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General Motors Company (GM) Outpaces Stock Market Gains: What You Should Know
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General Motors Company (GM - Free Report) closed at $31.88 in the latest trading session, marking a +1.46% move from the prior day. This change outpaced the S&P 500's 0.22% gain on the day. At the same time, the Dow lost 0.13%, and the tech-heavy Nasdaq gained 0.2%.
Heading into today, shares of the company had lost 13.01% over the past month, lagging the Auto-Tires-Trucks sector's loss of 7.74% and the S&P 500's loss of 8.32% in that time.
General Motors Company will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.61, down 18.27% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $38.1 billion, up 11.5% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.89 per share and revenue of $153.53 billion. These totals would mark changes of -2.55% and +20.88%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for General Motors Company. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. General Motors Company currently has a Zacks Rank of #3 (Hold).
In terms of valuation, General Motors Company is currently trading at a Forward P/E ratio of 4.56. Its industry sports an average Forward P/E of 10.45, so we one might conclude that General Motors Company is trading at a discount comparatively.
Meanwhile, GM's PEG ratio is currently 0.46. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Domestic industry currently had an average PEG ratio of 0.98 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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General Motors Company (GM) Outpaces Stock Market Gains: What You Should Know
General Motors Company (GM - Free Report) closed at $31.88 in the latest trading session, marking a +1.46% move from the prior day. This change outpaced the S&P 500's 0.22% gain on the day. At the same time, the Dow lost 0.13%, and the tech-heavy Nasdaq gained 0.2%.
Heading into today, shares of the company had lost 13.01% over the past month, lagging the Auto-Tires-Trucks sector's loss of 7.74% and the S&P 500's loss of 8.32% in that time.
General Motors Company will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.61, down 18.27% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $38.1 billion, up 11.5% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.89 per share and revenue of $153.53 billion. These totals would mark changes of -2.55% and +20.88%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for General Motors Company. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. General Motors Company currently has a Zacks Rank of #3 (Hold).
In terms of valuation, General Motors Company is currently trading at a Forward P/E ratio of 4.56. Its industry sports an average Forward P/E of 10.45, so we one might conclude that General Motors Company is trading at a discount comparatively.
Meanwhile, GM's PEG ratio is currently 0.46. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Domestic industry currently had an average PEG ratio of 0.98 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.