Fact based stock research
General Motors (NYSE:GM)

US37045V1008

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

General Motors stock research in summary

gm.com

ANALYSIS: With an Obermatt Combined Rank of 73 (better than 73% compared with investment alternatives), General Motors (Automobile Manufacturers, USA) shares have above-average financial characteristics compared with similar stocks. Shares of General Motors are a good value (attractively priced) with a consolidated Value Rank of 95 (better than 95% of alternatives), are safely financed (Safety Rank of 51, which means low debt burdens), but show below-average growth (Growth Rank of 27). ...read more

RECOMMENDATION: A Combined Rank of 73, is a buy recommendation based on General Motors's financial characteristics. As the company General Motors's key financial metrics exhibit good value (Obermatt Value Rank of 95) but low growth (Obermatt Growth Rank of 27) while being safely financed (Obermatt Safety Rank of 51), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 95% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	95
Growth Rank	27
Safety Rank	51
Combined Rank	73

Country	USA
Industry	Automobile Manufacturers
Index	Electromobility, Diversity USA, Human Rights, Low Waste, Recycling, S&P US Luxury, S&P 500
Size class	XX-Large

This stock has achievements: Top 10 Stock.

19-Dec-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: General Motors

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	29	87	94	95
GROWTH
GROWTH	58	77	1	27
SAFETY
SAFETY	8	4	64	51
SENTIMENT
SENTIMENT	n/a	92	74	^new
360° VIEW
360° VIEW	n/a	81	76	^new

Most recent update of the stock research: 19-Dec-2024. Financial reporting date used for calculating ranks: 30-Sep-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better General Motors is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	29	87	94	95
GROWTH
GROWTH	58	77	1	27
SAFETY
SAFETY	8	4	64	51
COMBINED
COMBINED	13	62	61	73

Last update of combined financial performance: 19-Dec-2024. Stock analysis on combined financial performance: The higher the rank of General Motors the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 95 (better than 95% compared with alternatives) for 2024, General Motors shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for General Motors. Price-to-Sales is 81 which means that the stock price compared with what market professionals expect for future sales is lower than for 81% of comparable companies, indicating a good value for General Motors's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 100% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 86. Compared with other companies in the same industry, dividend yields of General Motors are expected to be higher than for 61% of all competitors (a Dividend Yield rank of 61). ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 95, is a buy recommendation based on General Motors's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in General Motors based on its detailed value metrics. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	32	74	83	81
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	65	83	97	100
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	29	84	91	86
DIVIDEND YIELD
DIVIDEND YIELD	1	55	56	61
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	29	87	94	95

Last update of Value Rank: 19-Dec-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of General Motors; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 27 (better than 27% compared with alternatives), General Motors shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for General Motors. Profit Growth has a rank of 55, which means that currently professionals expect the company to grow its profits more than 55% of its competitors. This is a good sign for shareholders, which is confirmed by an above-average Stock Returns rank of 73 (above 73% of alternative investments). But Sales Growth has a below the median rank of 22, which means that, currently, professionals expect the company to grow less than 78% of its competitors, and Capital Growth also has a lower rank of 19. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 27, is a hold recommendation for growth and momentum investors. Because revenues and invested capital are the more solid growth indicators, the positive development on the profit side is less relevant. It may have been caused by cost-cutting, which may be a negative growth indicator. Finally, the above-average stock returns recently are a thing of the past and not a good indicator of future returns. Investors should be confident that the cost-cutting initiative leading to higher profits is to benefit the company's future. If not, there is little growth momentum, and investment is only advisable if the Value Ranks suggest a good investment timing for General Motors. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	42	82	14	22
PROFIT GROWTH
PROFIT GROWTH	60	53	32	55
CAPITAL GROWTH
CAPITAL GROWTH	n/a	62	27	19
STOCK RETURNS
STOCK RETURNS	73	69	31	73
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	58	77	1	27

Last update of Growth Rank: 19-Dec-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of General Motors.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 51 (better than 51% compared with alternatives), the company General Motors has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of General Motors is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above-average for General Motors. Refinancing is at 63, meaning the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 63% of its competitors. Liquidity is also good at 77, meaning the company generates more profit to service its debt than 77% of its competitors. This indicates that the company is safer when it comes to debt service. However, Leverage is rather large at 20, which means the company has an above-average debt-to-equity ratio. It has more debt than 80% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 51 (better than 51% compared with alternatives), General Motors has a financing structure that is safer than that of its competitors. This is not bad if things go well. The higher debt level means better returns to shareholders if things go well. Many top-performing companies operate with higher debt levels, and General Motors could be in that group. But if you expect the environment to turn rougher, the higher leverage could become a problem. The same is valid if you expect interest rates to rise. That could squeeze shareholder returns, which so far have benefitted from better conditions. In the long-term, investors may have a debt challenge with General Motors and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	21	12	18	20
REFINANCING
REFINANCING	21	1	63	63
LIQUIDITY
LIQUIDITY	28	71	77	77
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	8	4	64	51

Last update of Safety Rank: 19-Dec-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of General Motors and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	82	75	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	53	48	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	88	82	^new
MARKET PULSE
MARKET PULSE	n/a	64	45	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	92	74	^new

Last update of Sentiment Rank: 19-Dec-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for General Motors.
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