General Motors (NYSE:GM) Given Consensus Recommendation of “Hold” by Brokerages

Shares of General Motors (NYSE:GM) (TSE:GMM.U) have been assigned a consensus recommendation of “Hold” from the twenty-three research firms that are covering the stock, MarketBeat Ratings reports. Four research analysts have rated the stock with a sell rating, nine have issued a hold rating, nine have assigned a buy rating and one has assigned a strong buy rating to the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $54.56.

GM has been the topic of several recent research reports. Wedbush decreased their price objective on shares of General Motors from $60.00 to $55.00 and set an “outperform” rating on the stock in a research report on Friday, May 2nd. The Goldman Sachs Group lowered their price target on shares of General Motors from $73.00 to $63.00 and set a “buy” rating on the stock in a research report on Thursday, April 10th. Royal Bank of Canada raised their price objective on shares of General Motors from $55.00 to $57.00 and gave the stock an “outperform” rating in a research note on Friday, May 2nd. Piper Sandler reaffirmed a “neutral” rating and issued a $48.00 target price (up previously from $43.00) on shares of General Motors in a research note on Thursday, May 22nd. Finally, Citigroup assumed coverage on General Motors in a research report on Wednesday, April 23rd. They set a “buy” rating and a $62.00 price target for the company.

General Motors Price Performance

GM stock opened at $47.50 on Friday. The firm has a 50 day moving average of $46.80 and a 200-day moving average of $49.38. The company has a market cap of $45.67 billion, a price-to-earnings ratio of 7.72, a PEG ratio of 0.67 and a beta of 1.34. The company has a current ratio of 1.13, a quick ratio of 0.98 and a debt-to-equity ratio of 1.38. General Motors has a 12-month low of $38.96 and a 12-month high of $61.24.

General Motors (NYSE:GM) (TSE:GMM.U) last issued its quarterly earnings data on Tuesday, April 29th. The auto manufacturer reported $2.78 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.63 by $0.15. The firm had revenue of $44.02 billion during the quarter, compared to analysts’ expectations of $42.64 billion. General Motors had a return on equity of 15.29% and a net margin of 3.21%. General Motors’s revenue was up 2.3% on a year-over-year basis. During the same period in the previous year, the firm posted $2.62 earnings per share. As a group, equities analysts expect that General Motors will post 11.44 EPS for the current fiscal year.

General Motors announced that its Board of Directors has initiated a share buyback program on Wednesday, February 26th that permits the company to buyback $6.00 billion in shares. This buyback authorization permits the auto manufacturer to buy up to 12.5% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.

General Motors Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, June 19th. Stockholders of record on Friday, June 6th will be paid a $0.15 dividend. This is a positive change from General Motors’s previous quarterly dividend of $0.12. This represents a $0.60 annualized dividend and a dividend yield of 1.26%. The ex-dividend date of this dividend is Friday, June 6th. General Motors’s payout ratio is currently 8.65%.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. Golden State Wealth Management LLC acquired a new stake in shares of General Motors in the fourth quarter worth $25,000. Crews Bank & Trust purchased a new stake in General Motors during the 4th quarter worth $26,000. Measured Risk Portfolios Inc. acquired a new stake in General Motors in the 4th quarter valued at $27,000. Compass Planning Associates Inc purchased a new position in General Motors in the fourth quarter valued at about $27,000. Finally, Whittier Trust Co. raised its position in General Motors by 551.9% in the fourth quarter. Whittier Trust Co. now owns 502 shares of the auto manufacturer’s stock valued at $27,000 after purchasing an additional 425 shares during the period. Hedge funds and other institutional investors own 92.67% of the company’s stock.

About General Motors

General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts; and provide software-enabled services and subscriptions worldwide. The company operates through GM North America, GM International, Cruise, and GM Financial segments. It markets its vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling brand names.