General Motors (NYSE:GM) Downgraded by Nomura to Reduce

Nomura downgraded shares of General Motors (NYSE:GM) (TSE:GMM.U) from a neutral rating to a reduce rating in a research report report published on Monday, Marketbeat Ratings reports. They currently have $34.00 price objective on the auto manufacturer’s stock.

A number of other brokerages have also recently commented on GM. Wells Fargo & Company raised their target price on General Motors from $32.00 to $34.00 and gave the stock an underweight rating in a report on Wednesday, July 24th. Royal Bank of Canada raised their target price on shares of General Motors from $54.00 to $56.00 and gave the stock an overweight rating in a research note on Tuesday, April 23rd. StockNews.com lowered shares of General Motors from a buy rating to a hold rating in a research report on Wednesday, July 24th. Sanford C. Bernstein started coverage on shares of General Motors in a research report on Thursday, April 25th. They set an outperform rating and a $55.00 price objective on the stock. Finally, Bank of America reiterated a buy rating and issued a $75.00 price target on shares of General Motors in a research note on Wednesday, June 12th. Three equities research analysts have rated the stock with a sell rating, five have issued a hold rating, thirteen have assigned a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of Moderate Buy and a consensus price target of $55.27.

General Motors Stock Performance

Shares of GM stock traded up $0.65 on Monday, reaching $40.60. The stock had a trading volume of 14,700,463 shares, compared to its average volume of 16,038,117. The company has a debt-to-equity ratio of 1.23, a quick ratio of 0.99 and a current ratio of 1.18. General Motors has a 1 year low of $26.30 and a 1 year high of $50.50. The stock has a market cap of $46.32 billion, a P/E ratio of 4.96, a price-to-earnings-growth ratio of 0.44 and a beta of 1.43. The company has a 50 day simple moving average of $46.32 and a 200 day simple moving average of $43.38.

General Motors (NYSE:GM) (TSE:GMM.U) last released its quarterly earnings results on Tuesday, July 23rd. The auto manufacturer reported $3.06 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.67 by $0.39. The business had revenue of $47.97 billion during the quarter, compared to the consensus estimate of $45.13 billion. General Motors had a return on equity of 15.77% and a net margin of 6.22%. The business’s quarterly revenue was up 7.2% compared to the same quarter last year. During the same period in the previous year, the company posted $1.91 EPS. Equities research analysts expect that General Motors will post 9.94 EPS for the current year.

General Motors announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, June 11th that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the auto manufacturer to reacquire up to 10.8% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s management believes its shares are undervalued.

General Motors Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 19th. Investors of record on Friday, September 6th will be paid a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a yield of 1.18%. The ex-dividend date of this dividend is Friday, September 6th. General Motors’s dividend payout ratio (DPR) is presently 5.87%.

Insider Transactions at General Motors

In other news, CFO Paul A. Jacobson purchased 25,000 shares of the firm’s stock in a transaction on Friday, July 26th. The stock was acquired at an average cost of $44.11 per share, with a total value of $1,102,750.00. Following the completion of the transaction, the chief financial officer now owns 261,872 shares in the company, valued at approximately $11,551,173.92. The purchase was disclosed in a filing with the SEC, which is accessible through this hyperlink. In other General Motors news, CFO Paul A. Jacobson acquired 25,000 shares of the firm’s stock in a transaction dated Friday, July 26th. The stock was purchased at an average price of $44.11 per share, for a total transaction of $1,102,750.00. Following the acquisition, the chief financial officer now owns 261,872 shares in the company, valued at approximately $11,551,173.92. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, President Mark L. Reuss sold 150,000 shares of the business’s stock in a transaction on Tuesday, May 28th. The stock was sold at an average price of $43.44, for a total value 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 disclosure for this sale can be found here. In the last three months, insiders sold 1,152,621 shares of company stock valued at $51,818,111. Corporate insiders own 0.72% of the company’s stock.

Institutional Investors Weigh In On General Motors

Several institutional investors and hedge funds have recently made changes to their positions in GM. Caprock Group LLC raised its stake in General Motors by 29.5% in the 2nd quarter. Caprock Group LLC now owns 25,503 shares of the auto manufacturer’s stock worth $1,185,000 after acquiring an additional 5,809 shares during the last quarter. Certuity LLC purchased a new stake in General Motors in the second quarter valued at approximately $253,000. Chris Bulman Inc acquired a new position in General Motors in the 2nd quarter worth approximately $127,000. Cullen Frost Bankers Inc. increased its holdings in General Motors by 25.8% in the 2nd quarter. Cullen Frost Bankers Inc. now owns 3,397 shares of the auto manufacturer’s stock worth $158,000 after buying an additional 696 shares during the period. Finally, Los Angeles Capital Management LLC raised its position in General Motors by 32.6% during the 2nd quarter. Los Angeles Capital Management LLC now owns 127,411 shares of the auto manufacturer’s stock worth $5,920,000 after buying an additional 31,334 shares during the last quarter. 92.67% of the stock is currently owned by institutional investors and hedge funds.

General Motors Company Profile

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.