General Motors Company
Exchange: NYSESector: Consumer CyclicalIndustry: Auto Manufacturers
General Motors is driving the future of transportation, leveraging advanced technology to build safer, smarter, and lower emission cars, trucks, and SUVs. GM's Buick, Cadillac, Chevrolet, and GMC brands offer a broad portfolio of innovative gasoline-powered vehicles and the industry's widest range of EVs, as we move to an all-electric future.
Did you know?
Profit margin stands at 1.5%.
Current Price
$76.73
-0.01%GoodMoat Value
$153.89
100.6% undervaluedProfile
Valuation (TTM)
Market Cap$71.58B
P/E22.42
EV$127.98B
P/B1.17
Shares Out932.86M
P/Sales0.39
Revenue$185.02B
EV/EBITDA7.03
General Motors Company (GM) Stock Analysis
GoodMoat Analysis
General Motors is a legacy automaker whose current valuation appears deeply undervalued relative to GoodMoat's target price, suggesting a significant margin of safety. However, the business shows weak moat characteristics and concerning quality metrics, failing the initial gate of the investment framework. This creates a classic 'value trap' scenario that requires very careful investigation.
Read full analysis
General Motors is a major global manufacturer of automobiles, trucks, and SUVs, operating in the highly competitive and capital-intensive auto industry. Applying the GoodMoat framework, the company scores poorly on moat identification. It lacks the network effects, switching costs, proprietary data, or pricing power typical of durable businesses. Its potential advantages in scale and vertical integration are offset by intense competition and low disruption barriers. The quality indicators are also unfavourable. Key metrics like a 1.5% profit margin, 4.4% ROE (far below the 15-20% threshold), and a debt/equity ratio of 2.13 point to a low-return, leveraged business model. The -5.1% YoY revenue growth and single-digit margins are weak ratings. According to Section 6's Decision Framework, a business with a low moat score and multiple weak quality ratings fails the initial 'Moat & Quality Gate' and does not qualify for further valuation analysis. Despite this, the valuation appears compelling on the surface, with a GoodMoat target of $153.89 implying a margin of safety of over 100% from the current $76.61 price. This stark contradiction between poor business fundamentals and a seemingly deep undervaluation is a hallmark of a potential value trap, where the low price may be justified by structural challenges. A value investor would need to investigate whether a transformative catalyst, like dominance in electric or autonomous vehicles, could sustainably improve returns and justify the price, which is a high-risk proposition. Analysis based on data as of 2024-05-15.
Market Cap$71.58B
Current Price$76.73
P/E Ratio22.42
Forward P/E—
PEG Ratio0.16
EPS$3.27
Book Value$65.52
P/B Ratio1.17
GM Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 18.3% FCF growth (CAGR)
Cash vs Debt
Net Debt: 109.3B
Revenue
137.2B
FY19
122.5B
FY20
127.0B
FY21
156.7B
FY22
171.8B
FY23
187.4B
FY24
185.0B
FY25
Net Income
6.7B
FY19
6.4B
FY20
10.0B
FY21
9.9B
FY22
10.1B
FY23
6.0B
FY24
2.7B
FY25
GM 52-Week Range
$43.19
$86.17
50-Day MA: $78.02200-Day MA: $67.87
Did you know?
Price sits at 78% of its 52-week range.
General Motors Company (GM) Financial Summary
General Motors Company (GM) is a Consumer Cyclical company in the Auto Manufacturers industry, listed on NYSE. The stock currently trades at $76.73 with a market capitalization of $71.58B.
Key valuation metrics include a P/E ratio of 22.42, price-to-book ratio of 1.17, and EPS of $3.27. The company reports a profit margin of 1.5% and return on equity of 4.4%.
GM Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $71.58B |
| P/E Ratio | 22.42 |
| EPS | $3.27 |
| P/B Ratio | 1.17 |
| P/S Ratio | 0.39 |
| EV/EBITDA | 7.03 |
| Dividend Yield | 0.92% |
| Profit Margin | 1.5% |
| Return on Equity | 4.4% |
| Debt/Equity | 2.13 |
GM Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $137.24B | $6.73B |
| FY20 | $122.48B | $6.43B |
| FY21 | $127.00B | $10.02B |
| FY22 | $156.74B | $9.93B |
| FY23 | $171.84B | $10.13B |
| FY24 | $187.44B | $6.01B |
| FY25 | $185.02B | $2.70B |
General Motors Company (GM) Valuation
Based on GoodMoat's DCF model, General Motors Company has a fair value estimate of $153.89. At the current price of $76.73, the stock appears 50.1% undervalued relative to our intrinsic value estimate.
GM Quality Indicators
General Motors Company maintains a profit margin of 1.5% and an operating margin of 1.6%. Return on equity stands at 4.4%. The current ratio is 1.17. Debt-to-equity ratio is 2.13.
About General Motors Company
General Motors is driving the future of transportation, leveraging advanced technology to build safer, smarter, and lower emission cars, trucks, and SUVs. GM's Buick, Cadillac, Chevrolet, and GMC brands offer a broad portfolio of innovative gasoline-powered vehicles and the industry's widest range of EVs, as we move to an all-electric future.
GM Free Cash Flow
General Motors Company generated $11.87B in trailing twelve-month free cash flow, representing an FCF yield of 16.58%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
GM Shares Outstanding
General Motors Company has 0.93 billion shares outstanding at a share price of $76.73, giving it a market capitalization of $71.58B.
GM Recent Insider Trades
Recent insider transactions at General Motors Company include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Reuss Mark L (President) | SELL | 82,489 | $6.61M |