General Motors (NYSE:GM) Reaches New 1-Year High – Should You Buy?

General Motors Company (NYSE:GM) (TSE:GMM.U)’s share price reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $87.62 and last traded at $87.1390, with a volume of 1657318 shares. The stock had previously closed at $85.71.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on the stock. Piper Sandler restated an “overweight” rating and set a $105.00 target price (up previously from $98.00) on shares of General Motors in a research note on Wednesday, January 28th. Benchmark reaffirmed a “buy” rating on shares of General Motors in a research note on Wednesday, October 22nd. UBS Group boosted their price objective on General Motors from $97.00 to $102.00 and gave the company a “buy” rating in a report on Wednesday, January 28th. HSBC lifted their target price on General Motors from $48.00 to $75.00 and gave the stock a “hold” rating in a research report on Tuesday, January 13th. Finally, Evercore ISI raised their price target on shares of General Motors from $85.00 to $95.00 and gave the stock an “outperform” rating in a research note on Monday. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $88.43.

General Motors Price Performance

The firm has a 50 day simple moving average of $80.66 and a 200-day simple moving average of $67.50. The company has a quick ratio of 1.01, a current ratio of 1.17 and a debt-to-equity ratio of 1.50. The company has a market cap of $77.25 billion, a PE ratio of 28.41, a price-to-earnings-growth ratio of 0.46 and a beta of 1.36.

General Motors (NYSE:GM) (TSE:GMM.U) last posted its quarterly earnings results on Tuesday, January 27th. The auto manufacturer reported $2.51 earnings per share for the quarter, beating the consensus estimate of $2.26 by $0.25. General Motors had a return on equity of 14.72% and a net margin of 1.46%.The business had revenue of $45.29 billion for the quarter, compared to the consensus estimate of $45.81 billion. During the same quarter in the previous year, the business earned $1.92 EPS. The company’s quarterly revenue was down 5.1% compared to the same quarter last year. General Motors has set its FY 2026 guidance at 9.750-10.500 EPS. As a group, research analysts predict that General Motors Company will post 11.44 earnings per share for the current fiscal year.

General Motors Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, March 19th. Shareholders of record on Friday, March 6th will be given a dividend of $0.18 per share. The ex-dividend date of this dividend is Friday, March 6th. This represents a $0.72 annualized dividend and a yield of 0.8%. This is an increase from General Motors’s previous quarterly dividend of $0.15. General Motors’s payout ratio is 19.93%.

General Motors declared that its Board of Directors has initiated a stock buyback plan on Tuesday, January 27th that authorizes the company to repurchase $6.00 billion in shares. This repurchase authorization authorizes the auto manufacturer to buy up to 8.1% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other news, CAO Christopher Hatto sold 7,724 shares of the firm’s stock in a transaction that occurred on Wednesday, November 12th. The shares were sold at an average price of $72.00, for a total transaction of $556,128.00. Following the sale, the chief accounting officer owned 12,007 shares of the company’s stock, valued at $864,504. This trade represents a 39.15% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 0.54% of the company’s stock.

Institutional Trading of General Motors

Institutional investors and hedge funds have recently bought and sold shares of the stock. Fourth Dimension Wealth LLC raised its stake in shares of General Motors by 47.3% in the 4th quarter. Fourth Dimension Wealth LLC now owns 442 shares of the auto manufacturer’s stock valued at $36,000 after acquiring an additional 142 shares during the period. Tsfg LLC grew its stake in shares of General Motors by 5.7% in the fourth quarter. Tsfg LLC now owns 2,241 shares of the auto manufacturer’s stock valued at $182,000 after buying an additional 120 shares in the last quarter. Trek Financial LLC raised its holdings in shares of General Motors by 137.9% in the 4th quarter. Trek Financial LLC now owns 57,403 shares of the auto manufacturer’s stock valued at $4,668,000 after buying an additional 33,275 shares during the period. Swiss Life Asset Management Ltd lifted its stake in General Motors by 6.2% during the 4th quarter. Swiss Life Asset Management Ltd now owns 128,587 shares of the auto manufacturer’s stock worth $10,457,000 after acquiring an additional 7,482 shares in the last quarter. Finally, Income Insurance Ltd purchased a new position in General Motors during the 4th quarter valued at about $230,000. 92.67% of the stock is currently owned by hedge funds and other institutional investors.

General Motors Company Profile

General Motors Company (NYSE: GM) is a global automotive manufacturer headquartered in Detroit, Michigan, that designs, builds and sells cars, trucks, crossovers and electric vehicles, and provides related parts and services. Founded in 1908, GM has long been one of the world’s largest automakers and has evolved into a multi-brand company whose primary marques include Chevrolet, GMC, Cadillac and Buick. Beyond vehicle manufacturing, GM’s operations encompass vehicle financing, connected services and advanced mobility initiatives.

GM develops and markets a broad portfolio of products and technologies, including internal-combustion and battery-electric vehicles, vehicle components and on-board connectivity services.