China's overall figure, which includes passenger and commercial vehicles, rose 4.4% in April and 14.5% in May, said the China Association of Automobile Manufacturers (CAAM), adding that it expected auto sales to grow 11% in June. GM, China's second-biggest foreign automaker after Volkswagen AG <VOWG_p.DE>, delivered 713,600 vehicles in the country in the second quarter, the company said in a statement, after reporting a drop of 43% in sales in the first quarter, due to the pandemic.

    • Barrons.com

      The Unemployment Rate Is “Grossly” Understated. Here’s Why.

      An 11% jobless rate doesn’t square with the number of people filing for unemployment insurance. Plus, market commentary on the muni market outlook, auto stocks, fiscal stimulus, and consequences of a Blue election wave.

    • GuruFocus.com

      Tesla Still Amazes Nonbelievers

      Why is a car manufacturer getting a highly absurd valuation? Continue reading...

    • Reuters

      GM delivered 713,600 units in Q2 in China, down 5% y/y

      General Motors Co's vehicle sales in China fell at a slower pace of 5.3% between April and June compared with the same period last year, as the Detroit automaker's China operations recover from coronavirus-induced lows. GM, China's second-biggest foreign automaker, delivered 713,600 vehicles in the country in the second quarter this year, the company said in a statement, after it reported a 43% sales drop in the first quarter due to the pandemic.

    • Ohio AG demanding General Motors pay back $60M to state
      Yahoo Finance Video

      Ohio AG demanding General Motors pay back $60M to state

      Ohio Attorney General Dave Yost joins Yahoo Finance’s Sibile Marcellus to discuss why he is demanding General Motors pay back $60 million to the state of Ohio.

    • What's behind Tesla's big beat on Q2 deliveries
      Yahoo Finance Video

      What's behind Tesla's big beat on Q2 deliveries

      Tesla shares surged after the automaker delivered roughly 90,650 vehicles to customers in the second quarter, exceeding expectations. Yahoo Finance’s On The Move panel discusses.

    • Barrons.com

      Tesla’s Deliveries Were a ‘Home Run.’ Here’s What Wall Street Is Saying.

      The electric-vehicle pioneer not only continues to defy bearish projections about its performance, it is doing better than the most enthusiastic analysts had predicted.

    • U.S. Auto Sales Fail to Recover in Q2: More Pain Ahead?
      Zacks

      U.S. Auto Sales Fail to Recover in Q2: More Pain Ahead?

      Moody's forecasts global auto sales decline of at least 20% year over year in 2020, with major impacts to be felt in North America and EMEA.

    • General Motors Clinches $223M Lucrative U.S. Army Contract
      Zacks

      General Motors Clinches $223M Lucrative U.S. Army Contract

      General Motors' (GM) latest contract is for the first batch of 649 such vehicles, while the overall approved requisition objective is for 2,065 vehicles over the next decade.

    • Barrons.com

      Forget About 2020. Next Year Is What Matters for General Motors.

      Benchmark analyst Michael Ward increased his General Motors price target Wednesday because he’s now using 2021 numbers to value the stock.

    • Automakers Laud Resilience of U.S. Consumers Buoying Sales
      Bloomberg

      Automakers Laud Resilience of U.S. Consumers Buoying Sales

      (Bloomberg) -- General Motors Co. and Fiat Chrysler Automobiles NV heaped praise on U.S. consumers after their quarterly sales held up better than analysts expected and left dealerships with lean vehicle inventory.Deliveries dropped 34% for GM and 39% for Fiat Chrysler, both better than projected. Although Toyota Motor Corp. narrowly missed estimates, its decline tempered toward the end of the quarter, with June sales falling 27%.“This quarter demonstrated the resilience of the U.S. consumer,” Jeff Kommor, head of U.S. sales for Fiat Chrysler, said in a statement. “Retail sales have been rebounding since April as the reopening of the economy, steady gas prices and access to low interest loans spur people to buy.”Automakers are overcoming a decimation of demand from rental-car companies that have sworn off purchases in the wake of the coronavirus outbreak that has hammered the travel industry. Retail sales actually jumped the last two months for Hyundai Motor Co. in an extreme example of how quickly consumers are returning to showrooms.“We’ve learned a great deal in the past 90 days,” said Randy Parker, U.S. sales chief for Hyundai, which in March reinstated a job-loss assurance incentive program. “It has given us the confidence to fight our way through the pandemic.”Hyundai is making as much as six months of payments for customers who buy or lease through its finance unit and lose their job. Ford Motor Co. has started a similar program, covering up to $15,000 of vehicle owners’ remaining balance if they need to return their car or truck.Uncertain OutlookGM is beginning the second half of the year with tight inventory of pickups. Supplies were depleted by a 40-day labor strike in the second half of last year, and the automaker has run low again the last few months due to factory shutdowns related to Covid-19 containment measures.The largest automaker by U.S. sales has raced to get production lines back to pre-virus levels even as it cautions there could be fresh setbacks ahead.“We expect continued sales recovery as businesses ramp back up, but recognize that the path forward may not be linear,” Elaine Buckberg, GM’s chief economist, said in a statement. “Rising infections in many states may lead to steps backward in the reopening process.”GM shares dipped 1% as of 2 p.m. Wednesday in New York trading, while Fiat Chrysler was down 3.8%. Ford will publicly release sales results on Thursday.(Updates with Hyundai executive’s comment in the fifth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • TheStreet.com

