General Motors (NYSE:GM) (TSE:GMM.U) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report issued on Tuesday.
According to Zacks, “General Motors outperformed the industry it belongs to over the last six months. The company’s capital allocation strategy, initiatives to make its vehicles more advanced, safer and fuel efficient and focus on technology development are likely to benefit. Moreover, the company's focus on capital deployment is expected to boost shareholder returns. Its restructuring activities are also expected to benefit in the long run. Also, the company is raising investment in emerging markets to boost global sales. It is trying to take advantage of emerging markets growth via product launches and joint ventures.”
GM has been the topic of a number of other research reports. UBS Group reissued a “buy” rating and issued a $50.00 price target (up previously from $39.00) on shares of General Motors in a research note on Wednesday, October 11th. Vetr downgraded General Motors from a “strong-buy” rating to a “hold” rating and set a $43.99 price target on the stock. in a research note on Monday, December 4th. Craig Hallum set a $45.00 price target on General Motors and gave the company a “hold” rating in a research note on Wednesday, October 25th. Royal Bank of Canada raised General Motors from a “sector perform” rating to an “outperform” rating and increased their price target for the company from $51.00 to $52.00 in a research note on Tuesday, December 19th. Finally, Piper Jaffray Companies set a $51.00 price target on General Motors and gave the company a “buy” rating in a research note on Tuesday, October 24th. Four investment analysts have rated the stock with a sell rating, twelve have issued a hold rating, eleven have given a buy rating and two have given a strong buy rating to the company. The stock currently has a consensus rating of “Hold” and an average price target of $43.80.
General Motors (NYSE:GM) (TSE:GMM.U) last posted its quarterly earnings results on Tuesday, October 24th. The auto manufacturer reported $1.32 earnings per share for the quarter, beating the Zacks’ consensus estimate of $1.07 by $0.25. The company had revenue of $30.48 billion for the quarter, compared to the consensus estimate of $29.93 billion. General Motors had a return on equity of 20.95% and a net margin of 2.00%. The firm’s quarterly revenue was down 16.6% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.72 EPS. analysts predict that General Motors will post 6.25 EPS for the current year.
In other General Motors news, insider Mark L. Reuss sold 30,000 shares of the stock in a transaction dated Thursday, January 4th. The stock was sold at an average price of $43.09, for a total transaction of $1,292,700.00. Following the completion of the transaction, the insider now owns 103,052 shares in the company, valued at approximately $4,440,510.68. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Charles K. Stevens III sold 265,458 shares of the stock in a transaction dated Friday, October 27th. The stock was sold at an average price of $44.49, for a total value of $11,810,226.42. Following the transaction, the chief financial officer now owns 326,510 shares of the company’s stock, valued at approximately $14,526,429.90. The disclosure for this sale can be found here. In the last 90 days, insiders sold 552,298 shares of company stock valued at $24,408,137. 0.04% of the stock is owned by corporate insiders.
A number of hedge funds have recently added to or reduced their stakes in GM. Berkshire Hathaway Inc. increased its holdings in General Motors by 20.0% during the 2nd quarter. Berkshire Hathaway Inc. now owns 60,000,000 shares of the auto manufacturer’s stock worth $2,095,800,000 after purchasing an additional 10,000,000 shares in the last quarter. Janus Henderson Group PLC increased its holdings in General Motors by 290.9% during the 2nd quarter. Janus Henderson Group PLC now owns 10,247,171 shares of the auto manufacturer’s stock worth $357,944,000 after purchasing an additional 7,625,809 shares in the last quarter. Assenagon Asset Management S.A. bought a new position in General Motors during the 3rd quarter worth about $202,352,000. Vanguard Group Inc. increased its holdings in General Motors by 4.0% during the 2nd quarter. Vanguard Group Inc. now owns 93,414,041 shares of the auto manufacturer’s stock worth $3,262,952,000 after purchasing an additional 3,560,717 shares in the last quarter. Finally, Parametric Portfolio Associates LLC increased its holdings in General Motors by 72.9% during the 2nd quarter. Parametric Portfolio Associates LLC now owns 4,210,479 shares of the auto manufacturer’s stock worth $147,072,000 after purchasing an additional 1,775,924 shares in the last quarter. Hedge funds and other institutional investors own 73.01% of the company’s stock.
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General Motors Company Profile
General Motors Company designs, builds and sells cars, trucks, crossovers and automobile parts. The Company’s segments include GM North America (GMNA), GM Europe (GME), GM International Operations (GMIO), GM South America (GMSA) and General Motors Financial Company, Inc (GM Financial). The Company provides automotive financing services through General Motors Financial Company, Inc The Company develops, manufactures and/or markets vehicles in North America under the brands, including Buick, Cadillac, Chevrolet and GMC.
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