On Oct 24, major Wall Street analysts update their ratings for $General Motors (GM.US)$, with price targets ranging from $38 to $85.
Morgan Stanley analyst Adam Jonas maintains with a sell rating, and maintains the target price at $46.
J.P. Morgan analyst Ryan Brinkman maintains with a buy rating, and sets the target price at $70.
BofA Securities analyst John Murphy maintains with a buy rating, and maintains the target price at $85.
Barclays analyst Dan Levy maintains with a buy rating, and maintains the target price at $70.
Wells Fargo analyst Colin Langan maintains with a sell rating, and adjusts the target price from $33 to $38.
Furthermore, according to the comprehensive report, the opinions of $General Motors (GM.US)$'s main analysts recently are as follows:
General Motors has disclosed Q3 results that were significantly stronger than expected, prompting a slight elevation in the EBIT forecast for the full year of 2024 and a substantially improved free cash flow outlook. This information reinforces the belief in the management's forecast presented during the recent investor day, particularly their plans to expedite share buybacks to achieve a share count of less than 1 billion by the beginning of 2025.
General Motors maintains a trajectory of robust gross margin earnings and strong free cash flow generation, as reflected in the company's Q3 performance. Despite market fluctuations, there is a belief that the company merits a significant valuation multiple, well above the conventional 5x.
General Motors' dominance in the North American large SUV market is contributing to balancing out some of the lower pricing pressures observed in other market segments. It is anticipated that the company's stronger-than-expected Q3 earnings, updated guidance, and the suggested share repurchase in Q4 will lead to an upward revision in consensus estimates and market expectations.
General Motors' recent quarter performance has been compared to an outstanding athletic achievement, showcasing very strong results. This trend is a continuation of previous impressive quarters, with the company maintaining a dedicated focus on optimizing its internal combustion engine (ICE) and electric vehicle (EV) offerings. Simultaneously, the firm is balancing new product launches and prioritizing profitability with a sense of urgency.
General Motors' shares experienced an approximate 10% rise following the reaffirmation of plans to repurchase approximately 100 million shares. The company's Q3 earnings per share outperformance and an increase in gross margin have led to an elevated full-year EBIT forecast. Nevertheless, there continues to be perceived risks related to pricing, volume, and the mix of battery electric vehicles, all of which are factors influencing the conservative guidance for Q4. Additionally, the issue of warranty has emerged as a new area of concern.
Here are the latest investment ratings and price targets for $General Motors (GM.US)$ from 7 analysts:
Note:
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