General Motors
NASDAQ: GMKey stats
Price chart
About General Motors
Automobiles
Company profile
- IPO date
- Aug 20, 2010
- Website
- www.gm.com
Consumer Discretionary peers
How GM compares to other large companies in the same sector.
| Company | Price | Today | Market cap | P/E |
|---|---|---|---|---|
AMZN Amazon.com Inc. | $264.14 | -1.15% | $2.84T | 31.29 |
TSLA Tesla Inc. | $422.24 | -4.75% | $1.59T | 410.62 |
HD Home Depot Inc. | $297.51 | -2.25% | $296.33B | 20.93 |
MCD McDonald's Corporation | $276.39 | +0.52% | $196.38B | 22.63 |
SBUX Starbucks Corporation | $106.81 | +0.39% | $121.74B | 81.39 |
Wall Street analyst ratings
DollarScout analysis
Editorial, not advice. See our methodology.
Bull case
General Motors is aggressively transitioning to electric vehicles (EVs), with substantial investments in both new EV models and the underlying technology. Its lineup, including models like the Chevy Bolt, positions it well in the growing EV market. The company's strategic partnerships and investments in autonomous technology are additional growth levers. Its operational scale and established market presence provide a significant competitive moat. With a market cap of $69.08B and a strong buy rating from analysts, investors are optimistic about GM's future growth prospects in the EV and autonomous sectors, suggesting robust upside potential.
Bear case
A P/E ratio of 25.63 indicates that GM could be overvalued compared to its current earnings, which might deter value investors. The transition to electric vehicles, while a growth driver, also poses significant execution risks amid stiff competition from Tesla and other EV-focused manufacturers. The automotive industry is highly capital intensive, and economic downturns can severely impact demand. Additionally, GM's dividend yield of 0.9511% might not be attractive enough for income-focused investors seeking higher yields from more stable sectors.
Who should buy GM
GM is a good fit for growth-oriented investors with a moderate risk tolerance who are betting on the long-term shifts towards electric and autonomous vehicles. Investors should have a time horizon of at least 5-10 years to ride out industry and economic cycles, positioning GM as a play on future automotive technology.
Key risks
- Potential overvaluation relative to earnings. - Increased competition from both traditional automotive giants and new EV players. - High capital requirements for EV and autonomous vehicle development. - Vulnerability to economic fluctuations affecting automotive sales.
Where to buy GM
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Recent GM news
General Motors (GM) is reshaping its information technology workforce, cutting more than 10% of roles while hiring for AI and data focused positions, as it settles a US$12.75 million California data privacy case. See our latest analysis for General Motors. GM’s recent IT layoffs and the California privacy settlement come after a period where short term share price momentum has cooled, with the 7 day share price return down 5% and the year to date share price return down 7.56%, while the 1...
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