Wedbush Comments on General Motors’ FY2024 Earnings (NYSE:GM)

General Motors (NYSE:GM) (TSE:GMM.U) – Investment analysts at Wedbush boosted their FY2024 earnings per share estimates for shares of General Motors in a note issued to investors on Wednesday, July 24th. Wedbush analyst D. Ives now forecasts that the auto manufacturer will earn $10.02 per share for the year, up from their previous forecast of $9.53. Wedbush has a “Outperform” rating and a $55.00 price objective on the stock. The consensus estimate for General Motors’ current full-year earnings is $9.58 per share. Wedbush also issued estimates for General Motors’ Q2 2025 earnings at $3.00 EPS.

General Motors (NYSE:GM) (TSE:GMM.U) last issued its earnings results on Tuesday, July 23rd. The auto manufacturer reported $3.06 earnings per share for the quarter, topping the consensus estimate of $2.67 by $0.39. General Motors had a return on equity of 15.77% and a net margin of 6.22%. The business had revenue of $47.97 billion during the quarter, compared to analysts’ expectations of $45.13 billion. During the same period in the prior year, the business earned $1.91 EPS. The business’s revenue for the quarter was up 7.2% compared to the same quarter last year.

Several other brokerages have also recently weighed in on GM. Citigroup upped their target price on General Motors from $95.00 to $96.00 and gave the stock a “buy” rating in a report on Wednesday, April 24th. Deutsche Bank Aktiengesellschaft upped their price objective on General Motors from $44.00 to $50.00 and gave the stock a “hold” rating in a research note on Tuesday, April 23rd. Piper Sandler upped their target price on General Motors from $44.00 to $45.00 and gave the company a “neutral” rating in a research report on Wednesday, April 24th. UBS Group upped their target price on General Motors from $61.00 to $64.00 and gave the company a “buy” rating in a research report on Wednesday, July 10th. Finally, Royal Bank of Canada upped their target price on General Motors from $54.00 to $56.00 and gave the company an “overweight” rating in a research report on Tuesday, April 23rd. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $56.38.

General Motors Price Performance

Shares of GM stock opened at $44.12 on Friday. General Motors has a twelve month low of $26.30 and a twelve month high of $50.50. The stock has a market capitalization of $49.59 billion, a price-to-earnings ratio of 5.39, a P/E/G ratio of 0.49 and a beta of 1.43. The stock has a fifty day simple moving average of $46.52 and a two-hundred day simple moving average of $42.91. The company has a current ratio of 1.18, a quick ratio of 0.97 and a debt-to-equity ratio of 1.23.

General Motors Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 19th. Investors of record on Friday, September 6th will be issued a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a yield of 1.09%. The ex-dividend date is Friday, September 6th. General Motors’s dividend payout ratio (DPR) is 5.87%.

General Motors declared that its board has authorized a stock repurchase plan on Tuesday, June 11th that permits the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization permits the auto manufacturer to buy up to 10.8% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, CEO Mary T. Barra sold 326,305 shares of the firm’s stock in a transaction dated Tuesday, June 11th. The stock was sold at an average price of $48.33, for a total transaction of $15,770,320.65. Following the sale, the chief executive officer now directly owns 898,648 shares of the company’s stock, valued at $43,431,657.84. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In other General Motors news, President Mark L. Reuss sold 150,000 shares of the stock in a transaction that occurred on Tuesday, May 28th. The stock was sold at an average price of $43.44, for a total transaction of $6,516,000.00. Following the transaction, the president now owns 176,907 shares in the company, valued at $7,684,840.08. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Mary T. Barra sold 326,305 shares of the stock in a transaction that occurred on Tuesday, June 11th. The stock was sold at an average price of $48.33, for a total value of $15,770,320.65. Following the transaction, the chief executive officer now owns 898,648 shares in the company, valued at approximately $43,431,657.84. The disclosure for this sale can be found here. Insiders have sold a total of 1,152,621 shares of company stock valued at $51,818,111 over the last ninety days. Company insiders own 0.72% of the company’s stock.

Hedge Funds Weigh In On General Motors

A number of hedge funds have recently bought and sold shares of the business. SJS Investment Consulting Inc. boosted its position in General Motors by 34.5% during the second quarter. SJS Investment Consulting Inc. now owns 792 shares of the auto manufacturer’s stock worth $37,000 after purchasing an additional 203 shares in the last quarter. Fortitude Family Office LLC lifted its position in shares of General Motors by 56.1% in the second quarter. Fortitude Family Office LLC now owns 626 shares of the auto manufacturer’s stock valued at $29,000 after acquiring an additional 225 shares in the last quarter. SeaCrest Wealth Management LLC lifted its position in shares of General Motors by 3.5% in the second quarter. SeaCrest Wealth Management LLC now owns 6,804 shares of the auto manufacturer’s stock valued at $316,000 after acquiring an additional 227 shares in the last quarter. Institute for Wealth Management LLC. lifted its position in shares of General Motors by 0.6% in the second quarter. Institute for Wealth Management LLC. now owns 36,624 shares of the auto manufacturer’s stock valued at $1,702,000 after acquiring an additional 230 shares in the last quarter. Finally, Beech Hill Advisors Inc. lifted its position in shares of General Motors by 1.6% in the second quarter. Beech Hill Advisors Inc. now owns 15,233 shares of the auto manufacturer’s stock valued at $708,000 after acquiring an additional 233 shares in the last quarter. 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.