Head-To-Head Survey: General Motors (GM) & Its Peers

General Motors (NYSE: GM) is one of 30 publicly-traded companies in the “Motor vehicles & car bodies” industry, but how does it contrast to its competitors? We will compare General Motors to similar businesses based on the strength of its risk, dividends, earnings, institutional ownership, valuation, analyst recommendations and profitability.

Risk and Volatility

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General Motors has a beta of 1.63, suggesting that its stock price is 63% more volatile than the S&P 500. Comparatively, General Motors’ competitors have a beta of 1.00, suggesting that their average stock price is 0% more volatile than the S&P 500.

Profitability

This table compares General Motors and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
General Motors -2.58% 22.86% 4.30%
General Motors Competitors -14.13% -0.28% -3.83%

Dividends

General Motors pays an annual dividend of $1.52 per share and has a dividend yield of 4.0%. General Motors pays out 23.0% of its earnings in the form of a dividend. As a group, “Motor vehicles & car bodies” companies pay a dividend yield of 1.4% and pay out 19.8% of their earnings in the form of a dividend.

Institutional & Insider Ownership

73.6% of General Motors shares are held by institutional investors. Comparatively, 65.7% of shares of all “Motor vehicles & car bodies” companies are held by institutional investors. 0.0% of General Motors shares are held by company insiders. Comparatively, 8.5% of shares of all “Motor vehicles & car bodies” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares General Motors and its competitors gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
General Motors $145.59 billion -$3.86 billion 5.69
General Motors Competitors $62.83 billion $2.64 billion 15.98

General Motors has higher revenue, but lower earnings than its competitors. General Motors is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent recommendations for General Motors and its competitors, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
General Motors 2 10 9 0 2.33
General Motors Competitors 440 1265 1628 110 2.41

General Motors presently has a consensus price target of $44.47, suggesting a potential upside of 18.02%. As a group, “Motor vehicles & car bodies” companies have a potential upside of 9.82%. Given General Motors’ higher probable upside, equities analysts clearly believe General Motors is more favorable than its competitors.

Summary

General Motors beats its competitors on 8 of the 15 factors compared.

General Motors Company Profile

General Motors Company, together with its subsidiaries, designs, builds, and sells cars, trucks, crossovers, and automobile parts worldwide. The company operates through GM North America, GM International, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Holden, Baojun, Jiefang, and Wuling brand names. The company also sells cars, trucks, and crossovers to dealers for consumer retail sales, as well as to fleet customers, including daily rental car companies, commercial fleet customers, leasing companies, and governments. In addition, it offers connected safety, security, and mobility solutions, as well as information technology services. Further, the company provides automotive financing services. General Motors Company was founded in 1897 and is based in Detroit, Michigan.

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