HMC - General Motors: Earnings Rev Up Share Buybacks Just 6x Free Cash Flow
2024-05-27 18:32:42 ET
Summary
- Amid an uncertain political backdrop and mixed vehicle industry trends, shares of automakers have generally rallied lately.
- Used vehicle prices are down substantially while miles driven stats are up.
- I have a buy rating on General Motors (GM) for its very low valuation, solid balance sheet, and share-price momentum.
- Ahead of its annual shareholder meeting and earnings due out in July, I highlight key price levels to monitor.
It’s already a tense election atmosphere . Both presidential candidates vow to pressure China, primarily via tariffs , potentially benefitting some domestic automakers. Furthermore, consumers are increasingly shying away from electric vehicles . According to the latest Manheim Used Vehicle Value Index, the price for a typical EV is down by more than 15%. ...
General Motors: Earnings Rev Up, Share Buybacks, Just 6x Free Cash Flow