General Motors Company (NYSE:GM) previous close was $25.80 while the outstanding shares total 1.43B. The firm has a beta of 1.38, a 12-month trailing P/E ratio of 7.89, and a growth ratio of 1.38. GM’s shares traded lower over the last trading session, losing -1.09% on 05/21/20. The shares fell to a low of $25.21 before closing at $25.52. Intraday shares traded counted 4.44 million, which was 76.66% higher than its 30-day average trading volume of 19.03M. The stock’s Relative Strength Index (RSI) is 62.35, with weekly volatility at 4.12% and ATR at 1.35. The GM stock’s 52-week price range has touched low of $14.32 and a $41.90 high.
Investors have identified the Auto Manufacturers company General Motors Company as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $36.40 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
General Motors Company (GM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For GM, the company has in raw cash 38.51 billion on their books with 45.06 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 97699000000 million total, with 91292000000 million as their total liabilities.
GM were able to record -3.4 billion as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 18.22 billion. In cash movements, the company had a total of 1.56 billion as operating cash flow.
Potential earnings growth for General Motors Company (GM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, General Motors Company recorded a total of 32.71 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -6.63% coming in sequential stages and their sales for the third quarter increasing by 5.76%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 30.08 billion trying to sell their products during the last quarter, with the result yielding a gross income of 2.63 billion. This allows shareholders to hold on to 1.43B with the revenue now reading 0.17 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.18 cents a share).
Having a look at the company’s valuation, the company is expected to record 4.82 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on GM sounds very interesting.
Is the stock of GM attractive?
In related news, Director, RUSSO PATRICIA F bought 12,700 shares of the company’s stock in a transaction that recorded on May 12. The purchase was performed at an average price of 23.18, for a total value of 294,386. As the purchase deal closes, the Executive Vice President, Tsien Matthew now bought 22,400 shares of the company’s stock, valued at 514,528. Also, Director, SOLSO THEODORE M bought 1,561 shares of the company’s stock in a deal that was recorded on Feb 26. The shares were cost at an average price of 32.02 per share, with a total market value of 49,983. Following this completion of disposal, the Executive Vice President, Tsien Matthew now holds 16,933 shares of the company’s stock, valued at 668,854. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.20%.
13 out of 18 analysts covering the stock have rated it a Buy, while 4 have maintained a Hold recommendation on General Motors Company. 0 analysts has assigned a Sell rating on the GM stock. The 12-month mean consensus price target for the company’s shares has been set at $34.18.