Zacks Investment Research Upgrades General Motors (GM) to “Buy”

Zacks Investment Research upgraded shares of General Motors (NYSE:GM) (TSE:GMM.U) from a hold rating to a buy rating in a report issued on Thursday morning. Zacks Investment Research currently has $46.00 target price on the auto manufacturer’s stock.

According to Zacks, “General Motors is gaining from strong crossover & truck sales. In the last reported quarter, crossover sales rose 23% on a year-over-year basis. 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. 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. Over the past one year, the shares of the company outperformed the industry it belongs to. Also, the Zacks Consensus Estimate for the current quarter earnings moved upwards in the last thirty days.”

A number of other equities research analysts also recently commented on the stock. TheStreet upgraded shares of General Motors from a c+ rating to a b rating in a research report on Friday, April 27th. Vetr downgraded shares of General Motors from a strong-buy rating to a buy rating and set a $41.50 price objective for the company. in a research report on Thursday, April 5th. Morgan Stanley set a $48.00 price objective on shares of General Motors and gave the company a buy rating in a research report on Thursday, May 24th. ValuEngine upgraded shares of General Motors from a hold rating to a buy rating in a research report on Friday, June 1st. Finally, Bank of America restated a buy rating and issued a $60.00 price objective on shares of General Motors in a research report on Friday, June 15th. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating and fourteen have issued a buy rating to the company. The stock has an average rating of Hold and a consensus target price of $47.45.

Shares of NYSE GM traded down $1.12 during midday trading on Thursday, reaching $39.40. 14,053,083 shares of the company were exchanged, compared to its average volume of 12,583,137. The company has a quick ratio of 0.73, a current ratio of 0.86 and a debt-to-equity ratio of 1.96. General Motors has a 1 year low of $34.45 and a 1 year high of $46.76. The firm has a market cap of $56.90 billion, a P/E ratio of 5.95, a P/E/G ratio of 1.15 and a beta of 1.63.

General Motors (NYSE:GM) (TSE:GMM.U) last released its quarterly earnings results on Thursday, April 26th. The auto manufacturer reported $1.43 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.24 by $0.19. General Motors had a positive return on equity of 23.03% and a negative net margin of 3.76%. The firm had revenue of $36.10 billion for the quarter, compared to analyst estimates of $34.67 billion. During the same quarter last year, the company posted $1.70 earnings per share. The business’s revenue was down 12.4% on a year-over-year basis. analysts anticipate that General Motors will post 6.4 earnings per share for the current year.

The business also recently declared a quarterly dividend, which was paid on Friday, June 22nd. Stockholders of record on Friday, June 8th were given a dividend of $0.38 per share. The ex-dividend date of this dividend was Thursday, June 7th. This represents a $1.52 dividend on an annualized basis and a dividend yield of 3.86%. General Motors’s payout ratio is 22.96%.

In other news, EVP Alan S. Batey sold 215,685 shares of General Motors stock in a transaction that occurred on Friday, June 1st. The shares were sold at an average price of $43.01, for a total transaction of $9,276,611.85. Following the completion of the sale, the executive vice president now directly owns 84,594 shares in the company, valued at approximately $3,638,387.94. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Charles K. Stevens III sold 35,000 shares of General Motors stock in a transaction that occurred on Monday, April 2nd. The shares were sold at an average price of $36.10, for a total transaction of $1,263,500.00. Following the sale, the insider now owns 67,741 shares of the company’s stock, valued at $2,445,450.10. The disclosure for this sale can be found here. 0.39% of the stock is currently owned by company insiders.

Hedge funds have recently bought and sold shares of the company. BKD Wealth Advisors LLC raised its position in shares of General Motors by 1.9% during the 1st quarter. BKD Wealth Advisors LLC now owns 78,623 shares of the auto manufacturer’s stock worth $2,857,000 after purchasing an additional 1,445 shares during the last quarter. Wayne Hummer Investments L.L.C. raised its position in shares of General Motors by 4.3% during the 1st quarter. Wayne Hummer Investments L.L.C. now owns 36,652 shares of the auto manufacturer’s stock worth $1,332,000 after purchasing an additional 1,526 shares during the last quarter. Princeton Capital Management LLC raised its position in shares of General Motors by 25.2% during the 1st quarter. Princeton Capital Management LLC now owns 7,652 shares of the auto manufacturer’s stock worth $278,000 after purchasing an additional 1,540 shares during the last quarter. Stellar Capital Management LLC raised its position in shares of General Motors by 3.3% during the 1st quarter. Stellar Capital Management LLC now owns 50,917 shares of the auto manufacturer’s stock worth $1,851,000 after purchasing an additional 1,603 shares during the last quarter. Finally, NEXT Financial Group Inc raised its position in shares of General Motors by 9.4% during the 1st quarter. NEXT Financial Group Inc now owns 19,145 shares of the auto manufacturer’s stock worth $696,000 after purchasing an additional 1,647 shares during the last quarter. Institutional investors own 73.29% of the company’s stock.

About General Motors

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.

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