      General Motors, Fiat Chrysler Sales Fall Double Digits

      General Motors and Fiat Chrysler on Wednesday reported double-digit drops in sales as the automakers contended with the impact of the coronavirus pandemic shutdown. The coronavirus pandemic has decimated automakers, forcing them to shut production plants worldwide in response to stay-at-home orders and social-distancing requirements. GM's second-quarter deliveries totaled 492,489 vehicles, down 34% from 746,659 a year earlier.

    • Brose Recognized by General Motors as a 2019 Supplier of the Year Winner
      PR Newswire

      Brose Recognized by General Motors as a 2019 Supplier of the Year Winner

      Brose was named a GM Supplier of the Year by General Motors during a virtual ceremony honoring the recipients of the company's 28th annual Supplier of the Year awards on Wednesday, June 24, 2020.

    • MarketWatch

      GM's U.S. vehicle deliveries fall 34% in Q2

      General Motors Co. said Wednesday that second-quarter deliveries fell 34.0% from a year ago to 492,489 vehicles, weighed down by the effects of the COVID-19 pandemic. Retail sales for the quarter fell 24%, as a 35% drop in April was followed by 20% declines in May and June. The auto maker said it will keep most of its U.S. plants operating, including all of its truck and sport-utility vehicle plants, during the traditional two-week summer shutdown period, as the company looks to restock inventory. GM said most of the increased output will be to restock retail channels, with capacity made available by lower rental volumes. Among deliveries for GM vehicle brands, total Chevrolet deliveries fell 33.6%, GMC declined 32.9%, Buick dropped 35.9% and Cadillac slid 41.4%. Within Chevrolet, the top models delivered were the Silverado LD, which fell 18.6% to 89,465 vehicles, while the top GMC model delivered was Sierra LD at 38,825 vehicles, down 9.5%. GM's stock slipped 0.4% in morning trading. It has gained 30.9% over the past three months, while the Dow Jones Industrial Average has rallied 23.3%.

    • Reuters

      UAW leader, U.S. prosecutor discuss independent oversight for union

      The United Auto Workers' president met on Tuesday with the U.S. prosecutor heading a federal investigation into corruption at the union, and the two said they discussed reforms including possible independent oversight of future labor agreements. In a joint statement, union chief Rory Gamble and Matthew Schneider, the U.S. attorney for the Eastern District of Michigan, said they discussed the "concept of an independent monitor... to reduce the possibility of a reoccurrence of corruption." Earlier this month, Schneider said the UAW still has much to do to reform itself and that a federal takeover of the union remains an option.

    • Coronavirus update: Pandemic is ‘not even close to being over,’ says WHO head, urging better testing — and face masks
      MarketWatch

      Coronavirus update: Pandemic is ‘not even close to being over,’ says WHO head, urging better testing — and face masks

      The coronavirus pandemic is “not even close to being over,” according to the head of the World Health Organization, and the worst is still to come, in what was a grim assessment of the state of affairs some six months after the first cases were reported in China.

    • GM should repay $60 million in state tax credits: Ohio AG
      Reuters

      GM should repay $60 million in state tax credits: Ohio AG

      Ohio Attorney General Dave Yost said Tuesday that General Motors Co should repay $60 million in state tax credits after it closed its Lordstown Assembly plant in March 2019. In a brief to the Ohio Tax Credit Authority, Yost said GM in 2009 agreed to maintain operations at its northeast Ohio plant through 2028 and retain 3,700 jobs through 2040 in exchange for the credits. "We demand the money that is rightfully owed to Ohio – no more, no less," Yost said in a statement.

