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General Motors (GM) Stock Sinks As Market Gains: What You Should Know
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General Motors (GM - Free Report) closed the most recent trading day at $37.55, moving -0.29% from the previous trading session. This change lagged the S&P 500's 1.07% gain on the day. Elsewhere, the Dow gained 0.65%, while the tech-heavy Nasdaq added 1.71%.
Coming into today, shares of the automaker had gained 8.66% in the past month. In that same time, the Auto-Tires-Trucks sector gained 4.58%, while the S&P 500 lost 0.58%.
GM will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2019. The company is expected to report EPS of $1.19, down 27.88% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $36.72 billion, down 2.65% from the year-ago period.
Investors might also notice recent changes to analyst estimates for GM. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 has moved 1.76% higher. GM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GM has a Forward P/E ratio of 6.35 right now. This represents a discount compared to its industry's average Forward P/E of 10.24.
Also, we should mention that GM has a PEG ratio of 0.75. 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. Automotive - Domestic stocks are, on average, holding a PEG ratio of 1.3 based on yesterday's closing prices.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 76, putting it in the top 30% 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.
To follow GM in the coming trading sessions, be sure to utilize Zacks.com.
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General Motors (GM) Stock Sinks As Market Gains: What You Should Know
General Motors (GM - Free Report) closed the most recent trading day at $37.55, moving -0.29% from the previous trading session. This change lagged the S&P 500's 1.07% gain on the day. Elsewhere, the Dow gained 0.65%, while the tech-heavy Nasdaq added 1.71%.
Coming into today, shares of the automaker had gained 8.66% in the past month. In that same time, the Auto-Tires-Trucks sector gained 4.58%, while the S&P 500 lost 0.58%.
GM will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2019. The company is expected to report EPS of $1.19, down 27.88% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $36.72 billion, down 2.65% from the year-ago period.
Investors might also notice recent changes to analyst estimates for GM. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 has moved 1.76% higher. GM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GM has a Forward P/E ratio of 6.35 right now. This represents a discount compared to its industry's average Forward P/E of 10.24.
Also, we should mention that GM has a PEG ratio of 0.75. 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. Automotive - Domestic stocks are, on average, holding a PEG ratio of 1.3 based on yesterday's closing prices.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 76, putting it in the top 30% 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.
To follow GM in the coming trading sessions, be sure to utilize Zacks.com.