GM stock: buy or sell?

GM stock price: $36.17 -0.06% At close on October 18th, 2019

Updated on:
October 18th, 2019

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Shares of the Detroit headquarted company closed on Oct 18th at $36.17 and remained constant a tight -0.06%.

General Motors Company, together with its subsidiaries, designs, builds, and sells cars, trucks, crossovers, and automobile parts worldwide.

Should I buy GM stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best moment to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with General Motors stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean GM will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is General Motors stock a buy?

Financial institutions and banks post stock ratings everyday. At Stocks2.com, we gathered 12 ratings published for GM stock in the last month.

The general sentiment of these ratings is bullish for GM stock, with 9 positive ratings.
Is GM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-2Citigroupn/aBuy
2019-7-22Royal Bank of Canadan/aOutperform
2019-3-26Goldman Sachs Groupn/aNeutral
2019-2-8Citigroupn/aBuy
2019-2-7Royal Bank of Canadan/aOutperform
2019-2-13Seaport Global Securitiesn/aBuy
2019-1-7BMO Capital MarketsMarket PerformOutperform
2019-1-28BMO Capital Marketsn/an/a
2019-1-14Royal Bank of Canadan/aOutperform
2019-1-14BMO Capital MarketsPositiveOutperform
2019-1-14Barclaysn/aBuy
2019-1-11Buckingham Researchn/aHold

GM stock analysis

Daily outlook

Shares of the Detroit headquarted company closed on October/18 at $36.17 and remained constant a tight -0.06%.

General Motors remained constant a tight -0.06% and closed at $36.17. For the last 19 days when GM stock price broke down the SMA200d line, it slid $-1.31 per share (-3.50%).

GM stock chart (daily)

Weekly outlook

Shares of General Motors grew a good 1.69% this week. Late September GM plummed a chilling -7.19% in just one week. Early September GM boosted a cool 5.31% in just one week.

Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $41.48 resistance. Since SMA20d and SMA40w crossed up this week, GM price climbed $0.60 per share (1.69%). Since price and 40-weeks moving average lines crossed down late September, GM fell $-1.25 per share (-3.34%). Trading stocks that are below the 40-weeks (that is, 200-days) moving average mark is not recommended by many experts, as it indicates that the stock has not enough institutional support.

GM stock chart (weekly)

GM stock price history

GM stock went public on November 18th, 2010 with a price of $27.391. Since then, GM stock grew a 32.10%, with an average of 4.00% per year. If you had invested right after GM's IPO a $1,000 in GM stock in 2010, it would worth $321.00 today.

1: Adjusted price after possible price splits or reverse-splits.

GM stock historical price chart

GM stock reached 52-week highs on August at $41.48, and all-time highs 2017-10-24 with a price of 43.18.

GM stock price target is $53.90

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we found 10 price forecasts for GM stock:
GM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-2CitigroupRaises Target$67.00$68.001.5%
2019-7-22Royal Bank of CanadaRaises Targetn/a$52.00-
2019-3-26Goldman Sachs GroupSet Price Targetn/a$36.00-
2019-2-8CitigroupRaises Targetn/a$67.00-
2019-2-7Royal Bank of CanadaRaises Target$50.00$52.004%
2019-1-28BMO Capital MarketsRaises Target$79.00$84.006.3%
2019-1-14Royal Bank of CanadaRaises Target$45.00$50.0011.1%
2019-1-14BMO Capital MarketsRaises Target$6.65$47.00606.8%
2019-1-14BarclaysReiteratesn/a$49.00-
2019-1-11Buckingham ResearchSet Price Targetn/a$34.00-
(in average)$49.50$53.909.0%
Moving in a range from $84.00 and $34.00, the price forecast for the Detroit headquarted company stock is $53.90. In average, analysts' outlook on GM price target is positive, upgrading the prediction by a 9.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Since last April, when General Motors presented its last earnings report, it . As soon as we get its actual EPS from the earnings report, we will update this report.
GM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a1.73n/a
2017-Q32017-10-241.121.3217.9%
2017-Q42018-02-061.381.6519.6%
2018-Q12018-04-261.221.4317.2%
2018-Q22018-07-251.841.81-1.6%
2018-Q32018-10-311.261.8748.4%
2018-Q42019-02-061.211.4318.2%
2019-Q12019-04-301.1n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, General Motors annual turnover remained stable a slightly fine 1.00% to $147,049.00 million USD from $145,588.00 marked in 2017. When comparing 2018 vs 2017, in contrast, profit margin (that is, the net income divided by revenues) rose a 8.10% to 5.45%.