    • GM must repay $60 million in state tax credits, Ohio AG says
      Reuters

      GM must repay $60 million in state tax credits, Ohio AG says

      Ohio Attorney General Dave Yost said Tuesday that General Motors Co should repay $60 million in state tax credits after it closed its Lordstown Assembly plant in March 2019. In a brief to the Ohio Tax Credit Authority, Yost said GM in 2009 agreed to maintain operations at its northeast Ohio plant through 2028 and retain 3,700 jobs through 2040 in exchange for the credits. "We demand the money that is rightfully owed to Ohio – no more, no less," Yost said in a statement.

    • Bloomberg

      UAW Asks GM to Shut Down Texas SUV Plant as Covid Cases Soar

      (Bloomberg) -- The United Auto Workers union local in Arlington, Texas, has asked General Motors Co. to temporarily close its large-SUV plant in the city for the safety of its workers as cases of Covid-19 rise rapidly in the state.“Due to the most recent data on the Covid-19 outbreak, the Bargaining Committee has asked General Motors to shut down Arlington Assembly until the curve is flattened for the benefit and well-being of our members,” UAW Local 276 said on its website. “Every day we are setting new records in the number of people who are testing positive in the Dallas-Fort Worth area.”Confirmed Covid-19 cases in Texas have been rising by more than 5,000 a day in recent weeks, and the Lone Star State reported 4,288 new cases yesterday, according to the Texas Department of State Health Services. Cases in Tarrant County, where the plant is located, increased by 393.Read more: Texas’s Positive-Test Rate Soars to Record 14.31%: State DataThere could be a standoff over closing the GM plant. The union is worried about worker safety, but shutting down Arlington would be a hit for GM. The plant is running on three shifts building the company’s very profitable Chevrolet Tahoe, GMC Yukon and Cadillac Escalade large sport-utility vehicles.“We’re aware of the request and haven’t made changes to our production plans because we have protocols designed to keep the virus out of the facility and have multiple layers of protection in the plant to prevent a spread of the virus,” said company spokesman Jim Cain. “There’s no need to interrupt production.”GM restarted operations at its U.S. plants the week of May 18 as cases in the upper Midwest subsided. Arlington resumed production on May 25 and is getting ready to make all-new versions of its SUVs later this year.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • Slumping fleet sales weigh on U.S. auto market
      Reuters

      Slumping fleet sales weigh on U.S. auto market

      Weak fleet orders are expected to hurt June sales, which automakers will report on Wednesday. Cox Automotive forecasts fleet sales will fall nearly 56% to 1.3 million vehicles after plunging 83% in May and 77% in April. In the short term, fleet sales are not a major concern for automakers focused on ramping up production to beef up anemic dealer inventories for higher-profit sales to consumers.

    • MarketWatch

      Moody's has downgraded $130 billion worth of automakers' debt as a result of COVID-19-induced downturn

      Moody's Investors Service said Tuesday it has downgraded $130 billion worth of debt owed by automakers as a result of the coronavirus-induced economic downturn, which the credit rating agency expects will hurt auto demand through 2022. Moody's said, however, that the companies that were downgraded were "weakly positioned" and had challenges before the coronavirus outbreak. And overall, Moody's said the auto industry is "much better prepared" for the current downturn than it was for the 2008 to 2009 recession, and have much better liquidity. "The automakers whose ratings were recently downgraded already faced major operational or competitive challenges and the recession likely will exacerbate these existing weaknesses," said Moody's analyst Bruce Clark. "Nevertheless, the auto industry as a whole is much better prepared for this downturn than it was for the last one, with ample liquidity, more manageable cost structures, more efficient automotive supply chains and a focus on earning returns on capital." Among U.S. automakers, Moody's rates General Motors Co.'s senior unsecured notes at Baa3, the lowest investment grade rating, with a negative outlook, and Ford Motor Co.'s senior unsecured debt is rated Ba2, or two notches into "junk" territory, with a negative outlook.

    • High volatility is here to stay in 2020. Goldman names 31 stocks to deliver the best returns amid the turbulence
      MarketWatch

      High volatility is here to stay in 2020. Goldman names 31 stocks to deliver the best returns amid the turbulence

      The grim milestones of 10 million global coronavirus cases and more than 500,000 deaths, along with spikes in a number of U.S. states, haven't deterred investors on Monday. U.S. stock futures pointed higher before the open, despite more indications a second wave may be around the corner.

    • Reuters

      House Democrats lay out new roadmap for cutting U.S. greenhouse gas emissions

      House Democrats on Tuesday will unveil a plan to cut nearly 90% of U.S. greenhouse gas emissions by 2050, including mandating sales of zero-emission cars by 2035 and decarbonizing the power grid by 2040. The policy recommendations are intended as a blueprint for lawmakers to fight climate change should Democrats win control of Congress in the November election. It calls for raising the 200,000 vehicle individual manufacturer cap and new incentives to help consumers buy used electric vehicles.