To have an updated view of the financial situation of General Motors, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual General Motors TTM sales up to March 2019 were $145,828.00 and income was $9,125.00 M dollars. If we compare this TTM figures with the last reported annuality, we can review the Detroit headquarted company business evolution since December 2018: Annual revenues up to March, compared to lastest yearly report, stayed steady a disappointing -0.83%. Regarding profit margin, General Motors remained stable 0.81% to 5.45%

GM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$155,430 M-$5,350 M3.4%-
2014$155,929 M0.32%$3,949 M2.5%-26.19%
2015$152,356 M-2.29%$9,687 M6.4%145.30%
2016$166,380 M9.20%$9,427 M5.7%-2.68%
2017$145,588 M-12.50%$-3,864.00 M-2.7%-140.99%
2018$147,049 M1.00%$8,014 M5.4%-307.40%
TTM $145,828 M-0.83%$9,125 M6.3%13.86%

Quarterly financial results

General Motors posted $34,878.00 M in revenues for 2019-Q1, a -9.17% decline compared to previous quarter. Reported quarter earnings marked $2,157.00 million with a profit margin of 6.18%. Profit margin stayed steady a 0.86% compared to previous quarter when profit margin was 5.32%. When comparing sales to same quarter last year, General Motors sales marked a lame decrease and slightly fell a -3.38%.
GM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$36,980 M-$2,430 M6.6%-
2017-Q3$33,623 M-9.08%$-2,981 M-8.9%-222.67%
2017-Q4$37,715 M12.17%$-5,151 M-13.7%72.79%
2018-Q1$36,099 M-4.28%$1,046 M2.9%-120.31%
2018-Q2$36,760 M1.83%$2,390 M6.5%128.49%
2018-Q3$35,791 M-2.64%$2,534 M7.1%6.03%
2018-Q4$38,399 M7.29%$2,044 M5.3%-19.34%
2019-Q1$34,878 M-9.17%$2,157 M6.2%5.53%

General Motors ownership

When you are planning to invest in shares of a stock, it's always worth to review its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For General Motors, 7.30% of all outstanding shares are owned by its staff.

In case of General Motors stock, 78.82% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for GM stock account 0.00%, no big difference from last month.

For a better understanding, the next table shows ownership data compared to other related stocks:

GMFGNTXHMCTM
Market cap$51.7 B$36.4 B$7.1 B$47.0 B$192.8 B
Total shares1,430.0 M3,920.0 M254.8 M1,760.0 M1,420.0 M
Float shares1,250.0 M3,910.0 M254.2 M1,760.0 M1,070.0 M
  - Institutional holdings (%)78.8%7.6%88.4%2.1%0.8%
  - Insider holdings (%)7.3%23.8%0.4%0.0%0.0%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

GM summary

Friday, October 18th, 2019
Open$36.09
Close$36.17
Day range$36.01 - $36.37
Previous close$36.19
Session gain-0.06%
Average true range$0.96
50d mov avg$36.90
100d mov avg$37.25
200d mov avg$37.24
Daily patternlt03a
Weekly pattern lb02a

General Motors performance

To measure stock performance is always good to compare with competitors or related stocks. We compared General Motors against Ford Motor, Gentex, Honda Motor, , Tesla and Tata Motors in the following table:
Stock3m6m12m
GMGeneral Motors-7.47%-8.38%20.77%
FFord Motor-7.56%0.32%16.71%
GNTXGentex8.75%26.52%43.16%
HMCHonda Motor3.13%-6.61%1.18%
TM4.30%8.48%16.72%
TSLATesla-0.48%-5.97%-1.17%
TTMTata Motors-14.80%-43.80%-19.18%

General Motors competitors

We selected a few stocks to conform a list of General Motors competitors to examine if you are interested in investing in GM:

Latest GM stock news